- Individuals building their own permanent residence pay 23% VAT upfront and can later request a 17% refund from tax authorities.
- Eligibility requires a direct contract with the builder, non-commercial intent, VAT invoiced by December 31, 2032, and total costs not exceeding €660,982 (2026).
- Concerns include the need for individuals to pre-finance the full VAT, potential delays and inspections during the refund process, and reliance on state resources for processing refunds.
Source: belim.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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