Facilitation “first house” aim at accessing to reduced taxes for the purchase of real estate, as long as specific requirements must be met:
- If the purchase is made from a private individual or a VAT-exempt business, the registration tax is reduced from 9% to 2%, with fixed mortgage and cadastral taxes of €50 each.
- If the seller is a VAT-registered business, the buyer pays VAT at 4% (instead of 22%) and fixed taxes of €200 each for registration, mortgage, and cadastral fees.
Specific case: request 238/2024
An applicant registered in the AIRE (Register of Italians Living Abroad) returned to Italy for family reasons and purchased a property using first-home tax benefits. At the time, she had re-established her presence in Italy and continued her work activities. However, this situation occurred after she had already been registered abroad.
In the bill of sale, she declared her intention to move her residence to the city where the property is located within 18 months. However, she later chose to maintain her residence abroad. Then, she requested an amendment to the declaration, claiming that she meets the requirements for individuals residing abroad due to business reasons.
Regulatory framework
The facilitation is regulated by Note II-bis, at the end of Article 1 of the Fee, Part I, annex to Presidential Decree No. 131 of April 26, 1986.
Among the conditions, paragraph 1, (letter a) requires that the property is situated in the city where:
- The buyer has or establishes his residence within 18 months; or
- Carries out his work activities; or
- In his birhplace o where he had his residence or carried out his work activities before moving. If, simultaneously, the buyer:
- has moved abroad for business reasons;
- has lived or worked in Italy for at lest 5 years;
Further requirements comprehend:
- the absence of other property rights in the same city (letter b);
- the first usage of the facilitation (letter c).
The Circular 3/E of 2024 clarifies that the transfer abroad for business reasons must occur before the property purchase. As a consequence, a subsequent transfer does not qualify for the tax exemption.
Opinion of the Revenue Agency
Sure! Here’s a more concise version:
In this case, at the time of purchase, the applicant was working abroad. Despite being registered in the AIRE, she did not meet the condition of ‘moved abroad for business reasons‘ at the time of the deed. Therefore, the Revenue Agency determined that the failure to transfer the property within the specified term results in the forfeiture of the benefit.
It follows that the applicant must revoke the declaration of intent to transfer their residence and request a re-assessment of the tax without penalties, as provided by Resolution No. 105/E of October 31, 2011.
