Legal tip 1260. Buying my sunny property. What is IBI tax ?
Thursday, February 12, 2015 @ 6:47 PM
The IBI tax is local tax on property, both urban and rural, which is accrued yearly. The collector of this Tax is the Local Council where the property is located.
The tax amount is calculated on the cadastral value of the property and determined by such other factors such as surface, specific location...
IBI rates vary from town to town, mainy depending on size of the town.
Non payment of IBI tax is attached to the property which generates it. So, if you are buying a property, it is very important you verify if all the yearly IBI taxes have been paid.
Provision 64 of the Local Taxes Act explains how property it self is liable for unpaid local property taxes due... that is why your lawyer and the Notary needs to expressly check on the status of the this tax payments. The report on this status need to be provided up to date by the Administrator of the Community of owners.
The abovementioned provision says that in the event of transmission of ownership rights of properties, the estate itself will be subject to the tax liability in a subsidiary way under the terms of the General Tax Law. It means that if the debts are not paid, the Local Council can place an embargo on the property.
For this purpose, notaries that authorise the signature of a public deed for transmission of ownership will specifically ask and warn regarding:
1. Pending IBI debts on the property.
2. Deadline for payment of the debt.
3. Liabilities involved if not paying.
Liability is jointly and severally distributed among all co-owners according to Cadastre records.