LAW AND REGULATION ON INHERITANCE TAXES (1) March 14, 1918. 1.) Law. PART I. Rules for the application of the tax. Art. 1. - The inheritance tax, indicated in the attached rate, hit each transmission of ownership, usufruct or enjoyment of goods, which will take place in case of death or absence, except in specifically determined cases. Inheritances and legacies of property donated to strangers, as well as such a charge will also be subject to the levy of five numbers, in art. 5 of register reads. Art. 2. - The tax will be payable on the value of which increases the assets of the heir or legatee. The taxable mass will include all claims arising from the succession, not excluding those claimed by the deceased against the heir or legatee. The estate tax will be applied for each net share of the inheritance or legacies, and the application of different rates to individual units will be required calculation of donations made alive by the author of the succession in favor of the heirs or legatees. The amount of the tax so determined shall be deducted the amount of taxes on previous donations, paid according to the amount established by this law. The total fractions of paid taxes, Qualor not correspond to the fraction of a nickel or a multiple thereof, will be rounded in order to respond to it. Art. 3. - immovables situated in the territory of the Republic will be subject to inheritance tax, regardless of the domicile or nationality of the de cujus. Art. 4. - it will not be subject to inheritance tax: 1 - fixtures and furniture places outside the territory of the Republic; 2 - uncontested payable in the Republic, or who are not insured on properties in it, or are not on stable contracts counterparts located in the same, or do not rely on contracts between citizens in the Republic. They will also be exempted from inheritance tax: 1 - allowances that can donate in a straight line, either by will or for legitimate succession, when the amount of each installment, minus liabilities, in accordance with Articles 17 and 23, does not exceed lir fifty; 2 - the furnishings, furnitures and other home furnishings, except for precious objects; 3 - legacies of jubilation to the servants up to the amount of the entire salary; 4 - legacies of alms to the poor; 5 - The portion of ownership or usufruct payable to the surviving spouse when the capital value of that share does not exceed fifty pounds. Art. 5. - The recognized natural children and adopted children will be treated, for the purposes of taxation, the legitimate children. Art. 6. - For inheritance taxes each of the heirs is required for all of the taxes and penalties, svo regress; legatees are responsible in proportion of the assets of each of them donated. Art. 7. - Where all the inheritance, or part of it or a related condition were bound to, the fee will be liquidated in accordance with existing personal relationships between the author of the succession and the persons to whom the inheritance, all or part, or the legacy is devolverebbero if the condition does not occur, and it will be paid by the inheritance with inherited funds and within the limits set by law. Occurring as a result of the condition, the primitive settlement will be reformed on the basis of personal relationships existing relationship between the author of the succession and the heir or legatee, and, as appropriate, will result in additional cost or reimbursement of the tax difference. Refunds must be requested within six months from the day the complaint dell'avveramento state, saving always the heir, from which the first charge had been paid, the right to seek compensation from the heir, or the legatee affected. Art. 8. - The sequences falling on goods already affected by a 'ltra inheritance tax within the period of one year, will not be subject to pay except that the supplement corresponding to the difference that resulted between the first and back taxes, when these were greater; in such a way that in the said period, the property can not submit except the amount of the increased fee from those applicable to the different sequences. The benefit granted in the preceding paragraph will be extended to the fee quintet. Art. 9. - The debt statements, contained in the will and not supported by other elements of the donations will be assumed until proven otherwise. Art. 10. - The inheritance tax, related to things for which occurs the counting or eviction because of pre-existing opening of succession and on the basis of res judicata, will be returned, if it so requests within one year from the date of the decree. Art. 11.
