1309 property tax

We bought in Puglia and we only paid 3% house tax ( assume it is the same all over Italy ? )...you need to become residents within 18 months - this is very important or you will be charged full amount plus interest . :eek:

Good Luck in your new home. :)

3% of the value recorded in the Notarised Act (or 'Rogito') is correct.
Remember, you must go to your local Comune in person and apply for residence within 18 months; merely 'being' resident is not enough. They'll then send a couple of friendly Vigili round, just to check that you haven't given a false address.

.........yes over 240 sq. mtrs and the property doesn't qualify, and you are prevented from selling for five years or else pay back the tax discount ( 7% of the declared value).

hi guys, thanks everyone for your advice, Id read that it should be 3% but was just after some feedback before I tackle our agent about the subject again. ill let you know what they say.
jamie

We were introduced socially to a chap who is selling property here and we were chatting about when we purchased and the subject of tax came up and he gave some cock and bull story about you have to pay full amount and get it back when residency comes through !!

We told him that we didn't do that at all...just paid the 3% at the notary office when we signed.....and we then applied for our residency, which we now have ( after mr and mrs policeman came round to check us out ! :cool: ..yes , he was wearing his sunglasses !!!).

This chap then condescendingly told us how clever we were...not clever at all...there was never any question of us paying anything other than the 3% from either our agent, lawyer or notary.

We were gobsmacked that he is obviously giving this info to buyers ! :eek:

With respect to Will, Ian and Sandra, I'm doubtful about the claim that houses over 240 square metres are ineligible for the 'prima casa' discount. My friendly neighbourhood Estate Agent said she knew nothing about it. Is it hearsay, or can someone provide a reliable source?

Marc we are in the proceeds of finalising our house in le marche, we have got a house over 240m, we cant opt for prima casa because house will not be ready in 18 months, but when we spoke to the agents who are working for us, they said we could get prima casa if house could be finished within that time scale, so we cant take the chance, so its 10% for us, good luck!!

[QUOTE=Marc]With respect to Will, Ian and Sandra, I'm doubtful about the claim that houses over 240 square metres are ineligible for the 'prima casa' discount. My friendly neighbourhood Estate Agent said she knew nothing about it. Is it hearsay, or can someone provide a reliable source?[/QUOTE]

There are many conditions that can make a house a "luxury house".
They are fixed by the law and are:
- house built in an area where can be built only single villas or "private parks", with plots of land of more than sq.m. 3000
- single house with a swimming pool of more than 80 mq. or a tennis court over 650 sq.m
- house over 200 mq. with an annexed area with a surface of more than six times the built area
- house with a suface over 240 sq.m. (not considering terraces, stairs, cellars, "underoof", parking)
- house, even if not included in the above description, that have at least [B]4[/B] [B]of theese conditions[/B]:
a) surface over 160 sq.m.
b) terrace at the service of a single apartment having a surface of more than 65 sq.m
c) presence of a lift, if the building has less than 7 floors
d) house built with luxury materials (marble, luxury wood, decorated ceilings)
e) house that is part of a building with a swimming pool or/and a tennis court if there are less than 15 apartaments in the building

Thanks Notaio. Are you saying that any one of the first conditions classifies a house as 'luxury'. In other words, is any house over 240mq considered luxury? Or any house with a tennis court, however small the house itself?

[QUOTE=Marc]Thanks Notaio. Are you saying that any one of the first conditions classifies a house as 'luxury'. In other words, is any house over 240mq considered luxury? Or any house with a tennis court, however small the house itself?[/QUOTE]
Question a): yes
question b): yes
question c): yes

The solution often used to avoid the "luxury purchase" is to split the contrac.
With a a first contract you can buy only the house (naturally if the house itself is a non luxury) and with a second, separated, contract you can buy the plot of land where the tennis court or the swimming pool are

Until now, I never realised how close I've come to living in luxury!

So, notaio, just to get this absolutely straight:

if a house is a "luxery house" there is no way you can have "1a casa"??
If a house is a "luxery house" you must always pay 10% of the......Please could you let know.. 10% of what? The declared purchase price? Property value (that can be different to the declared purchase-price)

Is that because the people who would purchase a "luxery house" are supposed to have much money, and therefore "not deserve" the "seconda casa"-tax relief?

Best regards.

[QUOTE=andersxman]So, notaio, just to get this absolutely straight:

if a house is a "luxery house" there is no way you can have "1a casa"??
If a house is a "luxery house" you must always pay 10% of the......Please could you let know.. 10% of what? The declared purchase price? Property value (that can be different to the declared purchase-price)

Is that because the people who would purchase a "luxery house" are supposed to have much money, and therefore "not deserve" the "seconda casa"-tax relief?

