Italian Inheritance and Gift Tax

Italian Inheritance & Gift Tax: Key Rules (2025 Update) Tax Rates by Beneficiary Relationship Spouse and direct descendants (children, grandchildren): 4% with a €1 million exemption per beneficiary. Siblings: 6% with a €100,000 exemption. Other relatives up to the fourth degree: 6% with no exemption. Unrelated individuals: 8% with no exemption. See this article for […]

RW Foreign Asset Reporting Codes

The table below contains the codes to be shown in Section RW of the annual tax return allocating any foreign asset to an individual category. Italian Descriptor Code English Description Conti Correnti E Depositi Esteri 1 Foreign Current And Deposit Accounts Partecipazioni Al Capitale O Al Patrimonio Di Società Non Residenti 2 Shares In The […]

Italian Foreign Asset Reporting Obligations in Quadro RW and IVAFE for Foreign Pension Schemes

The Italian rules for the reporting of a foreign pension or retirement benefits schemes are vague and Italian centric. This leads, for many taxpayers to uncertain positions where they transfer residence to Italy benefitting from or participating in such schemes.  The fundamental starting point is that, in the Italian context it is the Sate that […]

Pensions – Posts

Italian Tax on Foreign Pensions

If your pension is liable to tax in Italy (which will be the general position absent exemption under a DTA) then you need to follow Italian rules on the timing of a receipt for tax purposes. 

Italian Social Security Contributions

Table of Contents Introduction Working from Italian soil means, according to the default rules, that you are liable to make payment of Italian social security contributions, the bulk of which are, in general, contributions into the Italian state pension scheme. Different schemes apply to employees compared to the self employed.  The rates, thresholds, minimum contributions, […]

List of Municipalities in Seismic Areas

The following is a list of municipalities in areas of Italy qualifying for special assistance as a result of seismic events. This list shows ALL Muncipalities. If you are looking for municipalities that qualify you for the 7% special regime, you need to look up each municipality shown here in the ISTAT list  and see […]

Flat Tax for pensioners coming to live in the South of Italy – 10 years at 7%

What does the special tax relief consist of? A 7% flat tax on all income for all pensioners (regardless of nationality) who: have been tax resident outside Italy for at least five (5) years prior to the tax year in which they become Italian tax resident; transfer their tax residence to one of the Regions in […]

Foreign Asset Reporting, Section RW, IVIE & IVAFE – Wealth Tax on Foreign Property

Increase in IVIE and IVAFE Starting from FY 2024, the rate of  IVIE,  the tax on the value of foreign (non Italian) real estate located abroad, will increase from 0.76% to 1.06%.  This increase applies generally to all real estate situated outside Italy by a Italian tax resident.    IVAFE, the tax on the value […]