What is IMU (Imposta Municipale Unica)?

Italy's annual municipal property tax — payable on all Italian real estate except the owner's registered primary residence, calculated on the rendita catastale.

Key Facts — IMU (Imposta Municipale Unica)

IMU — Imposta Municipale Unica — is Italy's annual municipal property tax, equivalent to Spain's IBI, Portugal's IMI, or the UK's council tax. In its current form since 2020, it is levied by each comune on all real estate in Italy. The critical exemption: the owner's registered primary residence (abitazione principale / prima casa) is exempt from IMU — provided it is not classified as a luxury property (cadastral categories A/1, A/8, A/9).

For non-residents, holiday homes, rental investments, and second homes, IMU applies in full. The base state rate is 0.86% of the property's fiscal base, but municipalities can adjust between 0% and 1.06%. The fiscal base = rendita catastale × 1.05 × 160 (for residential category A properties, except A/10). The rendita catastale is the annual cadastral income shown on the visura catastale — typically far below market value.

For a typical Italian residential property (category A/2): IMU = rendita catastale × 1.05 × 160 × municipal rate. Example: rendita of €800 at 0.86% rate = €800 × 1.05 × 160 × 0.86% = approximately €1,149/year. The rendita catastale is on your visura catastale from the Agenzia delle Entrate Catasto portal.

IMU is paid in two instalments: the acconto (50%) by 16 June, and the saldo (balance) by 16 December each year. Payment is via the F24 tax form — available at Italian banks, post offices (Poste Italiane), or online banking. Non-residents with Italian property need both a codice fiscale and an Italian bank account or payment service to pay F24.

Some comuni apply higher IMU rates to short-term rental properties or vacant properties. The ability to differentiate rates by use category was extended from 2023. Before purchasing any Italian property for investment or rental, check the specific IMU rate in your target comune — rates vary considerably between municipalities and uses.

Common Mistake: Foreign buyers of Italian holiday homes often assume the prima casa exemption applies because it is their only Italian property. It does not — the exemption applies only to your actual registered habitual residence in Italy. A holiday home you use seasonally attracts full IMU every year.
Expert Tip: Keep records of each year's rendita catastale and municipal rate. If you receive an IMU avviso di accertamento (assessment notice) from the comune, engage an Italian commercialista or tax lawyer immediately — appeal deadlines are strict (60 days from notification to the Commissione Tributaria).
Related terms: CODICE-FISCALE ROGITO COMPROMESSO

Frequently Asked Questions

Do non-residents pay IMU on Italian holiday homes?

Yes. Non-residents and foreign owners pay IMU at the full applicable rate. The prima casa exemption only applies to the owner's registered habitual residence in Italy. A seasonal holiday home attracts full annual IMU.

How do I pay Italian IMU from abroad?

You need a codice fiscale and access to the Italian F24 payment system: online banking with an Italian bank account, the Agenzia delle Entrate Fisconline portal, or delegating an Italian commercialista to pay on your behalf. Deadlines (16 June and 16 December) are strict — late payment attracts penalties and interest.

What is the rendita catastale?

The rendita catastale is the annual cadastral income — an administrative rental value assigned by the Agenzia delle Entrate based on the property's category, class, and location. It is the starting point for IMU, inheritance tax, and some transaction tax calculations. Find it on your property's visura catastale from the Catasto portal.

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AvökatFinder Editorial Team Legal glossary editors — expat legal terms across 37 European countries

This glossary entry is produced by the AvökatFinder editorial team and reviewed for accuracy. It is for informational purposes only and does not constitute legal advice. Always consult a qualified lawyer in Italy for advice specific to your situation.

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