{"id":1730,"date":"2018-10-15T09:09:26","date_gmt":"2018-10-15T07:09:26","guid":{"rendered":"http:\/\/159.65.127.138\/?p=1730"},"modified":"2026-04-16T09:30:46","modified_gmt":"2026-04-16T07:30:46","slug":"7-per-cent-flat-tax-for-pensioners-coming-to-live-in-the-of-south-italy","status":"publish","type":"post","link":"https:\/\/taxing.it\/it\/7-per-cent-flat-tax-for-pensioners-coming-to-live-in-the-of-south-italy\/","title":{"rendered":"Flat Tax for pensioners coming to live in the South of Italy &#8211; 10 years at 7%"},"content":{"rendered":"<div data-elementor-type=\"wp-post\" data-elementor-id=\"1730\" class=\"elementor elementor-1730\" data-elementor-post-type=\"post\">\n\t\t\t\t<div class=\"elementor-element elementor-element-40e87f9 e-con-full e-flex e-con e-parent\" data-id=\"40e87f9\" data-element_type=\"container\" data-e-type=\"container\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t\t\t<div class=\"elementor-element elementor-element-49f2b29 elementor-widget__width-inherit elementor-widget elementor-widget-text-editor\" data-id=\"49f2b29\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t\t\t\t\t\t<h2>April 2026 update<\/h2><p>The population threshold for eligible municipalities is increased from 20,000 to 30,000 residents. Article 26 of Law No. 34 of March 11, 2026\u2014the SME Law\u2014amends Article 24-ter of the Italian Tax Code by expanding the scope of eligible territories to Comuni (municipal authorities). This\u00a0 amendment opens the 7% Regime scheme to medium-sized urban centers that were previously excluded. This will include larger urban centres, particularly those with better transport connections and urban infrastructure in coastal areas, which have more developed infrastructure compared to small villages. The size extension applies to both municipalities in Italy&#8217;s &#8220;Mezzogiorno&#8221; (Southern Regions) and to earthquake impacted areas in Lazio, Marche and Umbria.<\/p><p>The change is expressed to come apply\u00a0 from 7 April 2026. It is not yet clear exactly when the change will come into effect and in particular whether it will apply to\u00a0<\/p><ul><li>anyone <a href=\"https:\/\/taxing.it\/it\/italian-residence-what-is-the-anagrafe\/\" target=\"_blank\" rel=\"noopener\">registering as resident<\/a> for the first time in Italy on or after 7 April 2026<\/li><li>anyone who is <a href=\"https:\/\/taxing.it\/it\/italian-statutory-tax-residence-test-for-individuals-2024-changes\/\" target=\"_blank\" rel=\"noopener\">tax resident<\/a> in Italy for FY 2026<\/li><li>anyone who is <a href=\"https:\/\/taxing.it\/it\/italian-statutory-tax-residence-test-for-individuals-2024-changes\/\" target=\"_blank\" rel=\"noopener\">tax resident\u00a0<\/a>in Italy starting from FY 2027<\/li><\/ul><p>Before official guidance is issued by the Tax Agency caution should be exercised by those selecting a Comune with more than 20,000 (but less than 30,000) inhabitants transferring\u00a0 tax residence to Italy for FY 2026.<\/p><h2>Legislation<\/h2><pre>In Article 24-ter, paragraph 1, of the Consolidated Income Tax Law, referred to in the Decree of the President of the Republic of December 22, December 1986, No. 917, the words: \u201c20,000 inhabitants\u201d are replaced by the following: \u201c30,000 inhabitants\u201d.<\/pre><p>The revised\u00a0 wording of Article 24-bis, now reads:<\/p><pre>\"individuals who receive pension income as referred to in Article 49(2)(a) from foreign entities and who transfer their residence to Italy pursuant to Article 2(2) to one of the municipalities located in the regions of Sicily, Calabria, Sardinia, Campania, Basilicata, Abruzzo, Molise, and Puglia, or to one of the municipalities listed in Annexes 1, 2, and 2-bis to Decree-Law No. 189 of October 17, 2016, No. 189, converted, with amendments, by Law No. 229 of December 15, 2016, or in one of the municipalities affected by the earthquakes of April 6, 2009, provided that the population does not exceed <strong>30,000<\/strong> <strong>inhabitants<\/strong>, may opt to subject income of any category, generated abroad, identified in accordance with the criteria set forth in Article 165, paragraph 2, to a substitute tax, calculated on a flat-rate basis, at a rate of 7 percent for each tax period during which the option is valid.