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Countries › Peru › Guide › 11. Real estate and land › Property tax (impuesto predial) and municipal service fees (arbitrios) in Peru: rates, assessed value, filing and payment dates, exemptions and the pensioner deduction

Property tax (impuesto predial) and municipal service fees (arbitrios) in Peru: rates, assessed value, filing and payment dates, exemptions and the pensioner deduction

Last verified: 2026-10-28 · Status: Stable

The impuesto predial is an annual district tax on land and buildings owned on 1 January, at 0.2 percent of assessed value up to 15 UIT, 0.6 percent from 15 to 60 UIT and 1.0 percent above 60 UIT. Owners declare by the last business day of February and pay in full then or in four quarterly instalments (February, May, August, November); a buyer becomes the taxpayer only from the next 1 January and the seller must settle the year. Separate arbitrios for cleaning, parks and security are charged on cost, published by 31 December, and may rise during the year by no more than consumer inflation.

USD figures use S/ 3.452 per US dollar, the banking system selling rate published by the Superintendencia de Banca, Seguros y AFP for 27 October 2026, from the Banco Central de Reserva del Perú statistics series PD04640PD. UIT based amounts use the 2026 UIT of S/ 5,500 set by Decreto Supremo Nº 301-2025-EF, as cited in SUNAT Resolución de Superintendencia Nº 000016-2026/SUNAT. Conversions are for orientation only.

Key facts

Property tax rate on the first 15 UIT0.2 %TUO LTM art. 13, as of 2026-10-28 · in force
Property tax rate on the band from 15 to 60 UIT0.6 %TUO LTM art. 13, as of 2026-10-28 · in force
Property tax rate above 60 UIT1.0 %TUO LTM art. 13, as of 2026-10-28 · in force
Optional municipal minimum property tax (0.6% of UIT, 2026)33 PENTUO LTM art. 13, as of 2026-10-28 · in force
Annual property tax return and lump sum payment deadlineLast business day of February textTUO LTM art. 14 and 15, as of 2026-10-28 · in force
Pensioner deduction from the base (50 UIT, 2026)275000 PENTUO LTM art. 19, as of 2026-10-28 · in force

