Buying your first home can cost less tax — or none. The IMT Jovem exemption allows the purchase of a first, permanent own home with substantial tax savings for buyers aged up to 35. It is worth understanding the exact limits and what to confirm before the deed.
Who benefits
The exemption applies to the first acquisition of an urban property (or autonomous unit) intended exclusively as a permanent own home, by a buyer aged 35 or under who is not treated as a dependant for income-tax purposes.
How much you save
Full IMT exemption covers properties valued up to around €324,000; above that and up to around €648,000 a partial exemption applies. Beyond IMT, the benefit also covers the Stamp Duty due on the acquisition, within the same limits. Above the upper limit, the regime no longer applies.
The details that decide the benefit
The concept of “first acquisition”, the use as a permanent own home, the age at the relevant date and the absence of a previous home are conditions the Tax Authority verifies. A framing error — buying in co-ownership with someone who has already used the benefit, or intending the property for another use — can cause the exemption to fall away and trigger an additional assessment.
Combining with the mortgage and the State guarantee
IMT Jovem often works together with the State-guaranteed mortgage for young buyers. Combining the two regimes requires planning: what you save in tax should not be lost in poorly calibrated financing clauses.
Before buying, confirm you meet the requirements
Confirming eligibility before signing the promissory contract avoids surprises at the deed and on payment of the tax. It is a simple check that protects savings which can run into tens of thousands of euros.
Buying your first home? Paulo Silva Silva, Lawyer, handles property purchases from the promissory contract to the deed, including the IMT Jovem framing. Book a meeting or contact paulosilvasilva.adv@gmail.com · 916 055 901.
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The information in this article is general and institutional in nature; it does not constitute legal advice and does not create a client relationship. The values and requirements of IMT Jovem should be confirmed in the version in force and with the Tax Authority before any decision.