\"<\/pre>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-b843148 elementor-widget__width-inherit elementor-widget elementor-widget-text-editor\" data-id=\"b843148\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t\t\t\t\t\t<h2>What does the special tax relief consist of?<\/h2><p>A 7% flat tax on all income for all <strong>pensioners<\/strong> (regardless of nationality) who:<\/p><ul><li style=\"text-align: justify;\">have been <a href=\"https:\/\/taxing.it\/it\/italian-statutory-tax-residence-test-for-individuals-2024-changes\/\">tax resident<\/a> outside Italy for at least five (5) years prior to the tax year in which they become Italian tax resident;<\/li><li style=\"text-align: justify;\">transfer their\u00a0<a href=\"https:\/\/taxing.it\/it\/italian-statutory-tax-residence-test-for-individuals-2024-changes\/\">tax residence<\/a> to<ul><li style=\"text-align: justify;\">one of the Regions in the South of\u00a0 Italy (Sicily, Calabria, Sardinia, Campania, Basilicata, Abruzzo, Molise, Puglia) in a municipality <i>(comune)<\/i> with a population of <a href=\"https:\/\/www.istat.it\/it\/archivio\/6789\" target=\"_blank\" rel=\"noopener\">fewer than 30,000 inhabitants;<\/a><\/li><li style=\"text-align: justify;\">or to a municipality with fewer than 30,000 inhabitants in <a href=\"https:\/\/taxing.it\/it\/list-of-municipalities-in-seismic-areas\/\" target=\"_blank\" rel=\"noopener\">defined seismic areas<\/a> in Marche, Umbria and Lazio;<\/li><\/ul><\/li><li>transfer their tax residence from a country or jurisdiction with which an administrative\u00a0 cooperation agreement\u00a0(e.g. a <a href=\"https:\/\/taxing.it\/it\/list-of-italys-double-tax-treaties-income-tax\/\">DTA<\/a>)\u00a0is in place. This includes any EU Member State and a large number of other countries).<\/li><\/ul><div>In looking at the 5 year test of non Italian tax residence, the legislation makes reference exclusively to Italian test of tax residence, without any reference to the tax residence position as potentially modified by a double tax treaty.\u00a0 In other words <strong>only<\/strong> the Italian test of tax residence per the Italian Tax Code applies here,\u00a0 and the resolution of positions of dual tax residence under a <a href=\"https:\/\/taxing.it\/it\/list-of-italys-double-tax-treaties-income-tax\/\" target=\"_blank\" rel=\"noopener\">double tax treaty<\/a> is not relevant.\u00a0\u00a0<\/div><div>If you elect the 7% flat tax regime and meet all the conditions, you will not be liable to Italian tax at usual <a href=\"https:\/\/taxing.it\/it\/personal-income-tax-irpef-rates-2\/\" target=\"_blank\" rel=\"noopener\">scale rates<\/a>\u00a0and you will be exempt from Italian <a href=\"https:\/\/taxing.it\/it\/ivie-ivafe-wealth-tax-on-foreign-property\/\">wealth tax\u00a0<\/a>and the associated foreign asset reporting obligations.<\/div>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-ec81213 elementor-widget__width-inherit elementor-widget elementor-widget-text-editor\" data-id=\"ec81213\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t\t\t\t\t\t<h2><span style=\"font-family: 'Noto Sans', sans-serif; font-size: 1.5rem; font-weight: bold; background-color: transparent;\">Definition of Pension<\/span><\/h2><p style=\"text-align: justify;\">The definition of pensioner in the legislation and guidelines is rather vague. It appears to include anyone in receipt of a pension (government or private), regardless of age, and regardless of whether the pension income is the principal\/prevalent source of income. It is certainly wide enough to encompass all forms of pension, private or public. However the Italian Tax Agency appear to be developing a restrictive approach\u00a0 excluding from the definition &#8220;purchased&#8221; pension products i.e.. products which are not workplace related and have not been set up during the taxpayers working life for the exclusive purposes of providing retirement benefits. Pension products containing flexible drawdown arrangements &#8211; e.g. where the pensioner is entitled to withdraw all or any part of funds in the pension scheme at any time (possible after reaching the relevant age) also appear in the Tax Agency&#8217;s view not to permit, on their own, access to the 7% Regime.