Loulé major promises to lower IMI property taxes

Loulé mayor promises to lower IMI property taxes

Finances || Loulé council will be paying off the €10 million it owes the PAEL financial support programme by the end of this year, in order to lower municipal property taxes (IMI) in 2015.
It’s all part of the council’s plan to “regain financial autonomy” and lift economic burdens from the shoulders of Loulé’s poorer families, mayor Vítor Aleixo revealed at a press conference on Monday.
But there is another headache. Very soon the Property Transfer Tax (IMT) – which accounts for almost a quarter of Loulé’s revenue – will not be channelled into council funds. This means that the borough’s leaders have to find some other way of making up the shortfall.
Bringing people up to date with the advances made since the €14.5 million PAEL funding was ploughed into the borough in 2012, Aleixo confirmed that Loulé was now in a “relatively stable” condition.
“Very strict management” has brought liabilities down to €13.1 million and rates will most definitely be reducing next year – though by how much, we are none the wiser.
And as for the IMT conundrum, Aleixo admits there will have to be a degree of “adapting” for the council to stay afloat.
In fact, in 2018 Loulé will also have to start contributing €600,000 per year to support the FAM (municipal support fund).
In other words, financial juggling is not over yet.