Milan

Spend most of the year in Italy and you are taxed on worldwide income: foreign salary or freelance fees at 23%–43% plus regional and municipal surcharges, and dividends, interest and gains at a flat 26%. Newcomers can cut this with a 50% exemption on work income for five years, a €300,000-a-year flat tax on all foreign income, or 7% on foreign income for pensioners in small southern towns.

• Remote work income

  Salary from a foreign employer or fees from foreign clients

  Taxed

  23%–43% progressive IRPEF, plus 1.23%–3.33% regional and up to 0.8% municipal surcharge

• Investments and pensions

  Dividends, interest, gains, rent and pensions from abroad

  Taxed

  26% flat on dividends, interest and capital gains (12.5% on Italian and white-list government bonds); 23%–43% progressive on foreign pensions and rent

• Wealth

  Net wealth and inheritance

  Levies on assets

  0.2% a year on foreign financial assets (IVAFE) and 1.06% on foreign property (IVIE). Inheritance tax applies

Tax resident after

183 days a year

Top income tax rate

47.23%

• Flat tax for new residents (art. 24-bis TUIR)15 years

  All foreign-source income is covered by a fixed substitute tax of €300,000 a year whatever the amount, for those moving from 1 January 2026 (€200,000 for moves from 11 August 2024 to 31 December 2025, €100,000 before), plus €50,000 a year for each family member included. Holders are exempt from IVIE, IVAFE and foreign-asset reporting and pay inheritance and gift tax only on Italian assets. Italian-source income, including pay for work done in Italy, is taxed normally; gains on qualified shareholdings sold in the first five years stay under ordinary rules; individual countries can be excluded. People moving from 2027 cannot combine it with the impatriate regime.

  Who qualifies: People who were not Italian tax resident for at least nine of the ten years before the option starts, of any nationality, electing in the tax return for the year they move.

• Impatriate workers regime (art. 5 D.Lgs. 209/2023)5 years

  Only 50% of employment and self-employment income earned in Italy is taxed, up to €600,000 of income a year; 40% (a 60% exemption) if you move with a minor child or a child is born or adopted during the period. Benefits are clawed back with interest if you leave within four years.

  Who qualifies: Highly qualified or specialised employees and self-employed people who were not Italian tax resident in the three previous years (six or seven if they return to work for the same employer or group), commit to stay resident at least four years and work mainly in Italy; an Italian employer is not required.

• 7% flat tax for foreign pensioners (art. 24-ter TUIR)10 years

  All foreign-source income of any kind (pension, dividends, interest, gains, rent) is taxed at a flat 7% instead of IRPEF, with exemption from IVIE, IVAFE and foreign-asset reporting for the countries covered. Italian-source income is taxed normally.

  Who qualifies: People receiving a pension from a foreign payer, not Italian tax resident in the previous five years, moving from a country with a tax information-exchange agreement to a municipality of up to 30,000 inhabitants (20,000 before 7 April 2026) in Sicily, Calabria, Sardinia, Campania, Basilicata, Abruzzo, Molise or Puglia, or in listed 2009 and 2016 earthquake areas.

• Flat-rate regime for small self-employed (regime forfetario)no fixed end

  A single 15% substitute tax, replacing IRPEF and the regional and municipal surcharges, on revenue multiplied by a fixed profitability coefficient for the activity, minus social contributions; 5% for the first five years of a genuinely new activity. You leave the regime the next year above €85,000, or immediately above €100,000.

  Who qualifies: Self-employed individuals with revenue up to €85,000 in the previous year (or expected, for a new activity), employment income no higher than €35,000 in 2025–2026, and who do not mainly bill a current or recent former employer.

• Neo residenti – Regime opzionale – Che cos'è · Agenzia delle Entrate · read 2026-10-27

  24-bis flat tax: notice that the 2026 Budget Law raised it to €300,000 (€50,000 per family member) for moves from 1 January 2026; €200,000 after 10 August 2024, €100,000 before; nine of ten years non-resident, 15-year limit, country exclusion. The page body still says €25,000 per family member, which predates the notice.

• Agevolazioni per chi trasferisce la residenza in Italia · Agenzia delle Entrate · read 2026-10-27

  Updated 27 March 2026: €300,000 flat tax (€200,000 for transfers up to 31 December 2025); impatriate 50% exemption, €600,000 cap, five years and conditions.

• Neo residenti – Normativa e prassi · Agenzia delle Entrate · read 2026-10-27

  Legal basis of the increases: Law 199/2025 art. 1 paragraphs 25–26 (2026 Budget Law) and art. 2 of Decree-Law 113/2024.

• Testo unico delle imposte sui redditi, articolo 24-bis (original text) · Agenzia delle Entrate · read 2026-10-27

  Nine-of-ten-years condition, exclusion of gains on qualified holdings in the first five years, 15-year limit, foreign-source income only, country exclusions, extension to family members. Amounts in this 2017 text are outdated.

• Circolare n. 17/E del 23 maggio 2017 – Regimi agevolativi per persone fisiche che trasferiscono la residenza fiscale in Italia · Agenzia delle Entrate · read 2026-10-27

  24-bis holders: exemption from foreign-asset reporting, IVIE and IVAFE, and inheritance and gift tax limited to assets in Italy. The PDF's text could be extracted only in part; the inheritance passage was read directly.

• Decreto-legge 27 marzo 2026, n. 38 (testo vigente) · Agenzia delle Entrate · read 2026-10-27

  Art. 2: the 24-bis flat tax can no longer be combined with the art. 5 impatriate regime for people moving tax residence to Italy from the 2027 tax year; converted by Law 88/2026.

