The official notice from the Portuguese National Institute of Statistics (INE) has already been published in the National Official Journal, which sets the coefficient for rent indexation, which in 2024 will be 6.94%. This coefficient is calculated based on the variation in the consumer price index (CPI), excluding housing, and recorded in the last 12 months. Unlike this year, in which the rent index of housing and other rents was limited by the Portuguese government to 2%, not following the rise in inflation and the norms of the New Urban Lease Regime (NRAU), in 2024 landlords will be able to index rents in 6.94% in Portugal.
In return, the government will increase support for current rentals by 4.94%. Tenants with housing rental contracts with an effort rate above 35% and with income up to the sixth income bracket of the IRS will be able to benefit from this support. The deduction of income for IRS goes from the current limit of 502 euros to 550 euros.
Founded in 1979, Auxadi is a family-owned business working for multinational corporations, private equity funds and real estate funds. It’s the leading firm in international accounting, tax compliance and payroll services management connecting Europe and the Americas with the rest of the world, offering services in 50 countries. Its client list includes many of the top 100 PERE companies. Headquartered in Madrid, with offices in US and further 22 international subsidiaries, Auxadi serves 1,500+ SPVs across 50 jurisdictions.
All information contained in this publication is up to date on 2023. This content has been prepared for general guidance on matters of interest only, and does not constitute professional advice. You should not act upon the information contained in this chart without obtaining specific professional advice.No representation or warranty (express or implied) is given as to the accuracy or completeness of the information contained in this content, and, to the extent permitted by law, AUXADI does not accept or assume any liability, responsibility or duty of care for any consequences of you or anyone else acting, or refraining to act, in reliance on the information contained in this chart or for any decision based on it.