Debts with the Tax Authorities – Here’s what to do


Too many debts with the tax authorities: what alternatives to foreclosure?

Too many debts with the tax authorities: what alternatives to foreclosure?

If you have too many debts with the tax authorities and, above all, if you have serious difficulties in paying, there are different ways you can go. Before analyzing these alternatives, however, let us see what the things, the goods, and so on, are that the Treasury can never foreclose.

Goods that cannot be distorted

Goods that cannot be distorted

In fact, there are goods that, depending on particular conditions, cannot be attacked to obtain payment of tax bills by the tax authorities, such as the house. Obviously also in this case there are situations in which the attachment can take place equally and others in which there are great limitations (details: Attachment of movable assets ). In particular, if you have a single house, which is also the main residence, this cannot be foreclosed. There can be no foreclosure either:

  • if you have other shares of properties worth less than 120 thousand USD and the tax authorities have a credit lower than this amount;
  • if the debt does not exceed 20 thousand USD.

The salary or pension is reportable but only in shares that are equal to:

  • 1/10 for amounts up to 2,500 USD;
  • 1/7 for salaries between 2,500 and 5 thousand USD;
  • one fifth for sums over 5 thousand USD.

However, for pensions only the amount exceeding 3 times the minimum social pension can be attached. Finally, remember that even life insurance policies and half of a joint account can never be touched by the tax authorities.



Let us now look at what we can do to ease the economic difficulties in the event of debts with the tax authorities, starting from the possibility of paying in installments the amounts due. There are two repayment plans in installments: one ordinary and one extraordinary. The first can have a maximum duration of 72 installments, while the second can reach up to 120 installments. In both cases if you do not pay more than 5 installments even in a non-consecutive manner, you lose the right to the previously agreed installment.

The amount to be paid in installments does not affect access to the maximum duration of 120 months which is based instead on the demonstration of the real difficulty in repaying debts with Fisco through, for example, the ISEE certificate. Access to ordinary installments can be up to 60 thousand USD (to be returned within 72 installments) even online without having to attach specific documents. For larger amounts, the ISEE must be attached as documents and pass through an office available in the area.

If in the meantime the economic situation worsens after obtaining the payment in installments, an extension can be requested up to 120 months, giving proof of the deterioration and the real personal economic situation. The forms to fill out and send for the request for installment payment are:

  • R1 for the ordinary lower than 60 thousand USD;
  • R2 for the ordinary higher than 60 thousand USD;
  • R4 if you want access to payment in installments up to 120 months (to be used also to request an extension).


Until May 15, 2018 you can also proceed with the request for scrapping tax assessments. The request can be made directly by going to the DIY function on the Revenue Agency’s website or with the assistance of an accountant or tax assistance centers. If you choose to proceed with the online procedure on your own you must fill out the appropriate form on the appropriate page of the official website of the Revenue Agency or you can send the request to the email address pec of the Regional Directorate of the Revenue Agency- Reference collection, remembering to attach also an unexpired identity document.

By June 30th 2018 the answer will be obtained on the acceptance or refusal of the scrapping itself. However, if the payment of the number of installments indicated during the application phase is not honored (from one to a maximum of 5) the right to the relief represented by the lack of payment of penalties and default interest is lost.

Consumer plan

Consumer plan

If you are a non-fallible subject you can also use the way of the consumer plan that involves the territorially competent judge and one of the OCC bodies. Regardless of the type of creditor it is essential that you do not have the opportunity to honor your debts (the debt with the tax authority is no exception).

The first step is the proposal of a repayment plan for reduced amounts compared to the original debt that is credible. If the judge deems it valid, this will become mandatory also for the tax authorities, but it is necessary that what is proposed and approved is then effectively maintained.


If there are too many debts with the tax authorities, first of all, see if there are sums that have gone into statute of limitations or ‘ not notified ‘, and move accordingly, trying to reduce the amounts to be paid to be sustainable. For this reason it is necessary to carefully evaluate your own role statement which can be requested directly online (subject to authentication on the Revenue Agency’s website) or by counter. It must also be taken into account that debts with the tax authorities are inherited by the heirs who accept the inheritance and only in the event of a prescription or forfeiture will they be released from the obligation of their repayment.