Government considers that exemption from IMT on home purchases by young people does not have a partisan mark

The plenary yesterday discussed the Government's legislative authorization proposal

The Minister of Youth considered today that tax exemptions for the purchase of houses by young people do not have a “party brand”, with the PS challenging the Government to dialogue, with the replacement of legislative authorization with a bill.

The plenary yesterday discussed the Government's legislative authorization proposal that grants an exemption from IMT and Stamp Tax to young people up to the age of 35 when purchasing their first home.

At the start of the debate, the Minister of Youth and Modernization, Margarida Balseiro Lopes, said that the difficulty young people have in buying “is a trigger” for them to leave the country, highlighting the need to stop this “bleeding”.

Margarida Balseiro Lopes recalled that this type of exemption already exists in different municipalities of various political colors, which proves “that this measure does not have a partisan brand”.

“I hope that regardless of the differences – sometimes a little artificial – we can respond to these young people”, he said.

The PS, through Miguel Costa Matos, brought the recent European elections into the debate, highlighting that the AD lost them and that so far it has not been able to approve anything it proposed because it “refuses to negotiate”.

«The PS parliamentary group launches the challenge: as proof of your desire for dialogue, replace this legislative authorization proposal with a true law proposal», he challenged, accusing the Government of «wasting resources on those at the top» – in an allusion to the limit of the value of the houses that will benefit from the IMT and Stamp Tax exemption.

For Alexandre Poço, from the PSD, the socialist deputy's speech "would be tragic if it weren't comical", hoping that the PS will vote in favor because "Portugal needs to have this measure" and, pointing out between the various benches, "a common ground" which is the need to respond to young people who just want to buy their first home.

For Chega – which also presented a proposal that expands the universe of beneficiaries of the measure – Rui Afonso said that his party supports the Government's proposal even though he considers that «the ceilings are clearly insufficient».

During the debate, Bernardo Blanco from IL pointed out what he called the “tricks” of the measure – in reference to the age limits, value of the house and the period during which it cannot be sold – asking the minister whether it should be expected plus some “trick” such as a limit on the buyer’s income.

Marisa Matias, from BE, highlighted that this is an “isolated measure” that “will not solve the housing problem”, considering that “no one believes that a young person in Portugal can buy a house for up to 600 thousand euros”, which, If this happens, this means that the person does not need the tax benefit.

Going beyond the issue of housing, the leader of the PCP bench, Paula Santos, stated that one of the central issues for young people not to want to leave the country is low wages.

Isabel Mendes Lopes, from Livre, questioned the minister about the cost of this tax exemption when comparing the first home for young people up to 35 years old, and also the age limit, noting that «access to buying a house is not magically resolved from 36 years old”.

From the CDS-PP bench, Paulo Núncio criticized the previous government, stating that «in matters of taxation and real estate, the PS only has one policy: increase and increase taxes».

In today's session, the plenary also discussed a PAN proposal that covers the purchase of the first home by people aged between 35 and 45 in this tax exemption.

The measure proposed by the Government – ​​and which the executive intends to come into force in April – granted an exemption from IMT and IS on the purchase of a house whose value (for the purposes of paying these taxes) does not exceed 316.772 euros, that is, the equivalent of the 4th step of the IMT.

The measure also includes a partial exemption for houses between 316.772 and 633.453 euros (with an 8% rate on this portion).