- Responsibility for ensuring properties built with 6% VAT are used as primary residences now shifts to the buyer.
- If the property is not used as a primary residence for at least 12 months, the buyer faces a 10 percentage point increase in IMT tax, unless exceptional circumstances apply.
- The reduced 6% VAT rate applies only if the property is used as a primary residence for at least one year, with exceptions for major life changes (e.g., marriage, divorce, more dependents).
- The same rules apply to self-built homes where partial VAT refunds are claimed.
- These measures apply to urban development projects initiated between September 25, 2025, and December 31, 2029, with tax due from January 1, 2026.
Source: jornaldenegocios.pt
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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