The payment applies to homeowners whose annual IMI bill exceeds €100 and who have not already settled the full amount earlier in the year.

The tax, known as Imposto Municipal sobre Imóveis, is collected by the Portuguese Tax Authority (AT) and applies to residential properties, commercial buildings and land.

Although IMI is paid annually, the number of instalments depends on the total amount owed.

Owners with annual bills of €100 or less normally pay the full amount in May. Those owing more than €100 and up to €500 pay in two instalments, in May and November.

For annual bills exceeding €500, payments are divided into three instalments, due in May, August and November.

Taxpayers can also choose to pay their entire annual bill in May rather than spreading the payments across the year.

The November payment relates to property ownership recorded on December 31, 2025, meaning the obligation can apply even if a property has since been sold.

How to check and pay your IMI

Property owners can check outstanding payments through the Portal das Finanças, Portugal’s official online tax service.

After logging in using their Portuguese tax identification number (NIF) and password, they can access the IMI section and select Consultar Notas de Cobrança to view their tax notices.

Payment references are also available under A Minha Área and Pagamentos a decorrer.

Payments can be made through Multibanco, online banking or other authorised payment services.

The Tax Authority advises taxpayers who have not received a payment notice to check their online account or request a replacement through a local tax office.

Missing the deadline can result in late-payment interest and, in some circumstances, fines or tax enforcement proceedings.

Could you be paying too much?

Consumer association DECO PROteste has also reminded homeowners that some may be paying more IMI than necessary because their property’s taxable value has not been reassessed.

IMI is calculated using the property’s Valor Patrimonial Tributário (VPT), an official taxable value determined by several factors, including its size, location, age and characteristics.

This is not necessarily the same as the property’s market value or the price it could achieve if sold.

Some elements used in the calculation are not automatically updated by the Tax Authority.

For example, the age coefficient, known as coeficiente de vetustez, may change as a property becomes older, potentially reducing its taxable value.

Changes to other assessment factors can also affect the amount owed.

DECO PROteste recommends that homeowners check whether a reassessment would be beneficial before submitting a formal request.

Its online tax information service provides guidance on reviewing the figures used to calculate IMI.

However, a reassessment does not guarantee a reduction. Depending on the property’s characteristics and the applicable valuation factors, it could result in a higher taxable value and an increased tax bill.

Under the Portuguese IMI Code, owners can generally request a new assessment on the grounds of an outdated taxable value once three years have passed since the previous relevant assessment or update.

The request is free and can be submitted through the Tax Authority using the appropriate Modelo 1 IMI declaration.

December deadline for future savings

Homeowners considering a reassessment have until December 31 to submit a qualifying request if they want the revised valuation to be taken into account for the current tax year, affecting IMI payable in 2027.

A request submitted now will not automatically reduce the November instalment, which is based on the previous tax assessment.

Property owners should therefore review their taxable value separately from their immediate payment obligation.

The standard IMI rate for urban properties generally ranges from 0.3% to 0.45%, with municipalities setting their own rates within the limits established by law. Exceptional rates may apply in certain circumstances.

This means two otherwise similar properties in different municipalities can face different annual tax bills.

For foreign residents and overseas property owners, the same IMI obligations generally apply regardless of where they live for tax purposes.

The Tax Authority provides payment information and property records through the Portal das Finanças, allowing owners to review their position without visiting a tax office.

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