To complete the IMT Modelo 1 form, log in to the Portal das Finanças (or visit a Serviço de Finanças in person), open a new IMT declaration, and fill in the buyer and seller tax numbers, the property’s matrix details from its Caderneta Predial, the intended use, and the agreed price. The system calculates the tax on whichever is higher, your price or the property’s registered taxable value (VPT), issues a payment document, and you must settle the bill before the notary will sign the deed.1Taxes in Europe Database v2. Tax on Real Estate – Immovable Property Municipal Transfer Tax
What You Need Before You Open the Form
Four things need to be in front of you before you start. Any one of them missing will stop the filing.
- A Portuguese tax number (NIF) for the buyer and the seller. Foreign buyers without one can obtain a NIF at any tax office in Portugal, where it is assigned on the spot through a verbal declaration. Non-residents can also handle the application online through a fiscal representative, or schedule an in-person appointment by calling 217 206 707.2ePortugal. Applying for a Taxpayer Identification Number (NIF) for a Natural Person
- The property’s Caderneta Predial. This is the tax identity card issued by the Tax Authority, downloadable from the Portal das Finanças. It carries the district, municipality, and parish; the urban or rural classification; the area and layout; the declared use; and the current VPT. Every property field on Modelo 1 comes from this document.
- The agreed purchase price in Euros. Have the figure from the contract to hand. The tax base will be this price or the VPT, whichever is higher.
- The intended use of the property. Primary residence (habitação própria e permanente), secondary home, or commercial. This choice drives which rate table the system applies, so it is not a field to guess at.
Filling In the Modelo 1 Fields
Whether you file online or on paper, the fields are identical. Work through them in order.
Parties. Enter the buyer’s NIF and the seller’s NIF. The form distinguishes the two to assign liability correctly; the buyer always pays IMT.
Property identification. Copy the parish (freguesia), municipality (concelho), and matrix identification straight from the Caderneta Predial. Then select urban or rural. The municipality on the form must match the Caderneta exactly, because IMT revenue flows to that specific municipality and a mismatch will bounce back.
Intended use. Choose primary residence, secondary home, or commercial. This is where most of the money is at stake on the form, because the selection determines which rate table the system uses to compute your bill.
Transaction value. Enter the agreed price in Euros. The system compares it against the VPT on file and applies the higher of the two automatically. If the property’s tax valuation is out of date and sits below market, you will be taxed on the sale price. If a recent revaluation has pushed the VPT above what you are paying, the VPT becomes the tax base. There is no field to override this.
Submitting the Declaration
The standard channel is the Portal das Finanças at portaldasfinancas.gov.pt. Log in with your NIF and access credentials, go to the property tax section, and open a new IMT declaration. The portal will not accept the form without authentication.
You can also submit the completed form at any Serviço de Finanças counter, and some Citizen’s Shops (Lojas do Cidadão) offer the service as well.3ePortugal. Accessing the Tax Office’s Services Many buyers handle the whole IMT process at a tax office on the morning of the deed, particularly when a lawyer or notary is coordinating the closing.
Once you submit, the system returns a confirmation carrying a unique reference number tied to your transaction. Keep this number. You will need it to pay, and the notary will ask for it at the deed.
Paying the IMT Bill
After the declaration is processed, the Tax Authority issues a Documento de Cobrança showing the exact amount owed together with an entity number and payment reference. Three channels accept it:
- Multibanco ATM, using the entity and reference from the payment document
- Online banking through a Portuguese bank, using the same details
- Any Serviço de Finanças counter
The timing rule is strict: IMT must be paid before the escritura is signed. The notary will ask for proof of payment and will not proceed without it. If you pay at an ATM or through online banking on the morning of the deed, confirm the payment has actually cleared before you arrive; a pending transaction will not satisfy the notary.
Stamp Duty Runs Alongside
Every property purchase also triggers Imposto do Selo (stamp duty) at 0.8% of the purchase price. It is a separate tax with its own payment, and the notary will require proof of that payment too before completing the deed. Filing Modelo 1 does not handle it.
At the Notary
With the IMT and stamp duty receipts in hand, you proceed to the notary for the Escritura, the public deed that formally transfers ownership. The notary verifies that all taxes have been paid and that the property details on the form match the official records. Without the validated receipts the notary cannot execute the deed, and the property cannot be registered with the Conservatória do Registo Predial.
Keep the submission confirmation and both payment receipts indefinitely. They are your proof that the fiscal obligations attached to the purchase were met, and the Tax Authority can request verification for several years after the sale closes.