Capital gains tax applies to home sales even if reinvested in derelict properties
The Portuguese tax authority clarifies that selling your primary residence and reinvesting the profit in a dilapidated property does not exempt you from income tax on the gains. The exemption for primary residence sales does not extend to reinvestment scenarios.
Why it matters for your move
Clarifies tax treatment of home sale profits if you're relocating and reinvesting in Portuguese property.
This is Re-locant.com’s own brief, written to explain what the update means for people moving to or living in Portugal. For the full original report, see the source below.