- The inheritance tax will be settled on the values of the goods declared in the denunciations of inheritance and counting values of real estate will be done with criteria and with the procedure indicated in art. 25 and following of the registry law. The notification referred to in Article. 27 of the Act will be made within sixty days from the payment of tass succession. Art. 12. - The usufruct value of the movable and immovable property, the bare ownership and the use and habitation rights, transferred by inheritance, and related taxes shall be governed by the rules set out in Articles 11, 12, 15 and 17 of the registry Act for the taxation of transfers of these rights free of charge. Art. 13. - The inheritance tax payable by the heir or legatee, bare owners, will be reduced by the reduction coefficient of 30, 40 or 50 percent at the value of the usufruct taxed charged to the usufructuary. The usufructuary age will be documented with a certifi ed in plain paper released by the Office of Civil Status, and in the absence of such justification, the fee will be applied in the most 'advantageous way to the Revenue. No fee will be payable for the usufruct meeting the bare ownership, when will take place for the usufructuary's death or the expiry of the deadline usufruct. Art. 14. - The taxable capital of perpetual and temporary annuities and pensions or annuities and will be determined glues standards required by Articles 18, 9 and 20 of the registry law. Art. 15. - For the taxation of transfers due to death, the nature of enfiteutica assets, will be observed the rules set out in Articles 21, 2nd and 5th paragraphs, and 22 of the registry law. Art. 16. - Loans uncertain and those things that can not be assessed immediately, they will be calculated according to the approximate value proposed dall'ered accepted by the Registrar. Art. 17. - For the clearance of the passage to death tax will be deducted the debts payable by the deceased, the existence of which, on the day of the opening of succession, it will be suitably justified with stocks likely to be evidence in court against deceased. They will also be allowed as a deduction of the debts arising from bills of exchange when these are found recorded in the books of a lending institution. Art. 18. - Debts, applied for the deduction, they will be described in the complaint of coll'indicazione legacy of the date of the act and the name of the attesting notary, or the date of the judgment, or the date of writing and recording private, or the date of the bill. The existence of the promissory debts will be justified by a certificate from the Institute of Credit director, whose signature must be notarized by a public notary. All titles must be attached to the complaint of inheritance with certified copies. Both the copies of titles as the certificates mentioned above shall enjoy the exemption from stamp duty. Art. 19. - Every debt that the Conservative judge not justified will not be sufficiently deduced from assets of the succession, unless the heir dir tto get your tax refund wrongly paid if, within a period of three years, the existence documents liabilities. Art. 20. - The Registrar, when he shall think proper, will have the power to require the production by the heir of the statement by the creditor of the credit existence. This statement, in paper exempt from stamp duty, can not refuse by the creditor under penalty of damages. Art. 21. - It can be inferred: 1 - payables overdue more 'than three months before the opening of the succession, unless it has not produced the declaration of the creditor in the previous article, which certify their livelihood; 2 - the debts made by the deceased in favor of his heirs or legatees. However, when the debt resulted from public or private document registered before death, the heir or legatee shall be entitled to prove the sincerity of the debt; 3 - the debts recognized with a will, when this is not by public act or by registered private act before death; 4 - the debt to equity and pei interests which the limitation period has expired, unless they justify the interruption; 5 - the debts secured on properties located in the east ro. Art. 22. - Any statement that has had the effect of undue deduction of a liability will be punished with a fine equal to three times the supplementary fee to be paid, with a minimum of one hundred lire. Art. 23. - will be allowed as deductions funeral expenses of the author of the inheritance, as well as the last illness expenses made in the last six months, every hour that, yes the ones than the others, are routinely justified.