<\/p><p style=\"text-align: justify;\">In most cases receipt of state\/government retirement benefits\u00a0 will allow access to the Regime.\u00a0 Other types of pension may not meet the definition and will need to be examined in each case.<\/p><p>The pension also needs to be l<a href=\"https:\/\/taxing.it\/it\/italian-tax-on-foreign-pensions\/\">iable to tax<\/a> in Italy.\u00a0 It is vital to check the terms of the applicable treaty &#8211; e.g <a href=\"https:\/\/taxing.it\/it\/double-tax-treaties\/\">a\u00a0 double tax treaty<\/a>\u00a0 or the treaty of the international organisation for which you worked (e.g UN, NATO, EU etc) &#8211; as under the terms of the Treaty you may (typically if you worked for government, local authority or an international organisation) be taxable only in the country where your pension provider is based.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-9771d24 elementor-widget__width-inherit elementor-widget elementor-widget-text-editor\" data-id=\"9771d24\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t\t\t\t\t\t<h2><span style=\"font-family: 'Noto Sans', sans-serif; font-size: 1.5rem; font-weight: bold; background-color: transparent;\">Period<\/span><\/h2><p style=\"text-align: justify;\">The 7% regime applies for ten (it was initially five when the law was introduced) years starting with the year in which the transfer of tax residence is effective.\u00a0 Election for the regime is made in the tax return for that year. This will normally be filed in the year following the first tax year of residence.<\/p><p style=\"text-align: justify;\">Bear in mind that under Italian rules you are either tax resident in any tax period (calendar year) depending on whether you satisfy the <a href=\"https:\/\/taxing.it\/it\/italian-statutory-tax-residence-test-for-individuals-2024-changes\/\">statutory residence test<\/a> for more than six months in any\u00a0 tax (calendar) year.\u00a0 So if you transfer your tax residence in the latter half of any year, you will not be able to start on the 7% regime until the following tax year.\u00a0 By the same token you should not be liable to Italian tax on non-Italian source income at all for that year of transfer, assuming you do not fall within the definition of Italian tax resident for more than 183 days (184 days for leap years) in that tax year.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-cc72221 elementor-widget__width-inherit elementor-widget elementor-widget-text-editor\" data-id=\"cc72221\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t\t\t\t\t\t<h2><span style=\"font-family: 'Noto Sans', sans-serif; font-size: 1.5rem; font-weight: bold; background-color: transparent;\">Checking your municipality&#8217;s population<\/span><\/h2><p style=\"text-align: justify;\">A list of applicable local authorities can be extrapolated from the web-site of the <a href=\"http:\/\/dati.istat.it\/Index.aspx?QueryId=19101&amp;lang=en&amp;fbclid=IwAR0OySGvCf4_ex7tY-tFzzDTgn755IiJ5g9vNROVKQ6OfeXpsQO2DJVfwzc\">Italian statistical service<\/a> <em>ISTAT, <\/em>but you should also check directly with the local authority (<em>comune<\/em>) before moving.<\/p><p>A list of all municipalities in the seismic areas (which also includes municipalities in Lazio, Marche and Umbria (outside the defined Southern Regions ) can be found<a href=\"https:\/\/taxing.it\/it\/list-of-municipalities-in-seismic-areas\/\"> here.