ITBI in Brazil: the property transfer tax by city

What the ITBI taxes

The Constitution (art. 156, II) gives the municipalities the power to tax “transmissão inter vivos, a qualquer título, por ato oneroso, de bens imóveis, por natureza ou acessão física, e de direitos reais sobre imóveis, exceto os de garantia, bem como cessão de direitos a sua aquisição”, meaning the transfer between living persons, for payment, of real property and of real rights over it (except security interests), and the assignment of rights to acquire it. Since Complementary Law 227 of 13 January 2026, art. 35 of the National Tax Code repeats this as the taxable event and lists three cases: transfer of ownership or domínio útil, transfer of real rights other than security, and assignment of rights to those transfers. Art. 41 gives the tax to “o Município da situação do bem”: the city where the property stands, whatever the buyer’s residence. An inheritance or a gift does not fall under the ITBI; it falls under the state’s ITCMD.

An assignment of a purchase contract (cessão de direitos) is therefore taxable too, which matters for off-plan resales; see buying off plan in Brazil.

Rates in the cities Payotte has read

The table gives what each city’s law or official service page says. “Financed part” means the part of the price paid with a housing loan; the lower rate usually applies to a loan under the Sistema Financeiro da Habitação (SFH, the regulated housing-finance system). The rate and the conditions are those found in the text read; several city codes were only available in consolidations whose latest amendments could not be confirmed.

Not read. Rio de Janeiro, Manaus, São Luís, Aracaju, Campinas, Guarulhos, Osasco, São Bernardo do Campo, Uberlândia, Balneário Camboriú, Bombinhas, Gramado and Jijoca de Jericoacoara could not be confirmed from an official text (the city’s site refused the connection, or the law could not be found or read). For those, and for every other city, ask the city’s finance office for the current rate. The rate, the cap for financed purchases and the date of the last amendment can all change.

When it is paid

Timing is local and decides whether the notary can proceed. As read: São Paulo requires payment before the deed when it is a public instrument; Belo Horizonte, the same; Recife, by the date of the deed; Salvador, in advance, up to the date of the deed; Brasília, before the deed when it is drawn there; Cuiabá, up to the deed date. Macapá allows payment up to the 20th day after registration, and Goiânia within 180 days of the calculation. Federal rules agree on the principle: the notary notes proof of ITBI payment in the deed (Lei 7.433/1985, art. 1, § 2) and Decreto 93.240/1986, art. 1, II, carves out the cases where a law allows payment after the deed. Early-payment benefits exist in some cities (Recife, Porto Seguro, Fortaleza, Maceió).

Who pays and on what

Who is the legal taxpayer, and who bears the tax under the contract, is not settled by the rate tables above: the city code decides the first and was not read city by city, and the sale contract usually decides the second, so settle it in writing (see purchase agreement and deposit). The amount is the rate times the tax base. The base is not always the price on the deed: see the ITBI tax base and the reference value. The formula is:

ITBI = rate × base (the city’s valor venal, or the price where the city’s law uses the higher of the two)

For a financed purchase with a split rate, it is: ITBI = (reduced rate × financed amount) + (ordinary rate × the rest). That is a formula, not a quotation: your city’s text decides which slice qualifies.

Which professional to consult

The city’s finance office (Secretaria da Fazenda) issues the ITBI bill and can state the base it will use. The notary asks for the receipt. A lawyer registered with the OAB can contest a base; see the property-lawyer page. A property appraiser can produce a contrary valuation where the city’s law accepts one; see the appraiser page.