Anyone who purchased property in recent years may receive a refund of the ITBI after a ruling by the Superior Court of Justice (STJ) that deemed charging based on IPTU illegal

The ITBI refund can be requested by buyers who paid the tax based on the IPTU, after an understanding that established the calculation as correct based on the market value indicated in the deed and subject to review only through a specific administrative process.

The understanding that gained strength in the Judiciary puts back at the center of the debate ITBI refund. Charging the tax based on the IPTU was considered inappropriate when it is detached from the market value under normal market conditions determined in the transaction itself and declared by the taxpayer. In practice, this opens the door for those who purchased or financed property in recent years to reevaluate how much they paid and seek ITBI refund if there is a difference.

The impact is broad because many municipalities adopted reference values or used the IPTU as a basis. The consolidated understanding defines that the taxpayer’s declaration enjoys a presumption of veracity, which can only be removed by means of regular administrative process, with motivation and contradiction. For the buyer, this means that the value of the deed is the legitimate starting point for the calculation basis.

The first change is conceptual and practical. The ITBI calculation basis is the market value of the property in the transaction, not the generic IPTU value plan nor a floor determined by the municipality.

This value takes into account normal negotiation conditions, peculiarities of the property and the price actually charged between the parties.

The second change is procedural. The municipality cannot impose a “reference value” in advance to levy the tax.

If you understand that the declared value is unrealistic, you need to open administrative proceedings, technically justify the divergence and allow defense.

Without it, increased charges tend to be irregular, which supports requests for ITBI refund.

The potential beneficiary is who bought or financed property and paid the ITBI based on the IPTU or in municipal reference value higher than the price of the deed.

Those who paid more have an argument to recover the difference, as long as it proves the correct basis and the way in which the tax was demanded.

How much can be returned varies depending on the case.

There is no fixed value. The amount depends on the difference between the tax calculated on the undue amount and due based on the market value of the deed, plus the charges provided for by law.

Each case requires individual investigation, with documents supporting the request.

How to verify the correct value

The central point is the deed of purchase and sale and documents that demonstrate the effective price. Notes, proof of payment, private assessment and reports can reinforce price adherence to normal market conditions.

Photos, reports on conservation status and improvements help explain differences in value.

It is also useful to gather the IPTU booklet or municipal reference table used in the launch, demonstrating how the municipality detached from the real price.

The more technical the documentation, the greater the predictability of the outcome, both in the administrative and judicial spheres.

If you disagree with the stated value, the municipal tax authorities need to initiate administrative proceedings, with a legal basis and transparent evaluation methodology.

Without this rite, the release by default reference unduly reverses the burden of proof and disregards the particularities of the property and the negotiation.

For the taxpayer, this means two possible fronts.

Administratively, it is feasible to ask for the release review and, if there is undue payment, the ITBI refund. Judicially, when the administrative route does not resolve or is outdated, the action for recovery of undue payment may be the way, always supported by evidence of the market value on the date of transmission.

Impact on the market and municipal coffers

In the short term, standardization by market logic tends to reduce distortions between neighborhoods, property types and conservation states.

Special negotiations, such as the urgency of sale or the buyer’s need, are now considered, reflecting the real price and not a generic average.

For municipalities, the effect can be twofold. There is a risk of an increase in ITBI refund requests, requiring technical structure for case-by-case analysis.

Moreover, legal certainty improves the predictability of revenue collection, as it reduces disputes over unilateral methodologies and encourages releases adhering to the rules.

First, check how your ITBI was calculated. If the IPTU or a reference value served as a basis, compare with the deed price.

Second gather documents that prove the market value on the date of transmission. Third, request administrative review with request for ITBI refund, presenting the correct methodology.

If necessary, evaluate legal measures with technical support. The goal is not to pay less than what is duebut avoid charging above market value.

Transparency, documentation and adherence to procedure are the pillars for a consistent order.

The consolidation of this understanding strengthens the logic that the ITBI must reflect the real value of the transaction, and not generic parameters.

For those who recently purchased property, it is worth reexamining the collection and, if there is a discrepancy, seek ITBI refund in a technical and documented manner.

Do you agree with this change in the ITBI calculation basis? In your case, did the municipality use a property tax (IPTU) or reference value above the deed price? How did this affect your budget or your negotiation? Share your experience in the comments and tell us if you’ve tried to request an ITBI refund, what results you experienced, and what challenges you encountered.