<\/a> That list also includes municipalities with more than 30,000 so you will need to check the population with the ISTAT service.<\/p><p><a href=\"https:\/\/www.agenziaentrate.gov.it\/portale\/documents\/20143\/296845\/Provvedimento+Regime+opzionale+contribuenti+con+pensione+estera.pdf\/fba9e28e-51ce-20e2-d14e-9d9c48db5ee7\" target=\"_blank\" rel=\"noopener\">Tax Agency guidance<\/a> states that in determining the population number you make reference to the population number as shown in the\u00a0 <a href=\"http:\/\/dati.istat.it\/Index.aspx?QueryId=19101&amp;lang=en&amp;fbclid=IwAR0OySGvCf4_ex7tY-tFzzDTgn755IiJ5g9vNROVKQ6OfeXpsQO2DJVfwzc\">Italian statistical service<\/a> <em>ISTAT\u00a0 <\/em>lists on 1 January of the year <strong>preceding<\/strong> your transfer of\u00a0 residence. What is intended by transfer of residence is not specified, i.e. whether it is the date on which your register as residence with the Anagrafe maintained by your Comune or if its refers to the first whole tax year of tax residence.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-8119564 elementor-widget__width-inherit elementor-widget elementor-widget-text-editor\" data-id=\"8119564\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t\t\t\t\t\t<h2><span style=\"font-family: 'Noto Sans', sans-serif; font-size: 1.5rem; font-weight: bold; background-color: transparent;\">Timing<\/span><\/h2><p style=\"text-align: justify;\">Timing is important as electing the regime must be done in the tax return for the tax year in which the transfer of residence is completed.\u00a0 Under Italian tax rules, an individual is generally either resident or not for any tax year,\u00a0 ie. there is no spilt year concept \/except pursuant to a few tax treaties, eg. the treaties with Switzerland and Germany where applicable), depending on whether or not the individual is either registered or resident or has their centre of vital interests\/habitual abode in Italy for more than half the year. A &gt;183 day (including fractions of a day) additional\u00a0 physical presence test was added with effect from FY 2024 onward. It is therefore of fundamental importance to identify the first Italian tax year in which the regime will start.\u00a0 Failure to make the election in the annual tax return for first year of tax residence and pay the 7% tax by the due deadline will lead to loss of entitlement altogether.<\/p><p style=\"text-align: justify;\">It is also important to ensure, if possible, that you cease to be liable to tax in the country from which you are moving from the first day of the Italian tax year for which you will be resident, since when you are on the regime you cannot generally claim credit for any <a href=\"#FTC\">foreign tax.<\/a><\/p><p>Otherwise you may face a double tax liability for an overlapping period of residence.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-2b346ae elementor-widget__width-inherit elementor-widget elementor-widget-text-editor\" data-id=\"2b346ae\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t\t\t\t\t\t<h2><span style=\"font-family: 'Noto Sans', sans-serif; font-size: 1.5rem; font-weight: bold; background-color: transparent;\">The Consequences of\u00a0 Making the Election<\/span><\/h2><ul><li>Exemption from income taxes at <a href=\"https:\/\/taxing.it\/it\/personal-income-tax-irpef-rates-from-1-january-2024\/\" target=\"_blank\" rel=\"noopener\">normal scale rates<\/a> applicable to pension income and overseas business, employment and rental income;<\/li><li>Exemption from 26% substitute tax on investment income\/dividends and interest from non Italian companies;<\/li><li>Exemption from declaring foreign assets (no need to compile section RW of the return);<\/li><li>Exemption from wealth taxes (<a href=\"https:\/\/taxing.it\/it\/ivie-ivafe-wealth-tax-on-foreign-property\/\">IVIE and IVAFE<\/a>) on foreign assets.