Based on UIL Research & Italian Ministry of Finance Data · Rates & rules as at June 2026

Italy remains one of the world’s most coveted destinations for a second home. The rolling hills of Tuscany, the sun-drenched Amalfi Coast, the medieval villages of Puglia, the lake districts of Lombardy — the appeal is real and enduring. But buying property here comes with a recurring fiscal obligation that catches many foreign owners off guard: the IMU, or Imposta Municipale Unica (Municipal Property Tax).

This guide cuts through the complexity. It explains exactly who must pay IMU, what has changed in 2026, how the tax is calculated, and — critically — where in Italy the tax burden is heaviest and where it is lightest. You will find comparative tables covering the major cities and the provincial locations most sought after by foreign buyers.

What Is IMU?

IMU is Italy’s annual municipal property tax, levied on the ownership of real estate. It was introduced in 2012 to replace the previous ICI tax, and its revenues flow directly to the local municipality (Comune) where the property is located. It funds local public services: road maintenance, waste collection, schools, and social services.

IMU is calculated not on the market value of the property, but on its rendita catastale — the cadastral income recorded with Italy’s Land Registry (Catasto). Because cadastral values are often significantly lower than market values, and have not been updated in decades in many areas, IMU is generally not as punishing as its headline rates suggest. However, in prime real estate markets such as Rome, Milan and Venice, even cadastral values produce substantial annual bills.

Who Must Pay IMU? The Critical Distinction

The single most important thing to understand about IMU is the concept of the abitazione principale — the primary residence. Under Italian law, a non-luxury primary residence is completely exempt from IMU. However, this exemption has strict conditions that most foreign buyers will not meet.

The Primary Residence Exemption

To qualify as an abitazione principale and be exempt from IMU, the property must be:

• The owner’s registered residence (residenza anagrafica) — meaning they are officially enrolled in the local municipal register (Anagrafe)
• The owner’s habitual abode — where they actually live on a day-to-day basis
• Not classified as a luxury property (see Section 2.3 below)

Both conditions — registered residency and habitual abode — must be met simultaneously. Owning a property and visiting it regularly, even for extended periods, does not qualify. You must be formally registered as a resident at that address in Italy.

Foreigners and Non-Residents: You Almost Always Pay

If you are a foreign national purchasing a holiday home or second property in Italy, you will almost certainly be liable for IMU. The logic is straightforward: because you are not registering as an Italian tax resident at that address, the property is legally classified as a second home (seconda casa), regardless of how much time you spend there.

This also applies to:

• Italian citizens living abroad who are registered with AIRE (Anagrafe degli Italiani Residenti all’Estero). AIRE registration is actually official confirmation to your municipality that you do not reside there, triggering the second home classification.
• Foreign nationals who own the property through a company structure
• EU citizens and third-country nationals with a residence permit but whose fiscal domicile lies outside Italy
• Non-Italian spouses or co-owners on a jointly held property

ℹ Common misconception: many buyers assume that holding an Italian visa, spending summers in Italy, or being registered with AIRE provides some form of IMU relief. It does not. Only formal municipal residency and habitual abode at the property qualifies.

When Even Residents Must Pay: Luxury Properties

Italian residents who use a property as their primary home are not exempt if it falls under these luxury cadastral categories:

• A/1 — Stately homes / signorile dwellings
• A/8 — Villas
• A/9 — Castles, historic palaces, and properties of particular historical or artistic significance

These categories are popular with foreign buyers looking for character properties. If the home you are purchasing is a converted castle in Umbria or a seafront villa in Sicily, expect to pay IMU even if you establish formal Italian residency there.

Other Cases Subject to IMU

• Commercial properties (shops, offices)
• Rental properties (whether or not actually rented)
• Building land (terreni edificabili)
• Agricultural land (with some mountain and small-municipality exemptions)
• Uninhabited or unrented residential properties

IMU 2026: Key Changes and Updates

The 2026 IMU framework introduces several meaningful changes, driven primarily by a Ministry of Economy and Finance Decree issued on 6 November 2025. The overall structure of the tax remains the same, but local authorities now operate within a tighter, more standardised framework.

