Corporate Works

First home benefits for Italian citizens residing abroad

First home benefits also apply in the case of an Italian citizen residing abroad, even regardless of the variation of residence in the same municipality.

Turin-Italy

Turin-Italy

For Italian citizens residing abroad, it must be the first house owned in Italy. The potential purchaser must not be the exclusive owner or in communion with the spouse of property rights, usufruct, use and residence of another dwelling house in the territory of the Municipality where the property to be purchased is located.

In addition, it must not be titled, even for shares or in legal communion, throughout the country, property rights, use, usufruct, home or bare ownership, on another dwelling house, purchased, even by the spouse, taking advantage of benefits for the purchase of the first house.

The residence, however, must not be moved to the new house on the Italian territory but the deed must be done in Italy and the declarations indicated above must be issued.

In this sense, the citizen who is resident abroad, which means to say it in a very restrictive way that stays for more than 183 days in the territory of another state compared to Italy or that also based on other requirements (which you can find described in the article dedicated to the fiscal residence of natural persons) is not considered as such, can proceed with the purchase of a house, benefiting from the lower registration tax (1% instead of 9%) and mortgage and cadastral taxes, with respect to taxpayers who buy second homes or do not meet the requirements you find in the article dedicated to the first home benefits.

The benefit will then be independent of the listing on the AIRE list for residents abroad

Italian emigrant abroad (also not registered with AIRE)

Even the Italian subject who becomes resident abroad both for personal reasons and for professional reasons can still exploit the benefit of the first housing for real estate located in Italian territory.

To benefit from the facilitation, it will not be necessary to register with the AIRE, even if, during the controls, it will be necessary to prove the residence abroad.

In the table below I gave you an example to better understand the actual tax savings in the case of a purchase without first house tax benefits.

 

Property Type   Seller Buyer When VAT Registry Tax Mortgage Tax Cadastre Tax
                 
Sale of residential buildings of Individual without VAT with the first rebates on houses Purchased for less than five years 0 2% 200 200
Sale of residential buildings of Individual without VAT without first housing reductions Purchased for less than five years 0 9% 50 50
Sale of residential buildings of Construction company with the first rebates on houses Purchased for more than five years 4% 200 200 200
Sale of residential buildings of Individual without VAT with the first rebates on houses Purchased for more than five years tax-free 2% 50 50
Sale of residential buildings of VAT holder (no construction company) with the first rebates on houses   tax-free 2% 50 50
Sale of instrumental buildings of Individual without VAT without first housing reductions     9% 50% 50%
Sale of instrumental buildings of Construction company without first housing reductions Bought built for less than five years with the Tupini law 10% 200% 3% 1%
Sale of instrumental buildings of Construction company without first housing reductions Purchase built for less than five years with salvage operations 10% 200% 3% 1%
Sale of instrumental buildings of Construction company without first housing reductions built by the original company 22% 200 3% 1%
Sale of instrumental buildings of Construction company without first housing reductions Bought built for more than five years with the tupini law 10% 200 3% 1%
Sale of instrumental buildings of Construction company without first housing reductions Bought built for more than five years with recovery operations 10% 200 3% 1%
Sale of instrumental buildings of Construction company without first housing reductions built by the ceding company without VAT option 22% 200 3% 1%
Sale of instrumental buildings of Construction company without first housing reductions built by the ceding company without VAT option tax-free 200 3% 1%
Sale of instrumental buildings of Subject with VAT number without first housing reductions without VAT tax option tax-free 200 3% 1%
Sale of instrumental buildings of Subject with VAT number without first housing reductions with VAT tax option 22% 200 3% 1%

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