AIMI is due by individuals and corporations, as well as by structures or collective entities and undivided inheritances, that are owners, usufructuaries or have the surface right of urban properties located in Portugal.
Urban properties classified as "trade, industry, or services" and "others" are excluded from AIMI, as well as "residential" urban buildings in the context of the Rental Support Program.
The taxable basis corresponds to the sum of the VPT of all the urban properties held by each taxpayer, reported as at 1 January of each year.
In case of individuals and undivided inheritances a deduction of € 600,000 to the taxable basis is foreseen. Married or living in non-marital partnership taxpayers, who opt to submit a joint tax return, have the right to deduct € 1,200,000 to the sum of the VPT of all the urban properties.
The applicable rates, after deductions provided, are as follows:
- 0,7% for individuals and undivided inheritances;
- 0,4% for corporations; and
- 7,5% for urban properties owned by entities located in tax havens.
In case of individuals,
(i) to the taxable amount of more than € 1,000,000 and equal or lower than € 2,000,000 (or the double for married or living in non-marital) a marginal rate of 1% applies, and
(ii) to the taxable amount that exceeds € 2,000,000 (or the double for married or living in non-marital), a marginal rate of 1.5% applies.
In the case of urban properties owned by corporations, for the personal use of the shareholders, members of the board or of any administrative bodies, management or supervision, are applicable the rates considered for individuals.
AIMI is assessed by the Portuguese Tax Authority in June of each year, being the respective payment made in September.
In the sphere of individual holders (PIT), the AIMI is deductible to the fraction of the tax corresponding to the net income generated by real estate subject to AIMI, in the case of aggregation; or deductible from the tax, in the case of application of the 28% withholding tax to property income, in other cases. The tax deduction is also applicable to taxable people holding Category B income obtained within the scope of rental or lodging activities.
In the sphere of holders of legal entities (CIT), taxpayers have the option of deducting the AIMI paid, limited to the fraction of the collection corresponding to the income generated by real estate subject to AIMI, within the scope of rental or lodging activities. This option for the tax deduction prejudices the deduction of AIMI in the determination of taxable income under CIT.