Davide. this was an extraordinary well done explanation of the Italian property tax rules. Thank you very much! Now the difference with the US systems is that we do have two levels of taxation on real property, actually one could say three. Number one is the transfer recording fees that takes place when you purchase and for only one time. Number two is what we call property taxes, those we pay every year based on the value determined by the county where we live and their rates. Some states that don't have Personal Income Taxes recover in the way of hefty property taxes, case in mind Texas. Lastly we do have the third level of taxation on real estate, that is at the moment of selling the property. Yes there too we have a taxable event considered as a Capital Gain, now there are many details regarding this one, you can exclude the gain depending in many details etc etc that I won't explain here. So, it seems to me there is no such a thing in Italy like the yearly payment equivalent to our "property taxes" here in the US. Sounds really good! Imagine the average rate in the US is close to 1.1% of the assessed value. That's a real selling point on italian properties? Thanks for your video!
Hi Silma, many thanks for your detailed explanation. Today’s Q&A specifically covers the theme in regards to how much you need to pay in tax when you purchase a property in Italy. In regards to pay a yearly tax, we also have that and is called IMU. Plus if you sale your property within 5 years you pay “plusvalenza” or Capital Gain tax. I think we are pretty aligned when it comes to taxation 🙏 Once again thank you for your great input! Davide
Grazie Davide per la tua risposta alla mia domanda. Lo vedo ora per la prima volta. Spero di visitare il Salento nel mio prossimo viaggio da Stati Uniti . Il tuo canale è ricco di contenuti e fornisce informazioni molto importanti. Ringrazio a te. (Scusa per errori, sono imparare la lingua.)
Davide. I am going backwards through your videos absorbing all your past information. You are awesome Sir. THANK YOU for what you do. Following you and LIKING every upload. :) Future cliente here.
Hi Jesus, many thanks 🙏 I try to be clear and cover all angles. Majority of my videos come from my personal experience in the field of real estate. Happy to be of help and assistance 💫
Hello from a scorching 40 degrees Celsius day in Australia. Very informative some of my questions I’ve been searching answers for were answered very clearly in this Q & A. Have a great weekend 😊👌
Hello, and thanks for the information Question, is a farm that includes (say) 20 dunams of land agricultural land, is the payment similar? Does the 9% payment include the land? Or is there an additional fee?
This was most informative. If I utilized your services as the facilitator on a property purchase, could you assist in researching the cadastral value? I have seen some low end properties that have been used as storage. If one is to refurbish to make it habitable, are there applications and permissions to change the category to residential, and is this mandatory, and at what stage of the process? It is interesting to see that the minimum fee charged of 1,000 euros would actually outvalue the 9% or even 2% of a lower priced property , for instance on a total renovation prospect asking @20,000 purchase price for a property in need. I am following closely. I will have my dual citizenship if all goes to plan, by the end of 2021. Thank you for your videos.
Hahahah laughing or crying Humm let me think!! I can feel you getting excited about the process. Best thing would be to send me a list of specific questions via email davide@salentowithlove.com thereafter schedule zoom call and I can answer in details every point (freeeee) 1) Refurbishing a property doesn’t automatically changes the usage on the cadastral, sometime property categories cannot be altered. 2) The minimum charge of €1000 is when the calculation regardless of the 9% or 2% is below 1K At least I managed to answer a few things 😊
Does Italy have an annual property tax? For example, after I buy the house and pay the transfer tax, do I have to pay an annual property tax on the value of the house/apartment? I am trying to understanding monthly and annual expenses. Thank you for you your precise and practical approach.
If you’re not a resident or an italian citizen, you will pay property tax, in italy is called IMU. The annual charge is based on cadastral value and town, so first you need to identify a property Best Davide
@@salentowithlove3314 Thank you. Do "residents" also pay the tax? For example, If I buy a home as my only residence in Italy, do I also pay the IMU on my Italian residence? Or is this tax only paid by foreigners who buy property to rent or sell?
@@salentowithlove3314 Wonderful. Thank you. In Texas we pay a property tax on our residence as well as our rental property. Your information helps me better understand the cost of living in Italy.
@@glennmelanconphd great, glad I could help. To be even more technical, in italy the definition of the property you physically live in is ‘Prima Casa’. Any other property owned by the same subject is called ‘seconda casa’ and subject to IMU
If I purchased my first home in Italy and pay the 2%, and then a couple years later decide to upgrade, can I pay the difference between 2% & 9% on the first place and call the upgraded home I buy later my principle abode?