Funeral expenses will be allowed on the premises and the Conservative delleconsuetudini limits will, therefore, may reduce the amount of those costs, which would exceed those limits. PART II. Denunciation of inheritance - tax payment - Penalties - Means to secure the payment of the fee - compulsory procedure - Decision of the judicial disputes and grievances - Requirements. Art. 24. - The heirs and universal legatees, their guardians or trustees will be required to submit a complaint to the Office of the legacy of the Register of Mortgages of the Republic. This complaint, made on a special form, will contain: 1 - indicating the nature and value of all that forms part of the succession coll'esatta description of the properties with the relative catastli data; 2 - the Declaration on the donations made alive by the author of the succession in favor of the heirs and legatees; 3 - the description of the hereditary liability; 4 - the full name of the heirs and legatees, the degree of relationship between them and the deceased, and the share accruing to each. In the case of inheritance will be attached to the complaint authentic copy of the will, in paper exempt from stamp duty. Art. 25. - For the legacies free of charge or passive totally will be mandatory the presentation of the complaint, for the liquidation of the stamp duty under Article. 18 of the Law and for the collection of mortgage recording fee and cadastral registration of rights, if there Realty axis hereditary. Art. 26. - The denunciation of the inheritance will be sent to the Office of the Register within 90 days from the opening of the succession. In the same term it will be denounced the fulfillment of the conditions attached to the employees transfers successions. The amount of paid taxes must be paid to the Office of the register within 120 days from the opening of the inheritance or dall'avveramento of the condition. Art. 27. - The deadline for submission by the instance stranger to the Great and General Council to obtain permission to take possession of is 90 days from the opening of the succession. The quintet fee paid to a public registry within 30 days from the date of the resolution, with which the alien has obtained the authorization requested. Art. 28. - Failure to submit the complaints, according to art. 26, within the prescribed period will result in the application of a penalty equal to half of the fees that will be paid. This penalty will be reduced to a tenth of the amount, if the complaints are submitted no later than 60 days after the expiry of that period, but, in any case, shall not be less than two pounds. Failure to file complaints related to inheritance exempt from tax or completely passive, as per art. 25, will be punished by the application of a penalty of two lire. Art. 29. - When the time limits set out in Articles 26, 27 and 28 are due to expire in days when Offices, for the disposal of the official calendar, are not open to the public, be understood to be extended to the whole next day. Art. 30. - If the foreigner does not evidence of having submitted the necessary request the Great and General Council in the term of art. 27 will be subject to a surcharge equal to 50 percent of the tax that will be paid. Art. 31. - In case the payment of the inheritance tax and the quintet was delayed beyond the terms set out in Articles 26 and 27 will become payable, plus a surcharge equal to 20 percent of liquidated tass. Art. 32. - The omission of succession property in the complaint will be punished coll'applicazione a double tax on the value of the omitted assets. Without there is the application of that penalty if the failure will be repaired within 120 days from the opening of the succession glue filing a second complaint. Art. 33. - The Office of the Civil State will transmit in the first fortnight of each quarter at the Registry Office, on official forms, a list of the deaths occurred in the previous quarter. The Office of Civil State which does not observe this provision shall incur a fine of fifteen pounds penalty for non or late submissions made, and five pounds for every case of death omitted in lists. Art. 34. - it can not by the heirs or legatees sue for everything that is subject to inheritance tax, nor obtain from the Office of Cadastre vo ture of goods fell in succession, without being provided proof of payment of the fees established by this law. Art. 35. - The holders, for whatever reason, of money, values and objects belonging to the inheritance, will not
deliver them to the heir or legatee without having given prior participation in the Office of the Register. Violators will become jointly and severally liable coll'erede and legatee of taxes and related fines and penalties due. Art. 36. - As from the day of death, the state will, for the inheritance tax and the quintet and the resulting financial penalties, a general lien on the deceased furniture. All properties abandoned by the deceased in the Republic will be legally mortgaged with effect from that day, inheritance taxes and quintet. Said mortgage will be taken ex officio by the Preserved and soon will be made the payment of required fees and as well the office is deleted, after the payment of such taxes will be executed. The formalities relating to the registrations and the cancellations of mortgages, recorded as collateral for such tax receivables will be executed without payment of taxes and charges. The Conservative is dispensed dall'accendere enrollment when the total amount of taxes owed does not exceed one hundred pounds. Art. 37. - The compulsory procedure for the collection of taxes and financial penalties brought by this Law and the decision of the