Best regards.[/QUOTE]

- question a): yes
- question b): you pay 10% for tassa registro (better 7% tassa registro, 2% tassa trascrizione and 1% tassa catastale) and this amount is calculated on the "declared price", see specific the thread on this matter
- question c) yes. Essentially the State wants to facilitate the purchases for "common people", who have no other houses and are not going to buy a luxury one.
I remind you that the law that sets the condition for "luxury" is dated 1949, when we all was much poorer than now and the "rich" houses were relly few. Therefore some conditions now sound strange and old-fashioned (i.e. presence of a lift, if the building has less than 7 floors: consider that thanks to new laws, now all new buildings with more than 3 floors MUST have a lift)
But this is just theory, pratically the great majority of houses are still "no luxury", because there are still some "tricks" (legal, not illegal) to avoid the luxury.
Naturally, if you're going to buy a big villa, with park, swimming pool etc, you have no hope: you'll pay 10%

Dear Notaio,

could you let me know which number the 1949-law has, as I would like to have a look at it? Like you led me to law number 218 of 1995, articles 29+30, that I have read with great interest, I would much appreciate it if you could indicate which is the 1949 law.

Thank you very much, you help is... stupendo!

Grazie dei suoi interventi, ci servono moltissimo!

Caro notaio,

ho letto altrove sulla rete che le case che sono da considerare "case da lusso" sono quelle accatastate come A/1, e che di conseguenza ogniqualvolta ci si trovi di fronte ad una tale casa, ci si puo dimenticare di avere "prima casa".. Mentre per tutte le altre categorie catastali si puo benissimo avere "seconda casa".. Questo le risulta vero?

Sorry, just came to mind that I am not in the english-italian forum where I usually roam. I am simply asking "notaio" if all houses registered as A/1 on the local italian landregistry are to be considered "luxury houses", and therefore not elegible for "1 casa"/"Primary residence".

grazie mille,

Anders

[QUOTE=andersxman]Caro notaio,

ho letto altrove sulla rete che le case che sono da considerare "case da lusso" sono quelle accatastate come A/1, e che di conseguenza ogniqualvolta ci si trovi di fronte ad una tale casa, ci si puo dimenticare di avere "prima casa".. Mentre per tutte le altre categorie catastali si puo benissimo avere "seconda casa".. Questo le risulta vero?

Sorry, just came to mind that I am not in the english-italian forum where I usually roam. I am simply asking "notaio" if all houses registered as A/1 on the local italian landregistry are to be considered "luxury houses", and therefore not elegible for "1 casa"/"Primary residence".

grazie mille,

Anders[/QUOTE]

The tax offices (uffici del registro) actually used to consider luxury houses only the A1 houses, while all the non-A1 categories were elegible as "prima casa" - (first house).
Things changed this summer (12.8.2005), with new instructions from the government (circolare ministero finanze n. 38/E) and one of theese is that is not relevant the categoria catastale, but how the house is.
Here there's the link with the new instructions. It's in italian of course, so only for "expert"

[url]www.governo.it/GovernoInforma/Dossier/casa_acquisto/circ_38e_2005.pdf[/url]

Mama mia, Notaio, that makes interesting reading! I think we should just slip under the 'luxury' classification as long we start cultivating mushrooms and block-up the drains on our tennis court. :-)

Hi all,
I'll be moving to italy for 6/7 months after i buy to do the renovations and generally enjoy the country, but will be coming back after that...
Will I qualify for residency and the 7% tax reduction? How long do you have to be resident to get the benefits?

I could really do with an answer for the above question.... anybody?

Not sure of the exact answer but a post some time ago suggested they couldn't get it because their house wouldn't be finished within 18 months. You have to apply for residency within 18 months of buying and I guess the house has to be in a fit state for you to reside in it!

Hi Will. I think im right in saying when you purchase your property, you would have to pay the taxes, so if you are doing some renovations,providing the work would be finished and you would be living in your house within 18 months from purchase you only have to pay 3%, also you can only apply for residensy if the house is habitible, because the local police will come and check,they just turn up without notice, be sure from the start when you purchase that you will be a resident within 18months, because if you are not sure its best to pay the 10% tax, otherwise its a heavy fine.Im sure Notia will tell me if ive got it wrong, and advice you. good luck Francesca

[QUOTE=Will Bialey]Hi all,
I'll be moving to italy for 6/7 months after i buy to do the renovations and generally enjoy the country, but will be coming back after that...
Will I qualify for residency and the 7% tax reduction? How long do you have to be resident to get the benefits?[/QUOTE]

To get the tax reduction, you do not need to be resident in the house you've bought, but just in the town where the house is.
So, even if your house is still under construction and you are meanwhile steadily living in another house (i.e. rented, or a friend's house), you can get residency.
Once your residency has been certified by the comune, i.e. you've got your certificate, nobody will ever have any more interest in this matter.
Of course you need to remain resident in the town for a while, at least 2/3 years, it depends on how long the local tax office (ufficio del registro) takes to verify the "prima casa" declarations.

On the same subject, is there a limit to the size of the property being purchased, in order to qualify for the lower rate tax?

[QUOTE=Russ]On the same subject, is there a limit to the size of the property being purchased, in order to qualify for the lower rate tax?[/QUOTE]

Yes, read this thread, the answer is the posts

Apologies. I should have read the thread from the beginning!