Apartment in Italy

D

danboo

Guest
I am thinking of buying an apartment in italy in a college town, so letting should not be a problem. I know the area well as I have friends there.

Can anyone tell me what the situation is on paying tax on the rent ? Where do i pay it and what i could write off.

thanks

Dan
 
You can write off NOTHING.
Tax on the rent is somewhere around 20% as far as I know.
A "commercialista" (accountant) does the calculations, then gives you a form and you pay through the bank.
 
If you are tax resident in Ireland, the total tax payable will depend on the terms of the tax treaty between Ireland and Italy. Paying the Italian tax does not necessarily satsify (in full) your Irish tax liability.
 
There's also the annual fee you pay for registering the contract - 1% is paid by the landlord and 1% is paid by the tenant. There's a fine if you register later than a month after the beginning of the contract.
Then there's another tax called IRPEF.
Renting in Italy can be a nightmare. Italy is nowhere near to being a free country like Ireland.
 
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