Following the 2007 Budget (Finanziaria 2007), new legislation was passed in Italy to detect unregistered / incorrectly registered houses and buildings, in order to combat tax evasion. (Read article)

On the application of the Italian Government, the Italian Constitutional Court has recently declared partly illegal, because conflicting against the Italian Constitution and therefore unenforceable, the "Luxury Tax" (“Tassa sul lusso”) introduced by the Sardinia district authority in 2006  and reiterated in 2007. This was an additional cost for any non-resident owner of an Italian property in Sardinia, and was widely perceived as a substantial departure from current taxation of Italian properties principles. (Read article)

"Finanziaria 2008" or the latest Italian budget is a complex, condensed and sometimes confusing raft of legislation which came into force last month. In an attempt to combat tax evasion in Italy, it has introduced a potential new trap for unwary buyers. Because of the way it operates, this new risk is difficult to ascertain and to avoid. (Read article)