New Uniform Rate System

Before 2026, over 250,000 different rate categories were theoretically in use across Italian municipalities — a Byzantine complexity that made compliance extraordinarily difficult. From 2026, this is replaced by a structured national rate table, prepared by the Ministry, from which municipalities must choose. The aims are:

• Simplify tax calculations for property owners
• Harmonise rules across different municipalities
• Reduce the risk of interpretative errors
• Improve overall transparency

In practice, the maximum ordinary rate for second homes remains 10.6‰ (per mille), with the possibility of a ceiling of 11.4‰ in specific circumstances. The base rate remains 8.6‰.

Pre-Filled Payment Notices (New for 2026)

For the first time in 2026, certain municipalities are piloting a pre-filled IMU payment notice system, partly analogous to Italy’s pre-filled income tax return. This does not remove the obligation to verify the figures, but it provides a starting point and reduces the risk of calculation errors for owners who do not have a local accountant.

New Reduced-Rate Categories

The 2026 framework introduces or clarifies specific categories of properties eligible for reduced rates compared with the standard second home rate:

• Properties granted on free loan to relatives (comodato d’uso) — 25% reduction under conditions
• Uninhabitable or structurally unsound buildings — 50% reduction
• Properties that are unoccupied and unrented
• Tourist properties or formally classified holiday homes in certain municipalities

ℹ The availability and conditions of these reductions vary by municipality. Some Comuni apply them automatically; others require an application. Always check with your local Comune or a local commercialista.

IMU Reductions for Italians Abroad (AIRE) in Small Municipalities

A significant legislative development in late 2025 was the unanimous Chamber of Deputies approval of a bill reducing or zeroing IMU for Italian citizens registered with AIRE who hold a single property in a small municipality (under 5,000 inhabitants) in their last Italian place of residence. The relief is structured in three bands based on cadastral income:

• Up to €200 cadastral income: IMU zeroed entirely
• €201–€300: IMU reduced to 40% of the amount due
• €301–€500: IMU reduced to 67% of the amount due

Additional conditions: the property must be the owner’s only Italian property, must not be rented out or loaned, and the owner must have resided in Italy for at least five years before emigrating. The bill was also prompted by an EU infringement procedure (Infr(2025)4015) initiated against Italy in July 2025, which raised concerns about unequal treatment of EU citizens abroad.

ℹ This measure applies specifically to Italian citizens abroad (AIRE-registered). It does NOT extend to foreign nationals who are non-EU or who have no prior Italian residency history.

The 50% Pensioner Reduction (AIRE + International Pension Convention)

One pre-existing relief relevant to some foreign buyers is a 50% IMU reduction available to AIRE-registered Italians who are pensioners under an international convention. The conditions are extremely strict:

• Must be registered with AIRE
• Must receive a pension from a country that has a pension totalization agreement with Italy (e.g., USA, UK, Australia, Canada, many EU states)
• The Italian property must be their only one in Italy
• The property must not be rented out or loaned to anyone

This is one of the most misunderstood reductions. Meeting all conditions simultaneously is rare, and AIRE registration alone provides no relief whatsoever.

How IMU Is Calculated: The Formula

Understanding the formula demystifies the tax. IMU is calculated in three steps:

Step 1: Find the Cadastral Income (Rendita Catastale)

This figure is recorded in the property’s Land Registry entry (visura catastale). It appears in the deed of purchase and can be looked up on the Agenzia delle Entrate website. It is typically a modest amount — often a few hundred euros per year — that bears little relationship to market value.

Step 2: Calculate the Taxable Base

Apply the statutory revaluation and multiplier:

Taxable Base = Rendita Catastale × 1.05 × 160

The 5% revaluation (rivalutazione) is fixed by law. The multiplier of 160 applies to standard residential properties (category A and C/2, C/6, C/7). Other multipliers apply to commercial (category C/1: 55), offices (category B: 140), or agricultural land (category D: 65–135 depending on subtype).