<\/li><\/ul><p style=\"text-align: justify;\">The 7% substitute tax means no deductions for <a href=\"https:\/\/taxing.it\/it\/list-of-deductions-and-deductible-expenses\/\">tax deductible expenditure or credits<\/a> (dependents, alimony, energy-saving or real estate refurbishment expenditure etc.)<\/p><p style=\"text-align: justify;\">The regime does not extend to Italian source income (income and gains which are deemed under the Italian Tax Code <a href=\"https:\/\/taxing.it\/it\/italian-source-income\/\" target=\"_blank\" rel=\"noopener\">to have an Italian source<\/a>) on which tax will payable in the <a href=\"https:\/\/taxing.it\/it\/personal-income-tax-irpef-rates-from-1-january-2024\/\" target=\"_blank\" rel=\"noopener\">normal way ie. subject to marginal rates or applicable other flat-tax rate, such as:<\/a><\/p><ul><li><a href=\"https:\/\/taxing.it\/it\/italian-tax-aspects-of-renting-italian-real-estate-for-landlords\/\">rental income<\/a> on Italian property;<\/li><li>income from employment or self-employment where the activity is carried on from Italian territory;<\/li><li>deemed land registry income from property in a luxury category or land and buildings generally which are not occupied as the owner&#8217;s principal residence property (prima casa);<\/li><li>pensions paid by the Italian government\/Italian based occupational\/private pension schemes;<\/li><li>income from Italian government bonds and from Italian listed companies;<\/li><li>investment income and gains paid by an Italian intermediary.<\/li><li>royalties paid by an Italian business<\/li><\/ul><p style=\"text-align: justify;\">Having Italian source income is no bar to accessing the 7% regime, as long as you have a qualifying overseas source of pension income.\u00a0 It just means that you will need to report the Italian source income separately and pay tax on it in the normal way.\u00a0 \u00a0For example you will likely need to register for VAT (and social security) is you are carrying an activity of self-employment from Italy.\u00a0 You are free to make investments in Italian financial investments and products, but, again, you will be liable to tax at normal Italian rates on the relevant income or gains (typically withheld at source by the bank or financial institution).<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-5b71e80 elementor-widget__width-inherit elementor-widget elementor-widget-text-editor\" data-id=\"5b71e80\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t\t\t\t\t\t<h2><span style=\"font-family: 'Noto Sans', sans-serif; font-size: 1.5rem; font-weight: bold; background-color: transparent;\">After the special regime expires<\/span><\/h2><p style=\"text-align: justify;\">At the end of the flat tax period, absent any extension by the Italian government via new legislation, the taxpayer will go onto the normal regime. This means taxation at ordinary rates\/substitute tax on investment income and gains on worldwide income, if still resident.<\/p><p style=\"text-align: justify;\">The flat-tax period can be ended at will by the taxpayer revoking the option. It will also terminate, if they move their residence to another municipality that does not qualify for the relief.<\/p><p style=\"text-align: justify;\">If any of the requirements for the relief ceases to apply during the period for which the special regime applies, then the taxpayer will go onto the normal tax regime for the next tax period.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-ec2b5fc elementor-widget__width-inherit elementor-widget elementor-widget-text-editor\" data-id=\"ec2b5fc\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t\t\t\t\t\t<h2><span style=\"font-family: 'Noto Sans', sans-serif; font-size: 1.5rem; font-weight: bold; background-color: transparent;\">Foreign Tax on non-Italian source income<\/span><\/h2><p style=\"text-align: justify;\">Under the special regime, you are not able to claim credit for any foreign tax. It seems to be the view of the Italian tax authorities (although specific clarification would be helpful) that the 7% applies to the gross income received and the not the net amount after deduction or payment of any foreign tax.