The full list of property taxes in Lima in 2025

Authored by the expert who managed and guided the team behind the Peru Property Pack

Yes, the analysis of Lima's property market is included in our pack

Who is the author of this content?

THE LATINVESTOR

A team specialized in real estate investing in LATAM countries

We are a team of financial experts, legal professionals, developers, and local real estate specialists dedicated to helping people like you avoid mistakes when investing in real estate in a foreign place, particularly in Lima. If you'd like to learn more about us, you can check our presentation page.

What's the complete list of property-related taxes and mandatory municipal fees in Lima for 2025, with their official names?

Lima property owners must navigate six primary tax categories in 2025, each with specific obligations and calculations.

The **Impuesto Predial** (Property Tax) is the main annual levy on all real estate ownership, administered by each district municipality or SAT Lima for Cercado de Lima. This progressive tax ranges from 0.2% to 1% based on the property's cadastral value.

**Arbitrios Municipales** cover three mandatory municipal services: street cleaning and waste collection (Limpieza Pública), park and green space maintenance (Parques y Jardines), and neighborhood security services (Serenazgo). These are calculated annually but paid quarterly.

The **Impuesto de Alcabala** is a one-time transfer tax of 3% paid by buyers on property purchases, with the first 10 UIT (S/53,500 in 2025) exempt from calculation.

**Impuesto a la Renta de Primera Categoría** applies to rental income at 5% for Peruvian residents and 30% for non-residents, with minimum deemed rent of 6% of cadastral value annually.

**Impuesto a las Ganancias de Capital** taxes property sale profits at 5% for both residents and non-residents, calculated on the difference between sale price and original purchase cost plus improvements.

For each item, who exactly has to pay it—owner, buyer, seller, landlord, tenant, or company—and does residency or citizenship change that?

Property tax liability in Lima is clearly defined by ownership status and transaction type, with residency affecting rates but not fundamental obligations.

The **Impuesto Predial** is paid by whoever appears as the property owner in municipal records as of January 1st each year. Residency status, citizenship, or company ownership does not change the obligation—all property owners pay at identical rates.

**Arbitrios Municipales** are the responsibility of the property owner, though lease agreements may contractually transfer this obligation to tenants. The municipality holds the registered owner ultimately liable regardless of any private arrangements.

**Alcabala tax** is exclusively paid by the property buyer at the time of purchase. Whether the buyer is a Peruvian citizen, foreign resident, non-resident, or company makes no difference to the 3% rate or calculation method.

**Rental income tax** obligations depend on residency status: Peruvian tax residents pay 5% on net rental income after allowable deductions, while non-residents face a flat 30% withholding tax on gross rental income with no deductions permitted.

**Capital gains tax** applies to sellers at 5% regardless of citizenship, but residency affects documentation requirements—non-residents must pre-certify their cost basis with SUNAT before receiving sale proceeds.

How is the taxable base calculated in 2025 for each tax/fee (valuation method, formula, deductions), shown in plain numbers?

Lima's property tax calculations use specific valuation methods and formulas that property owners can apply to determine their exact obligations.

**Impuesto Predial** uses the "autovalúo" (cadastral value) determined by each municipality, typically 60-80% of market value. The 2025 UIT value is S/5,350, creating three calculation bands: first 15 UIT (S/80,250) at 0.2%, next 45 UIT (S/240,750) at 0.6%, and amounts above 60 UIT (S/321,000) at 1.0%.

**Arbitrios Municipales** calculations vary by district but generally use property area multiplied by district-specific rates per square meter, plus fixed amounts based on property type. Miraflores charges approximately S/12-15 per m² annually, while San Isidro applies S/10-13 per m².

**Alcabala tax** applies 3% to the higher of sale price or cadastral value, minus 10 UIT (S/53,500). For a S/600,000 purchase: (S/600,000 - S/53,500) × 3% = S/16,395.