Step 3: Apply the Municipal Rate

Apply the rate (aliquota) set by your specific municipality:

Annual IMU = Taxable Base × Municipal Rate

Worked Example (Florence, second home):

Suppose the rendita catastale is €800. Then:

€800 × 1.05 = €840 (revalued cadastral income)

€840 × 160 = €134,400 (taxable base)

€134,400 × 1.06% = €1,424.64 per year (using Florence rate of 10.6‰)

ℹ The Milan and Rome cadastral values tend to be higher than Florence, which is why the same rate produces a larger bill in those cities. The UIL study data in Section 6 uses average cadastral values per province — your individual property may differ significantly.

Payment Deadlines and Procedures

Payment Schedule

• 16 June: First instalment (acconto) — 50% of prior year’s amount, or full year’s amount if paying in a single tranche
• 16 December: Balance (saldo) — adjusted for any municipal rate changes

You may also pay the entire annual amount in a single payment by 16 June, which some foreign owners find more convenient.

How to Pay

• F24 Model: The standard Italian tax form, payable online (via Italian banking portal or Agenzia delle Entrate), at an Italian bank, or at the post office. IBAN-based payments from abroad are also possible.
• PagoPA Platform: The Italian government’s digital payment system, accessible from abroad.
• Specialist online services (e.g., ItalianTaxes.com): Technology platforms that retrieve current municipal rates, calculate your amount, and facilitate payment — particularly useful for non-residents without Italian bank accounts.

If you own the property jointly (with a spouse, family member, or business partner), each co-owner is responsible for calculating and paying their proportional share independently.

ℹ Unlike many other countries, Italy does NOT send a property tax bill. You are responsible for knowing the deadline and calculating the correct amount. Failure to pay results in automatic penalties: typically 30% of the unpaid amount plus daily interest.

IMU 2026 by City: Where You Pay Most and Least

One of the most striking features of Italian property taxation is how dramatically costs vary by location. A June 2026 study by UIL (Italy’s third-largest trade union confederation), based on Ministry of Finance data and official cadastral averages per province, reveals a nine-fold difference between the most and least expensive cities for second home IMU.

National average IMU on a second home: €979 per year (€489 first instalment).

The Most Expensive Cities for Second Home IMU

The following cities impose the highest annual IMU on a typical second home. Figures are based on average cadastral values for each province, with the maximum rate applied. Your individual bill will depend on your specific property’s rendita catastale.

Table 1 — Most Expensive Cities: Annual IMU on a Second Home (2026)

City / Province	First Instalment (16 June)	Annual Total IMU	Rate Applied
Rome	€1,749	€3,499	11.4‰
Milan	€1,479	€2,957	11.4‰
Venice	€1,168	€2,335	11.0‰
Turin	€992	€1,984	10.6‰
Florence	€986	€1,973	10.6‰
Bologna	€930	€1,860	10.6‰
Padua	€911	€1,821	10.6‰
Siena	€902	€1,805	10.6‰
Verona	€828	€1,657	11.4‰
Salerno	€757	€1,514	10.6‰
National Average	€489	€979	—

The Least Expensive Cities

For buyers seeking lower ongoing tax costs, southern cities and certain northern provincial capitals offer substantially lower bills:

Table 2 — Least Expensive Cities: Annual IMU on a Second Home (2026)

City / Province	First Instalment (16 June)	Annual Total IMU	Rate Applied
Palermo (Sicily)	€195	€391	10.6‰
Cosenza (Calabria)	€197	€395	10.6‰
Enna (Sicily)	€230	€460	10.6‰
Gorizia (Friuli)	€242	€484	7.6‰
Caltanissetta (Sicily)	€242	€485	10.6‰
Trapani (Sicily)	€248	€495	10.6‰
Agrigento (Sicily)	€253	€505	10.9‰
Crotone (Calabria)	€275	€550	10.6‰
Belluno (Veneto)	€275	€551	10.0‰
Trani (Puglia)	€279	€558	10.6‰
National Average	€489	€979	—

ℹ Gorizia’s low bill is not primarily due to the rate — at 7.6‰ it is one of the lowest applied — but also reflects lower average cadastral values in that province. Palermo’s low figure is driven by very low cadastral values despite a standard 10.6‰ rate.

