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If you own a home in Italy, you will pay two local taxes every year: IMU, the municipal property tax, and TARI, the waste collection tax. You may still see a third, TASI, in older guides. It no longer exists: TASI was merged into IMU from 1 January 2020. This guide explains who pays what, how IMU is worked out with a realistic example, and when payments are due.
IMU (Imposta Municipale Unica): the property tax
IMU is paid by the owner of a property to the comune (municipality) where it is located. Each comune sets its own rate within limits set by national law, so the same house can cost a little more or less in IMU depending on the town.
Who pays IMU?
- Your main home is exempt: the house where you live and are registered as resident. The exception is homes in the luxury cadastral categories A/1, A/8 and A/9, which pay IMU at a reduced rate even as a main home.
- Second homes and holiday homes pay IMU. This is the case for most foreign buyers who are not resident in Italy.
- Commercial buildings and building land pay IMU. Agricultural land has its own rules and is exempt in many hill and mountain areas, so ask the comune or an accountant if you are buying land.
How IMU is calculated
IMU is not based on what you paid for the house. It starts from the rendita catastale (cadastral income), an official figure recorded for every property at the land registry. You will find it in the visura catastale and in your purchase deed. For homes it is usually a few hundred euros, and rarely more than about €1,500.
- Take the rendita catastale and add 5% (multiply by 1.05).
- Multiply by 160 for homes and their garages, cellars and stores. This gives the taxable value.
- Apply the comune’s IMU rate. The standard rate is 0.86%; comuni can set it lower or raise it, usually up to 1.06%.
Example (illustrative only): a holiday home with a rendita catastale of €600.
- €600 × 1.05 × 160 = €100,800 taxable value
- At 0.86%: about €867 a year. At 1.06%: about €1,068 a year.
Before you buy, ask the agent or notary for the property’s rendita catastale and check the comune’s current IMU rate on its website. That gives you a reliable yearly figure for your budget.
When and how to pay IMU
- First instalment: by 16 June
- Second instalment (balance): by 16 December
In Italy, IMU is paid with the F24 form, online through an Italian bank or at a post office. If you live abroad, the comune’s website explains how to pay from outside Italy, usually by bank transfer. Many owners simply ask a local accountant (commercialista) or a property manager to calculate and pay it for them each year. In the year you buy, IMU is shared by the months each owner held the property.
TARI (Tassa sui Rifiuti): the waste collection tax
TARI pays for rubbish collection, recycling and street cleaning. It is charged by the comune to whoever occupies the property, so both main homes and second homes pay it, including holiday homes used only part of the year.
- How much: each comune sets its own tariff, based mainly on the floor area of the property and the number of occupants (comuni often use a set number for non-resident owners). There is a fixed part and a variable part.
- Register after you buy: tell the comune’s TARI office that you are the new occupant, within the time the comune allows. The previous owner closes their account at the same time.
- Paying: the comune (or its waste company) sends a bill, usually split into instalments during the year.
- Reductions: some comuni offer lower rates for homes used only occasionally or for home composting. Ask when you register.
What happened to TASI?
TASI (Tassa sui Servizi Indivisibili) was a separate tax for services such as street lighting and road maintenance. It was abolished from 1 January 2020, when it was merged into IMU. If a guide, a seller or an old bill mentions TASI, it is out of date: today you only pay IMU (if the home is not your main residence) and TARI.
Summary: who pays which tax?
| Tax | Who pays | Main home | Second / holiday home |
|---|---|---|---|
| IMU | The owner | Exempt (except A/1, A/8, A/9) | Yes |
| TARI | The occupant (usually the owner) | Yes | Yes |
| TASI | No one: abolished in 2020 | – | – |
Other costs to keep in mind
- Taxes when you buy are separate from these yearly taxes: they are paid once, through the notary, at completion. See our guide to buying property in Italy step by step.
- Rental income is taxed separately if you let the property.
- Your home country may also tax foreign property or the income from it. Check with an adviser there.
- You need an Italian tax code to own property and pay these taxes: see how to get your codice fiscale.
Budgeting before you buy
For most second homes, IMU and TARI together come to a few hundred to a couple of thousand euros a year, depending on the property and the comune. Ask for the rendita catastale, the last IMU and TARI amounts the seller paid, and the comune’s current rates before you make an offer. Our 7 mistakes foreign buyers make covers other costs that are easy to miss.
Ready to look? Describe what you want in our AI property search, or browse our buying guides for Tuscany and Umbria.
This is general information, not legal or tax advice. Tax rules and local rates change, so check the current figures with the comune, a notary or a commercialista before you buy.