**Rental income tax** for residents applies 5% to annual rental income exceeding S/4,725 (first UIT × 0.883). For S/3,000 monthly rent: (S/36,000 - S/4,725) × 5% = S/1,564 annual tax.

**Capital gains tax** calculates 5% on the difference between sale price and acquisition cost plus documented improvements. A S/600,000 sale of property bought for S/450,000 yields (S/600,000 - S/450,000) × 5% = S/7,500 tax.

What are the 2025 rates for each one—percentages, fixed amounts, brackets, minimums, and caps—spelled out clearly?

It's something we develop in our Peru property pack.

For properties valued at S/200,000, S/500,000, and S/1,000,000, what is the total annual cost in Miraflores, San Isidro, Surco, and La Molina, broken down by each tax/fee?

Do thresholds or progressive bands apply, and how do the amounts change as the value moves from S/200k to S/1M?

Lima's property tax system employs progressive bands that create significant cost jumps as property values increase, making higher-value properties disproportionately more expensive to own.

The Impuesto Predial progressive structure creates three distinct tax brackets: properties valued below S/80,250 (15 UIT) pay only 0.2%, those between S/80,250-S/321,000 pay 0.2% on the first portion plus 0.6% on the excess, while properties above S/321,000 face an additional 1.0% rate on the highest portion.

For a S/200,000 property, the calculation is: S/80,250 × 0.2% + (S/200,000 - S/80,250) × 0.6% = S/161 + S/718 = S/879 total. The effective rate is 0.44%.

A S/500,000 property pays: S/80,250 × 0.2% + S/240,750 × 0.6% + (S/500,000 - S/321,000) × 1.0% = S/161 + S/1,445 + S/1,790 = S/3,396 total. The effective rate jumps to 0.68%.

At S/1,000,000, the calculation becomes: S/80,250 × 0.2% + S/240,750 × 0.6% + (S/1,000,000 - S/321,000) × 1.0% = S/161 + S/1,445 + S/6,790 = S/8,396 total. The effective rate reaches 0.84%.

This progressive system means that doubling property value from S/500,000 to S/1,000,000 more than doubles the tax burden, creating a strong disincentive for luxury property ownership in Lima.

Don't lose money on your property in Lima

100% of people who have lost money there have spent less than 1 hour researching the market. We have reviewed everything there is to know. Grab our guide now.

Download Now

What discounts, deductions, or exemptions exist in 2025 (early-payment, pensioner, disability, primary residence, new construction), and by exactly how many soles or what % do they reduce the bill?

Lima municipalities offer several tax reduction mechanisms in 2025, with the most significant benefits targeting elderly property owners and early payers.

**Pensioner exemptions** provide the largest tax savings: property owners aged 60 or older using the property as their primary residence receive complete exemption on the first 50 UIT (S/267,500) of cadastral value. For properties above this threshold, tax applies only to the excess amount.

**Early payment discounts** range from 5-15% depending on the district and payment timing. Miraflores offers 10% off total annual arbitrios if paid by March 31st. San Isidro provides 15% discount for pensioners paying arbitrios early. Surco gives 5% discount on predial tax for payments before the first quarterly deadline.

**Online payment bonuses** add another 5-10% reduction in several districts when combined with early payment. San Borja offers 10% for annual payment plus another 10% for web-based transactions, creating up to 20% total savings.

**Disability exemptions** provide case-by-case reductions, typically 25-50% of total predial tax, requiring medical certification and municipal approval. The specific percentage varies by district and disability severity.

**Primary residence deductions** beyond the pensioner exemption are limited in Lima. Most districts do not offer additional discounts simply for owner-occupancy, unlike some international markets.

It's something we develop in our Peru property pack.

What are the payment schedules and deadlines in 2025 for each tax/fee (annual vs quarterly or monthly), including the exact cutoff dates for any discounts?

Lima's property tax payment calendar follows a standardized quarterly system with specific deadlines that property owners must meet to avoid penalties and access discounts.