<\/p><p style=\"text-align: justify;\">To overcome the risk of double taxation, the Italian legislator has granted the possibility of opting out of the regime on a country-by-country basis, selecting all income sourced in a particular country, and electing this to be taxed at <a href=\"https:\/\/taxing.it\/it\/personal-income-tax-irpef-rates\/\">normal rates<\/a>.\u00a0 This you would want to do, if you were liable to tax in that country, and the foreign tax credit covers your Italian tax liability (or gives you an Italian tax liability that is less than 7% of the gross income.)<\/p><p style=\"text-align: justify;\">It should be noted that the exemption from completing Form RW in the tax return and from the payment of IVIE and IVAFE only concerns the jurisdictions included in the option. If you elect to exclude income from a particular country from the 7% substitute tax, then you will need to complete the RW section of the tax return showing opening and year end values for the investments\/assets\/bank accounts in the country that is excluded from the 7% regime, paying the relevant IVIE and IVAFE.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-b1b9005 elementor-widget__width-inherit elementor-widget elementor-widget-text-editor\" data-id=\"b1b9005\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t\t\t\t\t\t<h2><span style=\"font-family: 'Noto Sans', sans-serif; font-size: 1.5rem; font-weight: bold; background-color: transparent;\">Foreign Pension Income<\/span><\/h2><p style=\"text-align: justify;\">Note that if you are resident in or have a pension paid by a government or local authority in another country (and one with which Italy has<a href=\"https:\/\/taxing.it\/it\/double-tax-treaties\/\"> a double tax treaty<\/a>) and the pension derives from your job with that government or local authority, then you may not be liable to Italian tax at all on that pension income. In this case you may well be liable to tax on the pension income in the country that pays the pension, and you will not be able to properly elect the 7% regime, if your only pension income derives from government service.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-1d9add3 elementor-widget__width-inherit elementor-widget elementor-widget-text-editor\" data-id=\"1d9add3\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t\t\t\t\t\t<h2><span style=\"font-family: 'Noto Sans', sans-serif; font-size: 1.5rem; font-weight: bold; background-color: transparent;\">How We Can Help<\/span><\/h2><p style=\"text-align: justify;\"><span style=\"background-color: transparent;\">We can:<\/span><\/p><ul><li style=\"text-align: justify;\">Provide an advance report on your resident status and estimate the amount of tax you would be liable to, were you to move to Italy<\/li><li style=\"text-align: justify;\">Put you in touch with reliable property consultants you can help you manage the property search,\u00a0 acquisition and refurbishment process<\/li><li style=\"text-align: justify;\">Assist with the legal aspects of purchasing\/renting real estate reviewing contracts\/purchase deed, acting under power of attorney,<\/li><li style=\"text-align: justify;\">Advise on structuring the\u00a0 acquisition in the most tax efficient manner &#8211; especially where you are going to be using the property as part of business activity, advising on best regime taxwise and focussing on tax deductions for refurbishment and improvement costs.<\/li><li style=\"text-align: justify;\">Advice on and preparation of wills, planning your succession, managing Italian forced heirship rules, family trusts and optimising inheritance and gift tax.