EVERYTHING YOU NEED TO KNOW WHEN BUYING YOUR FIRST
HOME
The "Ufficio delle Entrate" takes special care of first
time buyers of fullownership, usufructor residuary right
ownership property for personal residential use by
granting some tax benefits amounting to the reduction of
registry, mortgage and land registry taxes which are
applied to the property value declared in the public
Deed of Transfer.
BUYING
If the property is bought from a construction company,
the VAT payable
will be 4% instead of 10%, with a saving of 6% and the
registration taxes
will be fixed (euro168.00).
EXAMPLE1:
Mr and Mrs Rosi buy, a privately owned property for
personal residential use in the town of Orvieto through
public Ded, and pay euro 50,00.00 for the property.
If they apply for first time home buyer benefits, the
tax they will pay on the Ded will amount to,euro1,758.2
instead of euro 5,000.0,with asaving of euro 3,242.0
If Mr and Mrs Rosi had bought the same property from a
construction company at the sameprice they would have
paid a VAT of euro 2,000.0 instead of euro 5,00.00, with
a saving of euro 3,000.0, plus the registry, mortgage
and land registry taxes which would have amounted to
euro 504.00 in total.
WHAT CAN YOU BUY?
First time home buyerbenefits apply to:
-urban properties for residential purposes classified by
the land registry office under categories A1 to A9, and
A11, provided they are not termed “luxuryresidences”;
-properties under construction(unfinished) or in the
process of being renovated, destined to be used as
principle non luxury residences;
-outbuildings to the property bought with benefits such
as garages, parking spaces(C/6),store rooms or deposits(C/2)and
shelters(C/7), one for each type also with separate Deds.
WHAT DO YOU NEED TO DO TO GET FIRST TIME BUYER
BENEFITS?
To take advantage of the first time buyer benefits you
need to declare in the Ded of purchase, under risk of
forfeit,that:
-the property is located either within the Municipal
territory in which you reside or intend to establish
residence within18months from the date of purchase,or
intend to establish domicile if it is the head quarters
of your business activity and interests(e.g.working
place) or the head quarters or business activity of the
personon which you depend even if remaining abroad for
work or other reasons,or if you area an Italian citizen
who resides abroad and the property is your first home
on Italian territory;
-if you are not already an exclusive owner or
incommunity with your spouse with right of property,
usufruct, use and residence of any other residential
home within the territory inwhich the property you
intend to buy is located;
-if you do not already own, nor have any community
shareholder of property, usufruct, use, residence and
residuary ownership rights on any other residential
property bought with the first time home buyer benefits
throughout the entire national territory.
FISCAL CODE (Codice Fiscale in
Italian)
What is it? The Fiscal Code identifies a citizen in all
his or her dealings with Public Authorities and
Administrations. You have to contact your local Revenue
office and exhibit an identity document to obtain this
code. Foreigners require a valid passport or residence
permit.
Infants require only a birth certificate or parent
self-certification.
The only acceptable Fiscal Code is the one issued by the
Revenue office.
VAT NUMBER (Partita IVA in
Italian)
The VAT numberi dentifies the tax payer carrying out an
economic activity in all his dealings with Public
Authorities or Administrations and with all other
economic operators.
The VAT number is issued by the "Ufficio delle Entrate"
upon setting up VAT status and remains the same until
your business ceases to be. It must be shown on tax
returns and any other document where requested.
For more information and updates:
www.agenziaentrate.gov.it