Luxury Properties: A Different IMU Landscape

For A/1, A/8 and A/9 properties — the categories most commonly sought by affluent foreign buyers (historic villas, converted convents, castle estates) — the geography of IMU flips somewhat.

National average IMU on a luxury primary residence: €932 per year.

Note that in this category Venice overtakes Rome as the most expensive city. The relative rankings in the South remain similar.

Table 3 — Most Expensive Cities: Annual IMU on a Luxury Primary Residence A/1, A/8, A/9 (2026)

City	First Instalment (16 June)	Annual Total IMU	Rate Applied
Venice	€1,501	€3,001	6.4‰
Rome	€1,444	€2,888	6.0‰
Milan	€1,388	€2,777	6.8‰
Padua	€851	€1,702	6.0‰
Turin	€842	€1,683	6.0‰
Florence	€824	€1,649	6.0‰
Bologna	€786	€1,572	6.0‰
Verona	€776	€1,551	6.0‰
Ascoli Piceno	€756	€1,512	6.0‰
Parma	€734	€1,468	6.0‰
National Average	€466	€932	—

Table 4 — Least Expensive Cities: Annual IMU on a Luxury Residence A/1, A/8, A/9 (2026)

City	First Instalment (16 June)	Annual Total IMU	Rate Applied
Agrigento	€139	€278	6.0‰
Caltanissetta	€193	€385	6.0‰
Cosenza	€193	€385	6.0‰
Isernia	€208	€416	4.0‰
Palermo	€219	€437	6.0‰
Urbino	€222	€444	4.0‰
Enna	€227	€454	6.0‰
Sondrio	€234	€469	6.0‰
Crotone	€237	€474	6.0‰
Belluno	€239	€479	6.0‰
National Average	€466	€932	—

IMU in Key Regions and Sought-After Provincial Locations

Major city figures tell only part of the story. Many foreign buyers purchase in smaller cities, coastal towns, or inland villages within these broader regions. Below is a city-by-city comparison for the provinces most relevant to international buyers, drawn from the UIL’s full 2026 dataset.

Tuscany

Table 5 — Tuscany: Second Home IMU by Province Capital (2026)

City	Annual IMU (Second Home)	Annual IMU (Luxury Primary)	Rate (2nd Home)
Florence	€1,973	€1,649	10.6‰
Siena	€1,805	€1,411	10.6‰
Pisa	€1,379	€1,216	10.6‰
Lucca	€715	€746	10.6‰
Arezzo	€931	€829	10.6‰
Grosseto	€942	€1,354	10.6‰
Livorno	€1,501	€1,440	10.6‰
Pistoia	€886	€819	10.6‰

ℹ Many of the most desirable Tuscan properties for foreign buyers — farmhouses (casali), agriturismi, and restored rural estates — may be located in smaller comuni within the Siena, Grosseto, or Arezzo provinces. Rates in small comuni can differ from the provincial capital. The chiantishire belt between Florence and Siena is prime second-home territory; expect rates at the upper range.

The Lakes: Lombardy & Piedmont

Table 6 — Lakes Region: Second Home IMU by Province Capital (2026)

City / Lake	Annual IMU (Second Home)	Annual IMU (Luxury Primary)	Rate (2nd Home)
Milan	€2,957	€2,777	11.4‰
Como (Lake Como)	€1,197	€1,086	9.6‰
Lecco (Lake Como E.)	€1,133	€1,177	10.6‰
Varese (Lake Maggiore)	€893	€864	10.6‰
Verbania (Lake Maggiore)	€757	€620	10.6‰
Turin	€1,984	€1,683	10.6‰

ℹ Lake Como properties are among the most sought-after by international buyers, and Como province shows a slightly more favourable rate (9.6‰) than the national standard. However, luxury villas here can carry high cadastral values that offset the rate advantage.ù