Thank you for your question, the answer is not a strait forward one. Many things to take into consideration, but if that is the plan I’m happy to create a strategy that works for you. The link below, anyhow in Italian can be of further help. www.tasse-fisco.com/case/vendita-acquisto-prima-casa-agevolazion-fiscali-chiarimenti/3013/
Thank you so much for the time you spend making the videos. Is it more diffucult for me to buy a property in Italy/Salento through my Norwegian company? Greetings from winter cold Norway. Per
Morning from Sunny Salento, coffee time!! The answer is no, if you know what you’re doing. I have purchased several properties from my UK LTD companies. There’s a little extra bureaucracy and the 9% will be applicable on the purchasing price rather than the cadastral value. Happy to assist you Have a great weekend
Good news for us. We will be looking for a property we can rent out tho help covering our costs. We love rebuilding and cherish possibilities over key finished. If you are doing more walk through trips we would be happy if you have the possibilities to share more costs before/after renovations.
Another topic we would like to learn about is practical example of a property you fully take care of. Combination of walkthrough and a breakdown of costs.
Hi Arturo, I have some additional info on our web site. It very much depends on the type of rent, holiday let, or long-term letting. Also, the area is particularly important. I think I do answer some of these points in my video. Please email me directly for additional info davide@salentowithlove.com Regards, Davide
Hi ,you are amezing,I have a questions.Can I get your personal contact email? When I bought already a property in Italy but I am not become a residance of Italy do I have some other taxes to pay every year for being an owner of that property?Thank you so much
![Lp. Сердце Вселенной #60 РОЖДЕНИЕ ЛОЛОЛОШКИ [Финал] • Майнкрафт](http://i.ytimg.com/vi/YoR0pAV9FVQ/mqdefault.jpg)
Davide. this was an extraordinary well done explanation of the Italian property tax rules. Thank you very much!
Now the difference with the US systems is that we do have two levels of taxation on real property, actually one could say three. Number one is the transfer recording fees that takes place when you purchase and for only one time. Number two is what we call property taxes, those we pay every year based on the value determined by the county where we live and their rates. Some states that don't have Personal Income Taxes recover in the way of hefty property taxes, case in mind Texas. Lastly we do have the third level of taxation on real estate, that is at the moment of selling the property. Yes there too we have a taxable event considered as a Capital Gain, now there are many details regarding this one, you can exclude the gain depending in many details etc etc that I won't explain here. So, it seems to me there is no such a thing in Italy like the yearly payment equivalent to our "property taxes" here in the US. Sounds really good! Imagine the average rate in the US is close to 1.1% of the assessed value. That's a real selling point on italian properties?
Thanks for your video!
Hi Silma, many thanks for your detailed explanation.
Today’s Q&A specifically covers the theme in regards to how much you need to pay in tax when you purchase a property in Italy.
In regards to pay a yearly tax, we also have that and is called IMU.
Plus if you sale your property within 5 years you pay “plusvalenza” or Capital Gain tax.
I think we are pretty aligned when it comes to taxation 🙏
Once again thank you for your great input!
Davide
Grazie Davide per la tua risposta alla mia domanda. Lo vedo ora per la prima volta. Spero di visitare il Salento nel mio prossimo viaggio da Stati Uniti . Il tuo canale è ricco di contenuti e fornisce informazioni molto importanti. Ringrazio a te. (Scusa per errori, sono imparare la lingua.)
Wow, Bravissima, il tuo italiano è Fantastico. Spero di conoscerti presto
D
Brava.italiano perfetto 👍
Aww thank you! How wonderful. You educate us ahead of time, before purchasing property. Fabulous🙏🏻
My pleasure, happy to be of assistance throughout your planning stages.
Happy New Year
D
Davide. I am going backwards through your videos absorbing all your past information. You are awesome Sir. THANK YOU for what you do. Following you and LIKING every upload. :) Future cliente here.
Hi Jesus, many thanks 🙏 I try to be clear and cover all angles. Majority of my videos come from my personal experience in the field of real estate. Happy to be of help and assistance 💫
Thank you Davide you were a great help. Ciao Francesca
Glad I could help 💫
As always, very informative. Thanks for the clarity.
Thank you Lisa, and thank you for your email. I will replay early next week! Have a great weekend.
Hello from a scorching 40 degrees Celsius day in Australia.
Very informative some of my questions I’ve been searching answers for were answered very clearly in this Q & A. Have a great weekend 😊👌
Great! Have a great weekend to 😊
Hello, and thanks for the information
Question, is a farm that includes (say) 20 dunams of land agricultural land, is the payment similar?
Does the 9% payment include the land? Or is there an additional fee?