**Impuesto Predial** payments are due quarterly on the last business day of February, May, August, and November. Property owners can pay the full annual amount by February 28th to access early payment discounts. SAT Lima (Cercado) allows payment until March 15th with a small grace period.

**Arbitrios Municipales** follow the same quarterly schedule, with first quarter due February 28th, second quarter May 31st, third quarter August 31st, and fourth quarter November 30th. Annual payment by the first deadline typically secures 5-10% discounts.

**Early payment discount deadlines** are strict: Miraflores requires annual payment by March 31st for the 10% arbitrios discount. San Isidro's 15% pensioner discount applies only to payments made by February 28th. Surco's 5% predial discount requires payment by February 15th.

**Online payment bonuses** in districts like San Borja apply to payments made through municipal websites before the regular deadline, with the additional 10% web discount available until February 27th for annual payments.

**Late payment penalties** begin accruing immediately after deadlines: 1.2% monthly interest plus fixed fines ranging from S/50-S/500 depending on the tax amount and district. For a S/2,000 quarterly payment, six months late would incur approximately S/144 in interest plus S/100-200 in penalties.

If I pay late, what interest rates, penalties, and surcharges apply in 2025, and what would that add on a S/500,000 property?

Late payment penalties in Lima compound quickly and can substantially increase property ownership costs, making timely payment essential for property owners.

**Interest rates** are standardized across Lima districts at 1.2% per month (approximately 15.4% annually) on unpaid balances, calculated from the day after the deadline. This rate applies to both predial tax and arbitrios balances.

**Fixed penalties** vary by district and amount owed: amounts under S/1,000 typically incur S/50-100 fines, while larger amounts face S/200-500 penalties. Some districts apply percentage-based fines of 2-5% on top of interest charges.

**Worked example for S/500,000 property**: With annual taxes of approximately S/5,155 (S/2,155 predial + S/3,000 arbitrios), if the full amount remains unpaid for six months, the calculation would be: Interest: S/5,155 × 1.2% × 6 months = S/371. Fixed penalty: S/200-300. **Total additional cost: S/571-671**, representing an 11-13% increase over the original tax bill.

**Cumulative effect**: If payments remain outstanding for a full year, the interest alone would reach S/742, plus penalties potentially totaling S/800-1,000, creating total additional costs exceeding S/1,500 on the original S/5,155 tax bill.

**Collection enforcement**: After 12 months of non-payment, municipalities can initiate property seizure proceedings, adding legal costs of S/1,000-3,000 plus potential auction fees that could result in property loss at below-market values.

When buying or selling in 2025, what transfer and capital-gains taxes apply (rates, exemptions, who pays), with a worked example for a S/600,000 sale?

Property transfers in Lima trigger multiple tax obligations that buyers and sellers must understand to budget accurately for transactions and avoid unexpected costs.

**Alcabala transfer tax** is paid by the buyer at 3% of the higher of sale price or cadastral value, minus the first 10 UIT (S/53,500). For a S/600,000 purchase: (S/600,000 - S/53,500) × 3% = S/16,395 paid by the buyer at closing.

**Capital gains tax** is paid by the seller at 5% on the net gain. If the S/600,000 property was originally purchased for S/450,000: (S/600,000 - S/450,000) × 5% = S/7,500 owed by the seller.

**VAT on new properties** applies at 18% only on the building value (excluding land) for the developer's first sale. If the S/600,000 new property has S/400,000 in building value, the buyer pays S/400,000 × 18% = S/72,000 VAT instead of alcabala tax.

**Exemptions from capital gains**: Properties acquired before January 1, 2004 are exempt. Primary residences have a one-time lifetime exemption if the seller lived there for at least two years. Non-residents must pre-certify their cost basis with SUNAT or forfeit deduction rights.

