Property tax updates reported in Brazil and Portugal

In Rio de Janeiro, Brazil, the calculation of the Urban Property and Territorial Tax (IPTU) is based on the property's market value (valor venal). This value is determined by factors such as the square meter reference price of the location, construction type, property age, and land characteristics. For 2026, residential properties with a market value up to R$ 85,260 were exempt from the tax. Other exemptions apply to non-residential properties, specific land types, religious temples, and historical sites.

In Portugal, a proposed 2027 State Budget suggests increasing the exemption threshold for the Municipal Property Transfer Tax (IMT) on permanent primary residences. If approved, the exemption limit would rise from €106,346 to €108,792, representing a 2.3% update to all tax brackets. While the tax rates remain unchanged, the adjustment to the brackets would result in modest savings for homebuyers.