Ten Simple Rules To Investing In Italian Real Estate
AUTHOR
Adriana Giglioli
An Italian property expert suggests crucial pointers on how to safely purchase a villa or apartment in Italy and make sure you steer clear of some common mistakes.
Recent changes in the Italian tax regime have cut house-buying costs by 10-15%. Combined with the country's ceaseless attraction it means there has rarely been a more opportune time to invest in Italian property. Yet as with any house-buying process, there are commonsense guidelines to follow to ensure everything runs to plan. Here are the 10 most essential:
How Do You Know if Your Property Investment is Performing?
In these difficult times, most people are starting to feel the squeeze in their pockets and feeling strongly that their investments are not performing as well as they should.
What do you pay Income Tax or CGT? (Crossing the Rubicon) Part 3 of 3
Having read the first two articles, you should now have a good understanding of the concept of “crossing the Rubicon”. In this article, I give several court case examples which dealt with the more intricate issues and helped to assess intention.
As we previously explained, the “Lydenberg” case stated that intention is the golden rule and hence, a court must look at the intention of the taxpayer when deciding the nature of a transaction. The moment the intention has changed, the taxpayer has “crossed the Rubicon” and the nature of the transaction changes.
Tax Deduction on Immovable Property - The New section 13
If you often read these articles, you will know that the old section 13(ter) has expired. Until recently, this was the only section which allowed owners of residential property, which was used for trade purposes, to get tax deductions on the cost of immovable property. This section was effectively repealed on 20 October 2008.
The good news is that there is a new section in place now which seems to be a lot better overall for owners of new, residential units. Section 13(six) effectively came into place on 21 October 2008.
This question of what is IRR Internal Rate of Return is one of the most frequently asked questions and often even when explained property investors that do not have a financial background, do not fully understand this concept. In this article we are explaining in the simplest way possible what is IRR or Internal Rate of Return.
