The plenary of the House of Representatives voted on July 14, 2016 to reduce immovable property tax between 72.5% and 75% for 2016 and to abolish it from 2017 onward.
Immovable property tax from 2016 will be at 25% of the amount calculated with the existing provisions in place, that is to say its value on January 1st, 1980 provided that it is paid until October 31st 2016.
The new legislation also provides that in case the tax is fully paid between November 1st and December 31st the tax, which has to be paid, will be at 27.5% of the taxable amount on the basis of existing provisions in place.
It further includes the imposition of a penalty of 10% on the 27.5% of the taxable amount if it is not settled by December 31st 2016.
The legislation also provides the abolition of the tax from January 1st 2017 onward.
| Example |
1 |
2 |
3 |
4 |
5 |
6 |
7 |
| Total Property Price value as at 1980 in Euros |
40.000 |
100.000 |
200.000 |
300.000 |
500.000 |
1.000.000 |
5.000.000 |
| Tax in 2015 |
|
|
|
|
|
|
|
| Last payment day 31/12/2015 |
240 |
720 |
1.660 |
2.760 |
5.360 |
13.260 |
85.260 |
| Discounet 17.5% (Payment 30 days before) |
198 |
594 |
1.370 |
2.277 |
4.422 |
10.940 |
70.340 |
| Discounet 20 % (Payment 30 days before) via JCC and Banks |
192 |
576 |
1.328 |
2.208 |
4.288 |
10.608 |
68.208 |
| Payment after 31/12/2015 |
264 |
792 |
1.826 |
3.036 |
5.896 |
14.586 |
93.786 |
| Tax in 2016 |
|
|
|
|
|
|
|
| Payment until 31/10/2016 |
60 |
180 |
415 |
690 |
1.340 |
3.315 |
21.315 |
| Payment until 31/12/2016 |
66 |
198 |
457 |
759 |
1.474 |
3.647 |
23.447 |
| Payment after 31/12/2016 |
73 |
218 |
502 |
835 |
1.621 |
4.011 |
25.791 |