Purchasing taxes on land is calculated totally different. You will need the relative paperwork in order for the taxes to be calculated
Hello - a bit off topic, but do you know if the expenses associated with a property search are tax deductible in the US?
You should ask your accountant in the US
This was most informative. If I utilized your services as the facilitator on a property purchase, could you assist in researching the cadastral value? I have seen some low end properties that have been used as storage. If one is to refurbish to make it habitable, are there applications and permissions to change the category to residential, and is this mandatory, and at what stage of the process? It is interesting to see that the minimum fee charged of 1,000 euros would actually outvalue the 9% or even 2% of a lower priced property , for instance on a total renovation prospect asking @20,000 purchase price for a property in need. I am following closely. I will have my dual citizenship if all goes to plan, by the end of 2021. Thank you for your videos.
Hahahah laughing or crying Humm let me think!! I can feel you getting excited about the process. Best thing would be to send me a list of specific questions via email davide@salentowithlove.com thereafter schedule zoom call and I can answer in details every point (freeeee)
1) Refurbishing a property doesn’t automatically changes the usage on the cadastral, sometime property categories cannot be altered.
2) The minimum charge of €1000 is when the calculation regardless of the 9% or 2% is below 1K
At least I managed to answer a few things 😊
Does Italy have an annual property tax? For example, after I buy the house and pay the transfer tax, do I have to pay an annual property tax on the value of the house/apartment? I am trying to understanding monthly and annual expenses.
Thank you for you your precise and practical approach.
If you’re not a resident or an italian citizen, you will pay property tax, in italy is called IMU.
The annual charge is based on cadastral value and town, so first you need to identify a property
Best
Davide
@@salentowithlove3314 Thank you. Do "residents" also pay the tax? For example, If I buy a home as my only residence in Italy, do I also pay the IMU on my Italian residence? Or is this tax only paid by foreigners who buy property to rent or sell?
@@glennmelanconphd Italians also pay IMU is not a tax for foreigners.
You don’t pay IMU on your property ( the one you live in) if you’re a resident
@@salentowithlove3314 Wonderful. Thank you. In Texas we pay a property tax on our residence as well as our rental property. Your information helps me better understand the cost of living in Italy.
@@glennmelanconphd great, glad I could help. To be even more technical, in italy the definition of the property you physically live in is ‘Prima Casa’. Any other property owned by the same subject is called ‘seconda casa’ and subject to IMU
Excellent like always
Thank you 🙏
Very informative, good to know
I’m glad you have found the material of interest
If I purchased my first home in Italy and pay the 2%, and then a couple years later decide to upgrade, can I pay the difference between 2% & 9% on the first place and call the upgraded home I buy later my principle abode?
Thank you for your question, the answer is not a strait forward one. Many things to take into consideration, but if that is the plan I’m happy to create a strategy that works for you.
The link below, anyhow in Italian can be of further help.
www.tasse-fisco.com/case/vendita-acquisto-prima-casa-agevolazion-fiscali-chiarimenti/3013/
Thank you so much for the time you spend making the videos. Is it more diffucult for me to buy a property in Italy/Salento through my Norwegian company? Greetings from winter cold Norway.
Per
Morning from Sunny Salento, coffee time!!
The answer is no, if you know what you’re doing.
I have purchased several properties from my UK LTD companies.
There’s a little extra bureaucracy and the 9% will be applicable on the purchasing price rather than the cadastral value.
Happy to assist you
Have a great weekend
Good news for us.
We will be looking for a property we can rent out tho help covering our costs. We love rebuilding and cherish possibilities over key finished. If you are doing more walk through trips we would be happy if you have the possibilities to share more costs before/after renovations.
A topic we would like is “what is possible in 30-50.000 range, 50-70.000 range.
Another topic we would like to learn about is practical example of a property you fully take care of. Combination of walkthrough and a breakdown of costs.
@@peremillinde4121 that is in the pipeline 💫 I have many examples! I just need permission to do so! Working on that!!
how much revenu could a 1 br. apt.genarete a yr.in salente
Hi Arturo, I have some additional info on our web site. It very much depends on the type of rent, holiday let, or long-term letting. Also, the area is particularly important. I think I do answer some of these points in my video.
Please email me directly for additional info davide@salentowithlove.com
Regards, Davide
buying apt.
buying 30000 apt.near ocean
One thing we don’t have in Italy is the ocean.
Hi ,you are amezing,I have a questions.Can I get your personal contact email? When I bought already a property in Italy but I am not become a residance of Italy do I have some other taxes to pay every year for being an owner of that property?Thank you so much
Thank you 🙏
You can book a consultation call by emailing Anna Maria on
Info@salentowithlove.com
Very important to keep up to date with your taxes