It is the classic situation of many emigrant families: a parent lived for years in Germany, Switzerland or Argentina but left the family home or a rented flat in Italy. If there are assets in Italy, the succession declaration must be filed in Italy, within 12 months of the death, even if the death occurred abroad and even if all the heirs live abroad.
Which assets are taxed
The rule is in the Italian succession tax code (TUS, art. 2). If the deceased was resident in Italy at the time of death, the tax applies to all assets, wherever located. If the deceased was not resident in Italy, the tax applies only to assets located in Italy: real estate, accounts with Italian banks, shares in Italian companies. Assets abroad follow the rules of the country where they are.
Double taxation
Italy has inheritance-tax treaties with only a few countries, including France, the United Kingdom and the United States. Otherwise, what you pay in Italy on Italian assets must be coordinated with the estate filing in your country of residence: worth checking with a local adviser.
Which office is competent
If the deceased had lived in Italy before moving abroad, the competent office is the Agenzia delle Entrate office of the last Italian residence. If they were never resident in Italy or the last residence is unknown, a Rome office designated by the Agency is competent. With electronic filing we handle this detail when preparing the declaration.
How it is filed
Electronically through an authorised intermediary, exactly as for people living in Italy: we collect documents and signatures remotely and transmit the file. The law allows residents abroad, only if electronic filing is impossible, to post the paper form by registered mail: an exception that is almost never needed in practice.
Who inherits: the applicable law
The tax side and the civil side are two different things. Who the heirs are, and in which shares, is determined by the law applicable to the succession. In the European Union, Regulation 650/2012 applies: for deaths from 17 August 2015, the law of the country where the deceased was habitually resident governs, unless the will chose the law of the country of nationality. So an Italian resident in Germany without a will is inherited under German law, including for the house in Italy. The United Kingdom, Ireland and Denmark do not apply the Regulation; for non-EU countries, Italian private international law rules apply.
Where our work ends
We prepare and transmit the declaration and the cadastral transfer for the assets in Italy. If the succession is governed by foreign law, if there is a foreign will to enforce or a European Certificate of Succession to obtain, a notary or a lawyer is also needed: as soon as it emerges from the documents we flag it and explain the steps.
The extra documents
- Death certificate issued abroad: if the deceased was an Italian citizen, the record must be registered in the Italian municipality through the consulate, and an Italian certificate is then issued. Otherwise, the foreign certificate with apostille or legalisation and translation is needed, subject to EU simplifications.
- Proof of the deceased's residence abroad, for example AIRE registration or a residence certificate from the foreign country.
- Tax code of the deceased and of all heirs: non-Italian heirs must have one too.
- The will, if any, with its publication or a European Certificate of Succession.
First-home relief
Mortgage and cadastral taxes on the inherited property can be reduced with the first-home relief, but for people living abroad the rules are specific and changed in 2023: they depend on where the property is and on the heir's ties with Italy. We check it case by case before calculating the taxes.
This guide's information is indicative and for information only. Every succession is unique: the final assessment is always on the specific case. We check your situation for free.