The rule

1. The property tax is annual and taxes the value of urban and rural property: land, including land reclaimed from the sea, rivers and other bodies of water, and fixed and permanent buildings and installations that cannot be separated without damage. It is collected, administered and audited by the district municipality where the property is located.TUO Ley de Tributación Municipal, Decreto Supremo Nº 156-2004-EF; art. 8 as replaced by Decreto Legislativo Nº 952 (published 3 February 2004), Art. 8, 2004-02-03 official text · verified 2026-10-28
2. Taxpayers are the individuals or entities that own the property; co owned property is treated as one owner unless the co owners and shares are notified, and co owners are jointly liable. The taxpayer is fixed by the legal situation on 1 January; on a transfer, the buyer becomes taxpayer from 1 January of the following year.TUO Ley de Tributación Municipal; art. 9 as amended by Ley Nº 27305 (14 July 2000) and art. 10, Art. 9 and art. 10, 2000-07-14 official text · verified 2026-10-28
3. The base is the total value of the taxpayer's properties in each district, using the official land and building unit values in force on 31 October of the prior year and the depreciation tables approved each year by the Ministry of Housing; fixed installations are valued by the owner under the national appraisal regulation, subject to audit.TUO Ley de Tributación Municipal; art. 11 as replaced by Decreto Legislativo Nº 952, Art. 11, 2004-02-03 official text · verified 2026-10-28
4. The tax is a cumulative progressive scale: 0.2 percent up to 15 UIT, 0.6 percent on the band above 15 and up to 60 UIT, and 1.0 percent above 60 UIT. Municipalities may set a minimum payment of 0.6 percent of the UIT in force on 1 January.
Cost to do it: On S/ 500,000 of assessed value in one district: S/ 3,350.00 a year (US$970.45). Minimum payment where set: S/ 33.00.
Example: S/ 82,500 x 0.2% + S/ 247,500 x 0.6% + S/ 170,000 x 1.0% = S/ 3,350.00. / About US$970.45 a year on a US$144,844 assessed value.TUO Ley de Tributación Municipal, Decreto Supremo Nº 156-2004-EF, Art. 13, 2004-11-15 official text · verified 2026-10-28
5. Owners file a sworn return each year by the last business day of February unless the municipality extends it, and also by the last business day of the month after a transfer or after changes to the property worth more than 5 UIT. A municipality's own update of values replaces the annual return if the owner does not object. The tax can be paid in full by the last business day of February or in up to four quarterly instalments due by the last business day of February, May, August and November, the later ones adjusted by the wholesale price index. On a transfer, the seller must pay the whole year's tax by the last business day of the following month.TUO Ley de Tributación Municipal; art. 14 as amended by Ley Nº 27305, art. 15 and art. 16, Art. 14, art. 15 and art. 16, 2000-07-14 official text · verified 2026-10-28
6. Properties of central, regional and local governments (except those under concession), foreign governments under reciprocity, charities, religious entities for temples and similar uses, public health entities, the fire service, peasant and native communities of the highlands and jungle (except land ceded to third parties), universities and schools for their educational use, forestry concessions, political parties, disability organizations and unions are outside the tax; commercial use of the property generally loses the benefit. Rural land used for agriculture and outside urban value maps gets a 50 percent reduction of the base.TUO Ley de Tributación Municipal; art. 17 as amended by Ley Nº 27616 (29 December 2001) and art. 18, Art. 17 and art. 18, 2001-12-29 official text · verified 2026-10-28
7. A pensioner who owns a single property, alone or with a spouse, used as their home, and whose gross income is the pension and does not exceed 1 UIT a month, deducts 50 UIT from the base; a garage counts as part of the single property, and partial productive or commercial use approved by the municipality does not remove the deduction.
Example: A qualifying pensioner with a S/ 500,000 home is taxed on S/ 225,000: S/ 1,020.00 a year. / About US$295.48 a year.TUO Ley de Tributación Municipal; art. 19 as replaced by Decreto Legislativo Nº 952, Art. 19, 2004-02-03 official text · verified 2026-10-28
8. Arbitrios (fees for public services such as cleaning, parks and security) are calculated in the last quarter of the year before they apply, on the actual cost of the service, and distributed among taxpayers using criteria such as use, size and location of the property. The ordinances setting them must be published by 31 December of the prior year; increases during the year cannot exceed the change in the consumer price index, and overpayments are credited or refunded. If the ordinance is not published on time, the municipality may only charge the prior year's fees adjusted by the consumer price index.TUO Ley de Tributación Municipal; art. 69 and art. 69-A as replaced by Decreto Legislativo Nº 952, art. 69-B added by Ley Nº 26725 (29 December 1996), Art. 69, art. 69-A and art. 69-B, 2004-02-03 official text · verified 2026-10-28
Assessed value S/Tax S/Tax US$Effective rate
80,000160.0046.350.200%
300,0001,470.00425.840.490%
500,0003,350.00970.450.670%
1,500,00013,350.003,867.320.890%

Annual property tax by assessed value, one district, 2026 (bands at S/ 82,500 and S/ 330,000; USD at S/ 3.452)

Worked example

  • An investor owns an apartment assessed at S/ 500,000. The 2026 tax is S/ 3,350.00 (about US$970.45), payable in full by the last business day of February 2026 or in four quarters of about S/ 837.50 each, the last three adjusted for wholesale inflation. Arbitrios come on the same municipal bill but are set by each district's ordinance.
  • If the investor sells in June 2026, they must pay the remaining 2026 tax by the end of July 2026; the buyer starts paying in 2027 and must file a return by the end of July 2026.

Step by step

  1. After buying, file the property tax return (usually HR and PU forms) with the district by the last business day of the month after the transfer.
  2. Each year, check the municipality's valuation, object if it is wrong, and pay by the February deadline or in quarterly instalments.
  3. Before selling, pay the full year's tax, since the registrar requires proof for the year of the act.
  4. Holding several properties in the same district adds their values before applying the scale, so keep the district split in mind.

Common traps

  • The scale applies to the total value of all of a taxpayer's properties in the same district, which can push owners into the 1 percent band.
  • A buyer who does not file after purchase can be billed later with interest; the municipality may also assess unreported improvements over 5 UIT.
  • Arbitrios are separate from the tax, can be substantial in some Lima districts, and are not covered by the pensioner deduction.

Sources

Related pages

Related: Peru country profile · live dashboard · central bank and release calendar · our posts on X

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