In addition to other housing support measures, which we have already addressed previously, Decree-Law no. 97/2026, of May 20, approved the Simplified Affordable Rental Regime (RSAA).
By introducing tax benefits for landlords, this regime aims to increase the supply of housing under an affordable rental arrangement, subject to compliance with certain legal requirements, among which the observance of maximum rent limits stands out.
These limits were recently regulated by Ministerial Order no. 454/2026/1, of October 13, which sets out the maximum monthly rent values applicable according to the municipality and the typology of the property.
It is now important to understand who can benefit from this regime, what the conditions of access are and which tax advantages are associated with it.
In addition to programs approved by municipalities to encourage the supply of housing, the RSAA also applies to rental agreements, rental agreements for residential subletting and residential subletting agreements.
In these situations, the agreement must have a minimum term of:
The monthly rent must also comply with the maximum limit applicable to the typology and to the municipality where the property is located, under the terms of Ministerial Order no. 454/2026/1 and the respective updating rules.
Rental income arising from agreements that meet the requirements set out in the RSAA benefits from an exemption from taxation under IRS (Personal Income Tax) or IRC (Corporate Income Tax), according to the tax framework applicable to the landlord.
For this purpose, the landlord must submit on the electronic platform made available by the Institute for Housing and Urban Rehabilitation (Instituto da Habitação e da Reabilitação Urbana, I. P. – IHRU, I. P.), by January 15 of the year following the date on which the agreement was entered into:
Once these formalities have been completed, the IHRU communicates the agreement to the Tax and Customs Authority (Autoridade Tributária e Aduaneira) by the end of February, and the agreement becomes subject to the tax regime provided for by law, with effect from the date on which it was entered into.
Failure to comply with the legal requirements may result in the loss of the tax benefits, as well as the obligation to settle the tax due, plus the compensatory interest legally applicable.
The RSAA introduces a simplified model of affordable rental, focusing on the definition of maximum rent limits and on the simplification of the procedures for accessing the tax benefits.
This regime succeeds the previous framework of the Rental Support Program (Programa de Apoio ao Arrendamento), without prejudice to the transitional provisions applicable to agreements that were already covered by the repealed regime.
The possibility of benefiting from an IRS or IRC exemption may make affordable rental attractive from a tax point of view for landlords, while at the same time contributing to an increase in the supply of housing at more affordable prices for tenants.
VPA can help you assess compliance with the legal requirements for access to the RSAA, as well as draw up the respective rental agreement, in order to prevent any non-compliance and to safeguard the tax benefits associated with the regime.
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