Tax Pills

Italy’s fiscal incentives to attract human capital. The Revenue Agency points out the guidelines
Available on the website of the Italian Revenue Agency the circular n.17/E explaining in detail the national measures introduced to support and stimulate the economic, scientific and cultural development of the Country, through the introduction of  various fiscal incentive schemes for individuals who decide to transfer their tax residence to Italy.
The Tax Administration guidelines illustrate all the different benefits dedicated to who decides to transfer the tax residence to Italy, specifying the requirements to access the incentives, how to exercise the options, the effects and all the characteristics and the mechanisms of incentives currently in place in Italy  to "attract human capital".
It is possible to subdivide the different tax regimes into two macro-categories. The first one includes all the measures dedicated to individuals transferring residence in Italy to work, with the aim of facilitating taxation of income generated in the Country, such as “professors and researchers” regime (art. 44,Dl n. 78/2010), the one dedicated to workers with specific characteristics, so called “impatriati” (art.16, Dlgs n. 147/2015) and the tax regime for the so called “controesodati”, workers who were resident in Italy in the past and that moved back within 2015 (Law  n. 238/2010). The second macro-category includes the tax regime addressed to the high net worth individuals, who transfer residence in Italy regardless of the pursuit of a business activity, with the aim of facilitating taxation on income generated abroad (art. 1, paragraph 152, Law 232/2016).
Positive trend for the residential real estate market in Italy. In 2016 sales increase by 18,9% with a transaction value of € 89 billion
For the third year in a row, the residential real estate market in Italy continues to grow.  In 2016 the number of sales and purchases rises of 18.9%, after the growth of 6.5% in 2015 and 3.5% in 2014. A constant positive trend that goes hand-in-hand with the increase of the transaction value that jumps from 76 billion euro in 2015 to 89 billion in 2016. At the same time grows the percentage of houses purchased with a mortgage loan (+ 27.3%), an increase also related to the upgrading of the affordability index, which measures families possibility to obtain a mortgage to buy an house.This is the picture emerging from the residential Real Estate Report 2017, the study presented today  in Rome and carried out by the Revenue Agency's Real Estate Market Observatory, in collaboration with Abi, the Italian Banking Association.
The Housing Market in 2016 - After a period of crisis, observed since 2007, the residential real estate market seems to have returned to a constant growth. 533,741 housing units have been sold in 2016, recording an increase of 18.9% compared to 2015, with a transaction value of 89 billion euros (+17,4%) The average surface area of ​​the houses is also slightly increasing, moving from 105.2 to 106.6 square meters.
The housing market region by region - Lombardy (+ 21.4%) has the most dynamic housing market, which represents more or less one fifth of the entire national residential real estate market, followed by Veneto (+ 23.1% ), Tuscany (+ 20.0%), Emilia-Romagna (+ 22.8%) and Piemonte (+ 22.8%). Good results have also been achieved in Liguria (+ 23.8%), Sardinia (+ 18.2%), Friuli-Venezia Giulia (+ 18.8%) and Valle d'Aosta (+ 24.6%), although with a lower weight on the national market volume. Lazio, the capital region, has registered an increase of +13.2%, but with more than 55,000 houses sold in 2016, accounts for about 10% of total transactions in Italy. Molise (+ 7.8%) and Calabria (+ 10.8%) are the regions where the residential market grows less in 2016.
Strong increase in mortgage lending – In 2016 mortgages have been 246,182, 27.3% more than in 2015, when they were 193,350. The North West is the area with the largest share of purchases through mortgage, the 36.7% of the nationwide total. As regards the amount granted for the purchase of a home, the national average share is around 120,000 euros. Mortgage interest rates continued to decline and in 2016 still fall by 0.44 percentage points, reaching a 2.31%. Average rates are higher in the southern regions (2.56%) and in the center (2.46%), while the lowest are in the northern regions (2.18%). The average life of the mortgage is essentially stable at 22.5 years, distributed more or less homogeneously across the Country and the monthly mortgage repayment, on average, decreases from 592 euros observed in 2015, to 570 euros in 2016.
Stable situation for the rental market - In 2016, the number of new residential real estate lease contracts was 1,690,520, 1.3% more than in 2015, for a total of more than 1.7 million rented  properties. The number of properties that are under a lease contract in 2016 amounts to about 5.6% of the potentially available stock (the primary residences are excluded). The average surface area is 92 square meters, with an annual average rent of 60.7 € / m2, +0.3%.

FiscoOggi è una pubblicazione dell'Agenzia delle Entrate - Ufficio Comunicazione
Testata registrata al Tribunale di Roma il 19.9.2001 con n. 405/2001
Direttore responsabile Claudio Borgnino