<\/li><\/ul><p>If you have any questions or would like further information on this regime feel free to <a href=\"http:\/\/159.65.127.138\/contact-us\/\">contattateci<\/a><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-4a3b254 elementor-widget__width-inherit elementor-widget elementor-widget-text-editor\" data-id=\"4a3b254\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t\t\t\t\t\t<h2><span style=\"font-family: 'Noto Sans', sans-serif; font-size: 1.25rem; font-weight: bold; background-color: transparent;\">Legislation and Official Guidance<\/span><\/h2><p><a href=\"https:\/\/www.normattiva.it\/atto\/caricaDettaglioAtto?atto.dataPubblicazioneGazzetta=1986-12-31&amp;atto.codiceRedazionale=086U0917&amp;atto.articolo.numero=0&amp;atto.articolo.sottoArticolo=1&amp;atto.articolo.sottoArticolo1=10&amp;qId=e9644ad3-2846-4191-bf5b-5f369a468676&amp;tabID=0.4074638003465634&amp;title=lbl.dettaglioAtto\">Art 24-ter of the Italian Tax Code<\/a><\/p><p><a href=\"https:\/\/www.agenziaentrate.gov.it\/portale\/documents\/20143\/296845\/Provvedimento+Regime+opzionale+contribuenti+con+pensione+estera.pdf\/fba9e28e-51ce-20e2-d14e-9d9c48db5ee7\">Agenzia delle Entrate provvedimento n. 167878\/2019.<\/a><\/p><p><a href=\"https:\/\/www.normattiva.it\/uri-res\/N2Ls?urn:nir:stato:decreto.legge:2016-10-17;189!vig=\">Decree-Law 17 October 2016, no. 189<\/a> List of municipalities in seismic zones contained Annex 1, 2 and 2(II)<\/p><p><a href=\"https:\/\/www.agenziaentrate.gov.it\/portale\/documents\/20143\/0\/Circolare+n.+21E+del+17.07.2020.pdf\/96191701-87ef-ce63-e163-a8a6e37e64ad\">Tax Agency Circular 17 July 2020 No 21\/E<\/a><\/p><p><a href=\"https:\/\/www.gazzettaufficiale.it\/eli\/gu\/2018\/12\/31\/302\/so\/62\/sg\/pdf\">Legge 30 December 2018, no. 145 (<\/a><a href=\"https:\/\/www.gazzettaufficiale.it\/eli\/gu\/2018\/12\/31\/302\/so\/62\/sg\/pdf\">article 1, para. 274)<\/a><\/p><p><a href=\"https:\/\/www.agenziaentrate.gov.it\/portale\/documents\/20143\/3788714\/Risposta+all%27interpello+n.+616+del+20+settembre+2021.pdf\/e2228199-24e9-fd07-0ea6-9147456cbb6c\">Interpello Reply no. 616 of 20 September 2021- Application of 7% regime to U.S. SEPP program income (considered as a supplementary or complimentary scheme from an Italian perspective)\u00a0<\/a><\/p><p><a href=\"https:\/\/www.agenziaentrate.gov.it\/portale\/documents\/20143\/0\/Risposta_244_13.04.2021.pdf\/5fd67510-6cd4-7a96-e8e0-7cd967915782\">Interpello Reply no.\u00a0 244 of 13 April 2021 &#8211;\u00a0 7% regime not applicable to Irish voluntary pension scheme.<\/a><\/p><p><a href=\"https:\/\/www.gazzettaufficiale.it\/eli\/id\/2026\/03\/23\/26G00050\/SG\" target=\"_blank\" rel=\"noopener\">Law 11 March 2026, n. 34 Annual law on small and medium size businesses (GU General Series no.68 of\u00a0 23-03-2026). Entry into force of increase from 20,000 to 30,000 inhabitant threshold.\u00a0<\/a><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>","protected":false},"excerpt":{"rendered":"<p>April 2026 update The population threshold for eligible municipalities is increased from 20,000 to 30,000 residents. Article 26 of Law No. 34 of March 11, 2026\u2014the SME Law\u2014amends Article 24-ter of the Italian Tax Code by expanding the scope of eligible territories to Comuni (municipal authorities). This\u00a0 amendment opens the 7% Regime scheme to medium-sized [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3,7,54,99,128,143,689,714,722],"tags":[15,20,125,677,715,716,717],"class_list":["post-1730","post","type-post","status-publish","format-standard","hentry","category-technical-update","category-technical-resource","category-blog","category-tax-reliefs","category-pensions","category-living-in-italy","category-special-tax-regime","category-retiring-to-italy","category-menupost","tag-italy","tag-tax","tag-pension","tag-special-tax-regime","tag-retiring-to-italy","tag-pensioner","tag-retirement-in-italy"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Flat Tax for pensioners coming to live in the South of Italy - 10 years at 7% | Taxing.It<\/title>\n<meta name=\"description\" content=\"April 2026 updateThe population threshold for eligible municipalities is increased from 20,000 to 30,000 residents. 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