Free Tool

Italy Tax Regime Quick Check

Moving to Italy or already here? Answer a few questions and see which Italian tax regimes you may qualify for, from the Impatriati incentive to the flat rate Forfettario.

Takes about one minute. No login required.

Question 1 of 7

What best describes your situation?

This helps us understand which regimes could apply to you.

Italian Tax Regimes for Expats and New Residents

Italy offers several tax incentives designed to attract workers, entrepreneurs, retirees, and high net worth individuals from abroad. Choosing the right one can save you tens of thousands of euros per year, but eligibility rules are specific and the landscape has changed significantly since 2024 (D.Lgs. 209/2023, L. 199/2025, L. 34/2026). This tool helps you quickly identify which regimes are worth exploring with your commercialista.

Regimes covered

  • Regime Impatriati (D.Lgs. 209/2023): Workers who transfer their tax residence to Italy after living abroad for at least 3 tax years (or 6 to 7 if returning to the same employer) can receive a 50% income tax exemption, up to EUR 600,000 of qualifying income. The exemption rises to 60% if you move with a minor child, or have or adopt one while using the regime. Requires a commitment to stay at least 4 years and meeting high qualification or specialisation requirements.
  • Regime Forfettario: A flat rate tax regime for freelancers and sole proprietors earning up to EUR 85,000 per year. The substitute tax is 15% (or 5% for the first 5 years if certain startup conditions are met). Not available to those with controlling stakes in related SRLs, employment income above EUR 35,000 (raised from EUR 30,000 for 2025 and 2026 by L. 207/2024), or who primarily serve a former employer.
  • Pensioner Flat Tax (Art. 24-ter TUIR): Foreign pensioners who move to small municipalities (under 30,000 residents, raised from 20,000 by L. 34/2026) in southern Italian regions or certain earthquake affected areas can pay a 7% flat tax on all foreign source income for up to 10 years.
  • New Resident Flat Tax (Art. 24-bis TUIR): High net worth individuals who have not been Italian tax residents for at least 9 of the prior 10 tax years can opt for a flat substitute tax on all foreign source income. The annual tax is EUR 300,000 (raised from EUR 200,000 by L. 199/2025), plus EUR 50,000 per qualifying family member (raised from EUR 25,000). Duration is up to 15 years.
  • Ordinary IRPEF: The default Italian income tax system applies to everyone who does not qualify for (or choose) a special regime. The 2026 brackets are 23% up to EUR 28,000, 33% from EUR 28,000 to EUR 50,000 (reduced from 35% by L. 199/2025), and 43% above EUR 50,000.

For personalised guidance on which regime is right for your situation, book a free call with TMG Books.