23/05/2024
🏠💼The Purchasing Process in Italy📝
Italian Fiscal Code (Codice Fiscale):
Obtaining an Italian Fiscal Code from the Italian Revenue Agency (Agenzia delle Entrate) is mandatory for purchasing property in Italy. 📝 This unique alphanumeric code serves various purposes, including tax declaration, administrative tasks, healthcare access, and financial transactions. 💼
Written Bid (Proposta d'acquisto):
The first step in buying property in Italy is submitting a written bid using the "Proposta d'acquisto" form. 📄 This includes bid price, payment method, and proposal expiration date. Enclosing a deposit demonstrates commitment, and if accepted, the contract becomes binding. 💰
Preliminary Contract (Contratto Preliminare):
The preliminary contract binds both parties to proceed with the sale by a set date, detailing terms like property description, selling price, and payment conditions. 💼 A down payment (10-20% of the total price) is typically made upon signing. 💸
The Notary Deed (Atto di compravendita):
This formal written deed, overseen by a notary or authorized official, finalizes the property transfer. 📝 Legal ownership is transferred, and the buyer must pay the agreed amount at this stage. 💼
Taxation:
Cadastral Property Income Value: The Revenue Agency assigns a value to cadastral income to calculate property taxes fairly. 🏠 This value is based on factors like location, size, and construction quality to prevent tax evasion and ensure fairness. 💰
Property Purchase Taxes:
Sale conducted by a private individual:
Primary Residence: Registration Tax (2%), plus fixed Mortgage and Land Registry Taxes. 🏡
Secondary Residence: Registration Tax (9%), plus fixed Mortgage and Land Registry Taxes. 🏠
Sale conducted by a Company/Business:
Primary Residence: Registration Tax (4%), plus fixed Mortgage and Land Registry Taxes. 🏢
Secondary Residence: Registration Tax (9%), plus fixed Mortgage and Land Registry Taxes. 🏠
Taxation on Land: Taxes are calculated based on the land's price indicated in the deed, with 15% of this value payable. 🏞️
Additional Expenses:
Notary and Real Estate Agency Fees:
Notary: Fees start from €2,000, with 22% VAT added. Payment coincides with the notarial deed and methods may include check or bank transfer. 🏛️
Real Estate Agency Commission: Typically start from 4% plus 22% VAT, paid upon seller acceptance of the purchase proposal or signing of a preliminary sales contract. The exact amount depends on the property's purchase price. 🏠💼