• Lavoratori impatriati – nuovo regime (dal periodo d'imposta 2024) – Che cos'è · Agenzia delle Entrate · read 2026-10-27

  Art. 5 D.Lgs. 209/2023: 50% taxable (40% with a minor child), €600,000 cap, five years, three years non-resident (six or seven with the same employer or group), four-year commitment, high qualification, work mainly in Italy, compatibility with other regimes.

• Regime opzionale per i pensionati esteri – Che cos'è · Agenzia delle Entrate · read 2026-10-27

  Updated 8 May 2026: 7% on all foreign-source income, municipalities up to 30,000 inhabitants since 7 April 2026 (20,000 before), the eight regions and the earthquake-area municipalities.

• Circolare n. 21/E del 17 luglio 2020 – Pensionati esteri nel Mezzogiorno (art. 24-ter TUIR) · Agenzia delle Entrate · read 2026-10-27

  24-ter: foreign-payer pension, five prior years non-resident, move from a country with an administrative-cooperation agreement, ten years (year of move plus nine), exemption from reporting, IVIE and IVAFE for covered countries.

• Aliquote e calcolo dell'Irpef · Agenzia delle Entrate · read 2026-10-27

  Updated 13 January 2026: 23% to €28,000, 33% to €50,000 (from 35%), 43% above; claw-back for incomes above €200,000 (Law 199/2025 art. 1 paragraphs 3–4). The table on the page still shows 35%, the note gives the 2026 rate.

• Personal income tax rates and calculation · Agenzia delle Entrate · read 2026-10-27

  English page, updated 16 January 2026: 2026 brackets; residents are taxed on income from all sources, non-residents only on Italian income.

• Principali misure della legge di bilancio 2026 · Ministero dell'Economia e delle Finanze · read 2026-10-27

  Second bracket cut from 35% to 33%, neutralised only above €200,000; flat-regime employment-income threshold raised to €35,000.

• Addizionale regionale all'IRPEF – Disciplina del tributo · Dipartimento delle Finanze, Ministero dell'Economia e delle Finanze · read 2026-10-27

  Regional surcharge base rate 1.23%, ordinary regions may add up to 2.1 points (so up to 3.33%), special rules for autonomous regions and health-deficit regions.

• Addizionale comunale all'IRPEF – Disciplina del tributo · Dipartimento delle Finanze, Ministero dell'Economia e delle Finanze · read 2026-10-27

  Municipal surcharge up to 0.8% (Rome up to 0.9%), with optional exemption thresholds and progressive rates.

• Residence for tax purposes · Agenzia delle Entrate · read 2026-10-27

  Four alternative tests for most of the year (183/184 days): habitual residence, domicile, physical presence counting fractions of days, registry registration as a rebuttable presumption.

• Circular No. 20/E of 4 November 2024 – Tax residence (English version) · Agenzia delle Entrate · read 2026-10-27

  New residence rules apply from the 2024 tax year; days need not be consecutive; year splitting only under the treaties with Germany, Switzerland and Panama.

• Ivafe – Base imponibile e aliquote · Agenzia delle Entrate · read 2026-10-27

  IVAFE 0.2% on foreign financial products (0.4% in tax havens from 2024), €34.20 per foreign account, not due if average balance is €5,000 or less, credit for foreign wealth tax.

• Ivie – Base imponibile e aliquota · Agenzia delle Entrate · read 2026-10-27

  IVIE 1.06% from 2024 (0.76% before), not due at €200 or less, main-home exemption, credit for wealth tax paid where the property is.

• Circolare n. 19/E del 27 giugno 2014 – Aliquota di tassazione dei redditi di natura finanziaria · Agenzia delle Entrate · read 2026-10-27

  26% rate on financial income (dividends, interest, capital gains) from 1 July 2014, with 12.5% kept for Italian and white-list government bonds.

• Imposta di successione – Aliquote e franchigie · Agenzia delle Entrate · read 2026-10-27

  Inheritance tax 4% above €1 million per spouse or direct relative, 6% above €100,000 for siblings, 6% other relatives, 8% others.

• Regime forfetario – Che cos'è · Agenzia delle Entrate · read 2026-10-27

  Updated 21 July 2026: €85,000 threshold (€100,000 immediate exit), 15% or 5% for new activities, replaces IRPEF and surcharges, €35,000 employment-income limit for 2025–2026, former-employer exclusion, mandatory social contributions deducted.

• Visa for digital nomads and remote workers · Embassy of Italy in Pristina, Ministero degli Affari Esteri e della Cooperazione Internazionale (esteri.it) · read 2026-10-27

  Legal basis of the nomad visa (interministerial decree of 29 February 2024); the page says nothing about tax, so the visa carries no tax status of its own.

• Nomadi digitali e lavoratori da remoto, ecco le regole · Portale Integrazione Migranti, Ministero del Lavoro e delle Politiche Sociali · read 2026-10-27

  Codice fiscale issued with the permit, digital nomads must open a partita IVA, Italian social security applies absent a bilateral agreement.

• Misura dell'aliquota dell'addizionale regionale all'IRPEF – anno d'imposta 2026 · Regione Lazio · read 2026-10-28

  Lazio 2026: 1.73% up to €15,000 and 3.33% on each band above, including above €50,000; taxable income up to €28,000 pays 1.73% flat (Regional Law 20 of 31 December 2025).

• Addizionale IRPEF · Roma Capitale · read 2026-10-28

  Rome's municipal surcharge has been 0.9% since 2011; from 1 January 2025 it is not due on total income of €14,000 or less, and above that it applies in full.