If a will violates the rights of the legitimate heirs, they can file a legal action known as the "azione di riduzione" (reduction action). This allows them to reclaim the portion of the estate that legally belongs to them. In this scenario, the inheritance becomes “successione necessaria” (forced inheritance), meaning the testator’s wishes cannot override the rights guaranteed by law to the closest relatives.

Need help with Italian inheritance laws? Don’t let bureaucracy slow you down. Contact us for expert guidance today!

What to Do If You Inherit Property in Italy

If you've inherited property in Italy, the first step is to assess its characteristics and determine its approximate economic value. This includes considering any debts tied to the property, because—surprise!—inheritances can come with strings attached.

You can even refuse an inheritance if the debts outweigh the assets, or in cases where a surviving parent rejects the inheritance in favor of the children to reduce tax burdens.

Once you've evaluated the situation and decided to accept the inheritance, there are three main steps to follow:

• Acceptance of the inheritance (“Accettazione dell'eredità”)
• Filing the inheritance declaration (“Dichiarazione di successione”) and updating the land registry (voltura catastale)
• Paying inheritance taxes

Let’s break each step down.

How to Accept an Inheritance

Accepting an inheritance might sound straightforward, but there are various ways to go about it, each with its own details and implications:

1. Tacit Acceptance (“Accettazione Tacita”)
   • This is the most common and cost-effective method. You accept the inheritance by performing acts that clearly show your intent, such as selling inherited property. Keep in mind, simply filing the inheritance declaration doesn’t count as tacit acceptance, as it’s a legal requirement.
   • Cost: Roughly €250 for the notary and another €250 for registration—affordable, practical, and widely used!
2. Express Acceptance (“Accettazione Espressa”)
   • If you prefer a more formal approach, you can officially declare acceptance at a notary. This method is straightforward but comes with a higher price tag.
   • Cost: Typically between €1,200 and €1,500, plus around €300 for registration. This is the better option when multiple properties are spread across different Italian land registries.
3. Pure and Simple Acceptance (“Accettazione Pura e Semplice”)
   • With this method, you take on everything, the good and the bad. The deceased’s assets merge with your own, including any debts. Be cautious, though, because you may have to pay off the deceased's debts using your own assets!
4. Acceptance with Benefit of Inventory (“Con Beneficio d’Inventario”)
   • Want to play it safe? This option keeps your assets separate from the deceased's. You’ll only be liable for debts up to the value of the inherited property. This method requires a detailed inventory of the assets, prepared by a notary or a Court clerk. It’s a bit more complex but offers better protection.
   • Obligatory: This is mandatory if the heir is a minor or legally incapacitated.

Succession Declaration “Dichiarazione di Successione”

Before diving into the succession declaration, here’s a heartfelt recommendation: check for any wills first… better safe than sorry!

Here are a few key points:

• Obligatory Process: It informs the authorities about the heirs and the taxes due.
• Who Can File It: Any heirs can file it (even without consent from the others), as well as the executor of the will or the estate administrator.
• Not Proof of Heirship: The declaration does not prove who the rightful heirs are since, in theory, anyone can submit it. A notarized transcription with express or tacit acceptance is required to ensure legal clarity and continuity of ownership.
• Filing Options: It can be submitted online, though in exceptional cases, it must be done in person.
• Land Registry Update (Voltura Catastale): This update can be included in the declaration. If done automatically, it takes 30-40 days; manually, it’s faster, around 3-4 days.

Confused about Italian inheritance laws? Get clarity on legal heirs, taxes, and selling procedures. Start your hassle-free journey today!

When to Submit the Succession Declaration

Once you’ve submitted the declaration, you’ll receive several essential documents:

• Registration confirmation
• A simple copy of the succession declaration
• A certified copy for use at banks and post offices
• Proof of tax payments

Make sure to complete this step on time to avoid legal and financial complications down the road!

Costs of Inheriting Real Estate in Italy

If you think inheriting property in Italy means the state doesn’t want a slice of the pie… think again! Below are the costs involved when you inherit real estate:

1. Inheritance Acceptance Costs:
   • Tacit Acceptance: €250 for the notary + €250 for transcription.
   • Express Acceptance: Between €1,200 and €1,500 for the notary + around €300 for transcription.
   • Acceptance with Benefit of Inventory: Starts at a minimum of €2,000.
2. Taxes on the Property (Self-Assessment): These taxes apply only to inherited real estate properties. You’ll pay the mortgage tax (2%) and the cadastral tax (1%) on the property's cadastral value. Declaring the cadastral value can help avoid extra inspections.
3. Inheritance Tax: This tax is calculated on the net inherited estate, using an exemption threshold and a tax rate, depending on your relationship with the deceased. The exemption is per person—so if there are two children, each benefits from a €1,000,000 exemption. Be aware: the Italian Revenue Agency (“Agenzia delle Entrate”) adds a 10% surcharge to cover the presumed value of furniture and household goods unless you provide a notary-drafted inventory, costing around €2,000.

Tax Rates and Exemptions Based on Relationship

Here’s how the inheritance tax rates and exemption thresholds are structured, depending on your relation to the deceased:

4. Municipal Property Tax (“IMU”): Heirs who acquire property through inheritance are generally required to pay IMU, unless they reside in the property or use it as their primary residence. The family home (known as the "casa coniugale") is exempt from IMU for all co-owners (e.g., the spouse and children).

Let’s consider an example: Two children inherit a property worth €3,000,000, each receiving a 50% share. The inheritance tax is 4%, but only on the portion that exceeds the exemption threshold of €1,000,000 per heir, meaning 4% x €500,000 = €20,000.

