Urban Building and Land Tax (Imposto sobre Propriedade Predial e Territorial Urbana – IPTU)
The urban building and land tax (Imposto sobre Propriedade Predial e Territorial Urbana) is a property tax payable every month to the local authorities where the property is located. The IPTU of a property is determined by the market value of the property, its location and the type of property (building, house, apartment or land).
IPTU is an annual tax and can be paid all at once or in 10 monthly payments without interest. Most Brazilians and foreigners choose to pay IPTU through direct debit from their bank accounts but IPTU can also be paid by telephone, at any ATM bank machine and in person at many Brazilian banks.
A bill for the IPTU is sent annually in January. It arrives in a booklet form containing payment slips with information on how the bill has been calculated. These slips can be used when paying the bill at an ATM bank machine or to set up the initial direct debit arrangement with the bank.