court disputes and rico is related to the application of this law shall be governed by the rules set out in Articles 73, 74 and 75 of registry law. Art. 38. - The action for recovery of financial fees and penalties established by this law will be subject to the following requirements: 1 - ten years from the day of the opening of the succession, for the collection of taxes and penalties on inheritances not denounced ; 2 - five years after submitting the complaint, for the recovery action of the tax and penalties payable as a result of inaccurate declaration or certificate of debt; 3 - three years from the day of submission of the complaint, in the case of omission of goods in the complaints; 4 - three years after submitting the complaint, pel right of the state to modify the settlement of withholding tax applied erroneously and for the right of taxpayers to demand the return of the sums paid in more '. TRANSITIONAL PROVISIONS Art. 39. - This Act shall come into force on August 1, 1918. Art. 40. - will be adjusted in accordance with the above laws the tax on inheritances, when the testator or the person, whose death the purchase depends of the inheritance or legacy, he died before the implementation of this Act. Art. 41. - And 'it allowed a period of one year from the day of implementation of this law in order to present, without being applied any penalties, complaints relating to those sequences, which, under the rule of the previous laws, they were subject to tax that was not paid to the Treasury. After that period, they will be ascertained ex officio all the taxes and still owed fines. Rate of inheritance taxes N Relationship between authors measurement U of the succession and the heirs or legatees ME progressive tax Proportional. R percent or 1 percent among relatives in a straight line: up to 50 L. L. - over L. 50 to L. 1000 "0.25 more than L. 1,000 to L. 5000" more than 0.50 L . 5000 to 10000 L. "1, - beyond the L. 10000" 1.50 2 Among spouses: L. up to 50 "- for over L. 50 to L. 10000" 2, - beyond the L. 10000 "2 , 50 3 Between brothers and sisters: up to 10000 L. "3 - than 10000 L." 4 - 4 Among uncles and nephews: up to 10000 L. "4, - beyond the L. 10000" 4.50 between 5 great-uncles and relatives and among cousins: up to 10000 L. "5, - beyond the L. 10000" 6 - 6 among other relations between related and unrelated or in favor of establishments and institutions not directly administered by the Congregation of Charity or the Government and religious and regular bodies "12 - 7 in favor of entities and corporate bodies amministratidal" 2 Government - 2) Regulations. Art. 1. - the presentation of denunciations of inheritance will be made by the following declaration to be attached to the register of formalities and distinct with many underling: "Denunciation of NN heritage, died this day of ......., which was ranked Vol. ...... No ....." Art. 2. - the complaint will consist of inheritance, right Article. 24 of the law on inheritance taxes, a detailed statement of Property and other objects falling in succession and will be made on the special printed prescribed by the Government. Description of the properties will be made separately for each parish in which are located coll'esatta goods indication of all data with which the goods themselves are found listed in the Land Registry. For each asset will be denounced declared its value. Art. 3. - shall be the duty of the Registrar to make a careful exam ination of the submitted complaints, ensuring that
They have fulfilled all the legal requirements, so the choice of the form, as to the adequacy of the values, the eligibility of passive demonstration of the degree of relationship to the date of death and how, finally, the presentation and accuracy of the accompanying documents. Art. 4. - The accuracy of the inheritance complaints will be established by appropriate research to be done by the Conservative in cadastral and mortgage registers. The results of the research done will be collected in a separate sheet, which will remain attached to the complaint. Art. 5. - The liquidation of the fee will be made on the complaints and then will be reported on the appropriate collection log for inheritance taxes, which will be used also for the reservation of the various penalties imposed by the law on inheritance taxes. Art. 6. - The denunciations of inheritance will be preserved and collected the files or volumes together with related attachments, including copies of the testaments of which mention art. 24 of that Act. It will be given a number to each complaint and to each file volume, which will be accompanied by an index to maintain a continuing. Art. 7. - From hand to hand that are received the lists of the dead, prescribed by art. 33 of the law on inheritance taxes, the Conservative must write down the day of the presentation, by charging, in case of delay or failure to the state official incurred the fines. Art. 8. - On the lists of the dead will annotate all the denunciations of heritage hand in hand to appear before the Office. Art. 9. - For lots of lists of the dead, for which, by the research done in the Land Registry and mortgage registers, resulted of the activities, the Registrar, after the period referred to in Article. 26 of the Act, compile a complaint office and will act pel recovery of fees or surcharges. The denunciations compiled office will be classified and stored in the files or volumes in art. 6 together with the other reports of inheritance. Art. 10. - The denunciations of inheritance, including those compiled office, will be recorded in alphabetical order in a special register, which will have the name "General Index of inheritance denunciations".