Inherited a property in Italy? Learn the key steps to secure your rights and make informed decisions. Contacts us today!

Real Estate Inheritance for Foreigners

Differences Between Residents and Non-Residents

When someone who lives in Italy but was born in another country passes away, dividing their assets—both in Italy and abroad—can become quite complicated. This is often due to differing or even conflicting laws between countries. To navigate this situation, there are two key legal frameworks to consider:

1. Law 218/1995, Article 46: This law states that the division of assets is governed by the laws of the deceased's country of citizenship at the time of death. Essentially, the inheritance process follows the rules of their birth country.
2. EU Regulation No. 650/2012: This regulation applies to individuals who passed away on or after August 17, 2015, and it determines that the jurisdiction governing the inheritance is that of the EU member state where the deceased had their habitual residence at the time of death. It applies to all EU countries except the UK, Ireland, and Denmark, which follow their own national laws. While the EU regulation doesn’t completely override other countries’ laws, it ensures consistency across borders by making sure conflicting national laws do not apply.

Conclusion: Italian law applies to their inheritance if a foreign citizen’s last residence was in Italy. Additionally, based on the principle of territoriality, if the deceased was a resident of Italy at the time of death, inheritance tax is owed on all assets, whether located in Italy or abroad.

Practical Advice for Foreigners

Handling inheritance for foreigners can involve many unique cases, and covering them all is impossible. However, one thing is clear from my 15 years of experience: mistakes are easy to make.

If you’re a foreigner dealing with inheritance issues, I highly recommend consulting an expert in international inheritance law. Feel free to contact me, and I’ll connect you with the right professional to help you navigate the process smoothly.

Inheritance: Key Questions to Ask

Inheritance: Key Questions to Ask

When dealing with the opening of an inheritance, it's crucial to ask a series of important questions about the deceased in order to determine who is entitled to what. Here’s a checklist of essential questions:

1. Date of death: This is key as it marks the opening of the succession—everything starts from this point.
2. Marital status: The surviving spouse may lose inheritance rights if they were divorced or legally separated with fault attributed to them.
3. Residence address: This helps determine which law applies—Italian or foreign law.
4. Citizenship: Knowing the deceased’s nationality can influence the applicable inheritance rules.
5. Existence of a will: Is there a testament outlining the deceased's wishes?
6. List of legal heirs: Identify the legitimate heirs, which includes relatives up to the 6th degree.
7. Lifetime donations: Were there any gifts or donations made during the deceased’s lifetime? These may affect the division of assets.
8. Respect for the reserved share of legitimate heirs: Ensure the legitimate portion (for spouse, children, and in the absence of children, parents) is respected. Remember, siblings are not legitimate heirs.
9. Historical family status: This document, which can be requested from the local registry office in the deceased’s last place of residence, lists family members at the time of death.
10. Birth and marriage certificates: These certificates can provide critical information about spouses and children.
11. Death certificate: This document can confirm the deceased’s marital status (whether they were married, widowed, etc.), helping to identify the potential heirs.
12. Marriage contracts: Prenuptial agreements (such as separation of assets) and other legal documents can significantly impact the determination of heirs.

Selling an inherited home? Avoid legal pitfalls and maximize your sale. Get professional advice and start your journey now!

FAQ

When does the opening of succession start?

Article 456 of the Civil Code [¹] establishes that succession opens at the time of death, in the place of the deceased’s last domicile.

What happens without a will?

Intestate succession laws apply without a will, as outlined in Article 565 of the Civil Code [²]. This means that the inheritance will pass to the spouse, descendants, ascendants, collateral relatives, other relatives, and the State, in a specific order of priority.

What happens if no heirs are found?

If no heirs are found, Article 586 of the Civil Code [³] dictates that the inheritance will be devolved to the Italian State.

Who are the legitimate heirs in intestate succession?

The legitimate heirs are those entitled to the inheritance without a will: the spouse, children, and relatives up to the sixth degree. Their shares are determined by legal rules governing intestate succession.

Can forced heirship be contested in Court?

Yes! Any will, whether public or holographic, can be contested by anyone with a legitimate interest in the estate. This generally refers to those who have a legal right to inherit.

How to validate and register a will in Italy?

A notary is required to validate and register a will in Italy. The notary receives the will (whether public or secret) and registers it with the General Register of Wills (“Registro Generale dei Testamenti”).

A public will, drafted by a notary in the presence of two witnesses, offers the highest level of legal security, ensuring the testator’s wishes are honored without risk of invalidity. Conversely, a secret will, though registered, is delivered to the notary in a sealed envelope, making it impossible to verify its compliance with the law until it is opened.

What is the role of the notary in succession?

In Italy, the notary plays a crucial role in succession:

• Drafting the public will in the presence of two witnesses.
• Receiving and storing the secret will, or holding a holographic will (which does not require notarial involvement).
• Registering the will in the General Register of Wills—though only its existence is recorded, not its content.
• Upon the testator’s death, the notary publishes the will, making it known to the heirs, and, if authorized, manages the transfer of assets from the deceased to the heirs, ensuring all legal procedures are correctly followed.

Elena Manzhos: Mother of two beautiful children, wife, and real estate agent for over 15 years. More than 20 years ago,  I moved to Italy from Eastern Europe. I have always had a deep-seated passion for houses; as a child for the Barbie house, and now as a real estate professional, my love for luxurious properties is unwavering.
Fiaip, Linkedin, Instagram, Facebook.