Veneto: Venice and the Prosecco Hills

Table 7 — Veneto: Second Home IMU by Province Capital (2026)

City	Annual IMU (Second Home)	Annual IMU (Luxury Primary)	Rate (2nd Home)
Venice	€2,335	€3,001	11.0‰
Verona	€1,657	€1,551	11.4‰
Padua	€1,821	€1,702	10.6‰
Treviso	€913	€854	10.6‰
Vicenza	€737	€508	10.6‰
Rovigo	€779	€776	10.6‰
Belluno	€551	€479	10.0‰

ℹ Venice is the most expensive city in Italy for luxury primary residences. Properties in the historic centre or on the islands carry high cadastral values and the full rate. The Treviso hills (Prosecco di Conegliano-Valdobbiadene, a UNESCO site) attract international buyers and fall under Treviso province rates.

Puglia: The Adriatic Coast

Table 8 — Puglia: Second Home IMU by Province Capital (2026)

City	Annual IMU (Second Home)	Annual IMU (Luxury Primary)	Rate (2nd Home)
Bari	€1,089	€1,354	10.6‰
Lecce	€617	€573	11.0‰
Brindisi	€998	€880	11.4‰
Taranto	€1,058	€674	10.6‰
Barletta	€996	€916	10.6‰
Trani	€558	€510	10.6‰
Andria	€809	€724	10.6‰
Foggia	€807	—	10.6‰

ℹ Puglia has become one of the hottest destinations for foreign buyers, particularly Britons, Americans and Northern Europeans seeking trulli in the Valle d’Itria (Alberobello area, in the Bari-Brindisi belt) and masserie. Lecce is notably cheaper than the national average. Bari and Taranto carry higher bills due to higher cadastral values in those urban areas.

Sicily and Sardinia

Table 9 — Sicily & Sardinia: Second Home IMU by Province Capital (2026)

City	Region	Annual IMU (Second Home)	Annual IMU (Luxury Primary)	Rate
Palermo	Sicily	€391	€437	10.6‰
Catania	Sicily	€1,022	€1,255	10.6‰
Siracusa	Sicily	€838	€750	10.6‰
Ragusa	Sicily	€630	€479	9.6‰
Agrigento	Sicily	€505	€278	10.9‰
Trapani	Sicily	€495	€823	10.6‰
Messina	Sicily	€1,031	€1,161	10.6‰
Enna	Sicily	€460	€454	10.6‰
Caltanissetta	Sicily	€485	€385	10.6‰
Cagliari	Sardinia	€1,269	€1,281	10.6‰
Nuoro	Sardinia	€671	€555	10.65‰
Oristano	Sardinia	€598	—	10.1‰
Sassari	Sardinia	€645	€739	10.6‰

ℹ Palermo offers the lowest second home IMU of any major Italian city — by a considerable margin. Sicily’s low cadastral values are the primary driver; the rates themselves are standard. Sardinia’s Cagliari is significantly more expensive. Coastal resorts (Costa Smeralda, Taormina, Cefalù) will typically have higher cadastral values than the provincial capital averages shown here.

Lazio and Campania

Table 10 — Lazio & Campania: Second Home IMU (2026)

City	Region	Annual IMU (Second Home)	Annual IMU (Luxury Primary)	Rate
Rome	Lazio	€3,499	€2,888	11.4‰
Latina	Lazio	€613	€750	10.6‰
Frosinone	Lazio	€651	€812	10.6‰
Rieti	Lazio	€792	€620	11.4‰
Viterbo	Lazio	€1,006	€591	10.6‰
Naples	Campania	€662	€791	10.6‰
Salerno	Campania	€1,514	€1,458	10.6‰
Caserta	Campania	€1,158	€982	10.6‰
Avellino	Campania	€600	€489	10.6‰
Benevento	Campania	€690	€760	10.6‰

ℹ Rome stands alone as the most expensive city in Italy for second home IMU. Paradoxically, Naples — a city of comparable size and cultural weight — is dramatically cheaper, reflecting lower average cadastral values. Salerno is expensive relative to the region, likely reflecting the pull of the Amalfi Coast and Cilento, which inflate local property values.

