“It’s a robbery.” Increases of 900% in IMI cause controversy in Matosinhos

“It’s a robbery.” Increases of 900% in IMI cause controversy in Matosinhos

“It’s a robbery.” Increases of 900% in IMI cause controversy in Matosinhos

Residents with land in Urban Pressure Zones are reporting increases of up to 10 times in IPTU. The city hall claims that the shootings are due to national law.

Hundreds of owners of land located in Urban Pressure Zones (ZPU) of Matosinhos are being surprised by significant increases in the value of the Municipal Property Tax (IMI), in some cases exceeding 900%. The situation is generating strong opposition among affected residents, who accuse the measure of being “unfair” and “unsustainable”.

The ZPUs were defined by the Matosinhos City Council in 2023. The classification of these areas is the result of real estate pressure and high housing demand, leading to application of a tax increase on land with construction capacity.

One of the reported cases involves a family from Senhora da Hora who saw the IMI of an inherited land increase from 218 euros to 2189 euros in a single year. Sara Magalhães, daughter of the owner, tells what she initially thought was a scam. “This is a robbery”, he stated.

According to the resident, the land, measuring 260 square meters, is not abandoned and has fruit trees. “Since when have I been forced to build? And the city council is going to give me money to build? It’s ridiculous and completely unsustainable”, he criticizes.

The Matosinhos Chamber explains that the increases are due to the application of national legislation and are being produce “disproportionate” effects for small owners without speculative objectives. The city hall admits that the law penalizes citizens who wish to reserve land for future family construction and not for business or real estate purposes.

“We are aware of at least one decision of the arbitration court that decides on sense of the unconstitutionality of the lawin the assumptions of disproportionality that we mentioned”, he says.

Mayor Luísa Salgueiro revealed that around 1000 owners would have been affected by the tax increase and announced that the municipality will review the limits of the ZPU. The mayor also advised taxpayers to lodge formal complaints with the Federal Revenue Service, although they must pay the first installment of the tax within the legal deadline.

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