**Total transaction costs** for the S/600,000 example: Buyer pays S/16,395 alcabala tax plus approximately S/6,000-12,000 in notary and registration fees. Seller pays S/7,500 capital gains tax. **Combined tax burden: S/29,895-31,895**, representing 5.0-5.3% of the sale price.

We did some research and made this infographic to help you quickly compare rental yields of the major cities in Peru versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.

If the property is rented, how is rental income taxed in 2025 (rate, allowable expenses, withholding), and what's the net tax on S/3,000 and S/6,000 monthly rent?

Rental income taxation in Lima varies significantly based on the landlord's residency status, with different rates, deductions, and compliance requirements for residents versus non-residents.

**Peruvian residents** pay 5% on annual rental income exceeding S/4,725 (the exempt threshold). Allowable deductions include municipal taxes paid on the property, maintenance and repair costs, and mortgage interest payments.

**Non-residents** face a flat 30% withholding tax on gross rental income with no deductions permitted. The tax is withheld at source by the tenant or property management company and remitted directly to SUNAT.

**S/3,000 monthly rent calculation** for residents: Annual income S/36,000 minus S/4,725 exemption equals S/31,275 taxable income. Tax owed: S/31,275 × 5% = S/1,564 annually, or S/130 monthly. With typical deductions of S/3,000 annually (property taxes, maintenance), net tax becomes S/1,414 annually.

**S/6,000 monthly rent calculation** for residents: Annual income S/72,000 minus S/4,725 exemption equals S/67,275 taxable income. Tax owed: S/67,275 × 5% = S/3,364 annually. After deductions, net tax is approximately S/3,214 annually.

**Non-resident calculations**: S/3,000 monthly = S/10,800 annual tax (30% × S/36,000). S/6,000 monthly = S/21,600 annual tax (30% × S/72,000). No deductions reduce these amounts.

It's something we develop in our Peru property pack.

How do I actually file and pay each tax/fee (websites, forms, documents, payment methods), and what exchange-rate assumption should I use to show USD comparisons?

Lima property tax administration uses multiple platforms and payment methods, with specific procedures varying by district and tax type that property owners must navigate correctly to ensure compliance.

**Predial and Arbitrios payments** for Cercado de Lima are processed through SAT Lima's website (www.sat.gob.pe), requiring the property's "código de predio" and owner's DNI or RUC number. Other districts use their respective municipal websites or accept payments at authorized banks including BCP, BBVA, Interbank, Scotiabank, and Banbif.

**Digital payment options** include Yape, Plin, bank websites, and Western Union. Most municipalities now accept credit cards online with processing fees of 2-3%. Cash payments are accepted at municipal offices and bank branches.

**Alcabala tax** is paid at the notary public office during property transfer, requiring the purchase contract, property title, and cadastral certificate. The notary calculates the tax and processes payment before registering the transfer with SUNARP (public registry).

**Rental income tax** filings for residents use SUNAT's virtual platform (www.sunat.gob.pe) with Form 1681 for annual declarations or monthly payments through the "Renta de Primera Categoría" option. Non-residents typically have taxes withheld automatically by tenants or management companies.

**Currency exchange considerations**: As of September 2025, property tax calculations use the average exchange rate of S/3.75 per USD. A S/200,000 property equals approximately $53,333, with annual taxes of S/3,000-3,500 ($800-933). Higher-value properties of S/1,000,000 ($266,667) face annual costs of S/10,000-11,000 ($2,667-2,933).

Conclusion

This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.

Sources

1. SAT Lima: Property Tax and Arbitrios 2025 Payment Deadlines - Infobae
2. Property Taxation in Peru - Global Property Guide
3. Property Tax and Arbitrios Information - SAT Lima
4. Tax on Real Estate Transactions in Peru - RGB Avocats
5. Private Wealth 2024 Peru - Chambers and Partners
6. Peru Individual Taxes on Personal Income - PWC
7. Property Tax and Arbitrios 2025 - Lima Chamber of Commerce
8. Benefits for Timely Arbitrios Payers - El Comercio