Purchaser costs & property tax in Italy

Do you have a property in Italy?

Or are you planning to buy one?

Which taxes should you pay?

When buying a property there are several taxes to be considered.
They may vary according to the type of property, its condition, and its purpose; some of them modify the costs and therefore they should not be ignored.

We will list the most of them here for you.

1- STAMP DUTY:

This tax is between 2% and 9% of the cadastral value of the house.
However, it will never be less than € 1000 regardless of the value of the property.

If you are buying from a private person you do not pay any VAT (4% or 10%).

A- In addition, if this property is your primary residence in Italy and you spend more than 6 months per year in the residence, the tax will only be 2% of the cadastral value.

B- If this is your second property and you are not a permanent resident this tax rises up to 9% of the cadastral value.

For clarification:

The cadastral value: of many Italian properties is still much lower than the actual market value, since the calculation is actually re-done when it is time for the property to be sold, and many houses have had the same owner since decades.
The cadastral value is set up in the deed of sale of the house.

Tax on renting out your Italian real estate:
The tenant has to pay for TARI and a portion of the TASI. In case one rents your property for more than 6 months, but has no residency in your property, they will pay between 10% and 30% of the total TASI amount, and you will pay for the rest.

Otherwise, if it represents their main residence then you are the only one entitled to pay, and you will have to pay for 90% or a percentage decided by the Town Hall in which the property is situated.

Tax on selling your home in Italy:
No capital gain tax is due if the property you sell was purchased more than 5 year prior to the sale. Otherwise, you will pay 25% over the profit.

In any case we strongly recommend you to carefully check the taxes you have to pay and their exact amount with the help of a services agent or a commercialista.

The information on this page is compiled with the greatest care; nevertheless, no rights may be derived from this information and optional attachments. We recommend that you check with the embassy in your country for the specifications and available information regarding your plans.