Bill 712/XVII approved in the general vote
IL’s bill clarifying the capital-gains tax exemption on selling your own home, for homes partly used for work or let and for reinvesting in ruins and renovation, passed its general vote on October 16, 2026.
Someone who sells the home they live in pays no income tax on the gain if they reinvest the money in another permanent home (article 10(5) of the IRS code). IL’s bill settles, as an authentic interpretation of that rule, two cases its authors say the tax authority has been refusing. The home sold counts as the permanent home even if part of it is used for work or let, as long as it is the household’s tax address and where it lives. And buying a property that needs building, rebuilding or renovation, ruins included, counts as reinvestment together with the cost of the works, provided the deadlines in article 10(6) are met.
Because it interprets the existing rule, it would apply back to 31 December 2008, when Law 64-A/2008 took effect, and come into force the day after it is published. Passing the general vote does not make it law yet: the text now goes to committee for the detailed vote and then to a final overall vote. It was debated together with Livre’s Bill 793/XVII, which extends the same exemption to housing cooperatives.
- Original title
- Procede à interpretação autêntica da isenção de mais-valias no reinvestimento imobiliário para habitação própria e permanente
- Type
- Bill (Projeto de Lei)
- Proposed by
- IL
- Submitted
- July 9, 2026
- Status
- Approved at its last vote
Votes
General vote, October 16, 2026 Approved
- For
- CHPSILBEPANJPP
- Against
- PSDCDS-PP
- Abstained
- LPCP
