Why remain a resident?

Mick chick Image
10/20/2012 - 03:56

This is a seperate post to the one that Penny started regarding IVIE. Can anyone please advise what the consequence(s) be if we decided to give up our residency and how best to go about doing so.



I had firends who spent 1/3 year in Italy, 1/3 in the UK and 1/3 in Australia. They were tax resident nowhere! So I guess not. Mick Chick - I think you would have to unregister with the comune (tell them you are returnng to the UK would be the easiest way) and not spend more than 3 months at a time at your place in Italy and not more than 181 days in any tax year (Jan to Feb) in Italy. The biggest implication would be if you got a reduced rate of purchase tax when you bought your house by claiming residency. I don't know what would happen if you renounced your residency before 5 years are up. You might be asked to repay the difference plus fines etc. Once upon a time I would have said - how would they know. But now the tax man seems to know everything.