Garage and Storage Annex (Pertinenze): IMU Applies Here Too

Many Italian properties include a garage (box auto) and a cantina (storage unit or cellar). These are separate cadastral units and are subject to their own IMU calculations — though the rates applied are often lower. The UIL data reveals the same geographic disparity:

Table 11 — IMU on Pertinenze (Garage & Cantina) in Selected Cities (Annual, 2026)

City	Garage (Annual)	Cantina (Annual)
Rome	€447	€175
Venice	€429	€34
Bologna	€262	€65
Milan	€255	€39
Salerno	€236	€76
Bari	€218	€52
Naples	€86	€63
Florence	€131	€54
National Average	€107	€44

TARI: The Other Property Tax You Must Know

Beyond IMU, property owners — including non-residents with a second home in Italy — are also liable for TARI (Tassa sui Rifiuti), the municipal waste collection tax. TARI is calculated differently from IMU, based on the surface area of the property and the number of occupants registered. It is also set by each municipality and varies widely. As a non-resident or holiday-home owner, you will typically be assessed on the basis of the property’s floor area.

Unlike IMU (a property ownership tax), TARI is technically a service tax on waste disposal. Italy sends or publishes TARI bills, though the system varies by municipality. Non-residents should confirm their TARI position with their local Comune.

Practical Checklist for Foreign Second-Home Owners

If you own or are purchasing a property in Italy as a second home:

• Obtain your property’s rendita catastale from the purchase deed or from the Agenzia delle Entrate website (visura catastale)
• Identify the cadastral category (A/1, A/8, A/9 = luxury; all others = standard residential)
• Look up your municipality’s current IMU rate on the Ministry of Finance portal: www.finanze.gov.it
• Calculate your annual IMU using the formula in Section 4, or use a specialist online platform
• Mark 16 June and 16 December in your calendar every year — these are fixed deadlines
• Consider appointing a local commercialista or Italian accountant to manage your IMU obligations, especially if you own in a municipality that updates rates annually
• Check whether your property qualifies for any reduced rate (comodato d’uso, uninhabitable status, etc.) and apply through your Comune
• If you are an Italian citizen registered with AIRE and own in a small municipality (under 5,000 inhabitants), check whether you benefit from the new 2026 relief measures
• Ensure you are also compliant with TARI (waste tax) in the same municipality
• Keep records of all F24 payment receipts — these are your proof of compliance

Why the IMU Gap Exists: Cadastral Values and the Reform Debate

The dramatic differences between cities are not primarily driven by differences in IMU rates — as the UIL data shows, most Italian municipalities apply broadly similar rates (10.6‰ is almost universal). The gap is largely explained by cadastral values, which vary enormously by province.

Italy’s cadastral system has not been comprehensively updated since the 1970s. In high-demand urban markets like Rome and Milan, nominal cadastral incomes have quietly become closer to market reality over decades of property price appreciation. In the South and in many provincial cities, cadastral values remain extremely low relative to current prices. This creates a paradox: you may pay very little IMU on a property that costs €500,000 in Palermo, while a structurally similar property worth the same in Rome carries a bill nine times higher.

The European Commission, in its most recent country recommendations for Italy, has once again called for a reform of the cadastral system, noting that current valuations are obsolete and no longer coherent with actual market values. Italy’s trade unions — including UIL — broadly support a reform, provided it includes safeguards to prevent automatic tax increases for working households and pensioners. The political consensus on how to proceed remains elusive. Until reform happens, the geographic lottery in IMU will continue.

IRECOM is at your side

Navigating the Italian property tax system can be challenging, especially if you are a foreign property owner unfamiliar with local regulations and deadlines. At IRECOM, we are here to help you understand your IMU obligations, assess potential exemptions, and ensure full compliance with Italian tax requirements. If you need personalized assistance with IMU 2026 or any other aspect of property ownership in Italy, our team is ready to support you every step of the way.

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