Several IMU (unique municipal tax) concessions in relation to properties located in South Tyrol used for accommodation, hospitality, sports and cultural purposes are introduced for 2020 under provincial law no. 9/2020.
The IMU (unique municipal tax) concessions apply to properties registered under the following categories:
- category D/2 buildings used for accommodation;
- category A flats and category D/8 properties used for accommodation as well as their appurtenances registered under categories C/2, C/6 and C/7;
- buildings used mainly as guest rooms/vacation homes to be rented out as well as their appurtenances registered under categories C/2, C/6 and C/7;
- buildings used as on-farm serviced tourist accommodation as well as their appurtenances registered under categories C/2, C/6 and C/7;
- mountain huts under category A/11;
- category D/3 buildings used for cultural and recreational activities;
- category D/3 buildings used for sports activities;
- category C/1, D/3 and D/8 buildings used for hospitality activities (food and drinks).
For properties located in South Tyrol and registered under these categories
- no IMU (unique municipal tax) is due, if the operator registered a total loss in turnover of at least 20 percent in 2020 compared to the 2019 turnover;
IMU (unique municipal tax) is reduced by 50 percent, if the 2020 loss in turnover compared to the 2019 turnover is lower than 20 percent.
Such exemption and/or reduction applies only to:
1) taxpayers (owners) who also carry out their activity in the above mentioned properties;
2) taxpayers (owners) who make the property available to the operator of the business for free; this applies even if the owners are shareholders and transferred the property to the business as no-cash contribution;
3) taxpayers (owners) who rented out/leased the building, provided that:
a) the operator registered a loss in turnover of at least 20 percent for the purpose of IMU (unique municipal tax) exemption or of less than 20 percent for the purpose of a 50 percent reduction of IMU;
b) the taxpayers (owners) reduced the rental and/or lease payment due for 2020 by at least the amount of the IMU (unique municipal tax) due, without taking into consideration the 2020 IMU exemption. This must result from a registered agreement.
In order to apply for tax exemption and/or a tax reduction a self-declaration must be filed with the competent Municipality by 30 September 2020 upon penalty of forfeiture.
If the tax exemption requirements (property category and property use) are met after 30 September 2020 only, the self-declaration may be submitted by 31 January 2021.
If the entitlement to IMU (unique municipality tax) reduction lapses in the period between the date of filing of the self-declaration and until 31 December 2020, a relevant self-declaration must be submitted by 31 January 2021.
Once the tax exemption requirements are no longer met, any contingent tax due is payable by 30 July 2021 (no penalty and no interest apply).