These are the personal income tax rates that apply after 1 January 2024. For applicable rates before that date please click this link.
The rates were changed by Legislative Decree no. 216/2023 published in the Official Gazette no 303 of 30 December 2023.
The Decree states that they applicable for FY 2024 only and therefore not guaranteed to remain applicable after that date. Also they may be subject to further modification by subsequent legislation before the publication of standard model tax returns for FY 2025 on FY 2024 income (spring 2025).
FY 2024 Rates of Italian Income Tax
(based on annual income)
Bracket of Income (annual amounts)
Rate
Cumulative Tax to Top of Band
On the first € 28,000
23%
€ 6,440
Above € 28,000 up to € 50,000
35%
€ 7,700
Over € 50,000
43%
On top of the above rates you need to add
the municipal tax supplement (imposta addizionale comunale) which ranges from 0.1% to 0,9%
and the
supplemental regional tax which varies from 0.70% to 3.33%
depending on region
and bracket of income
Bracket of Income
You can search below for your Region and Municipality (Comune) and find the applicable rates of Additional Regional and Municipal Taxes.
Searches are in the Italian language on the Italian Ministry Web Site and may not be up to date as some Regions and many Municipalities have not yet published the FY 2024 rates and bands.
Imposta Sostitutiva/Substitute Tax
The rates shown above apply only to income which is not subject to imposta sostititva (“substitute tax”) which applies in place of the main national income, regional and municipal tax shown above. Whether substitute tax depends on the type of income, the treatment under law and, in some case, the election of the taxpayer.
Examples of income that are subject to tax at the rates shown in the above table are:
- income from employment
- pension income (except for qualifying pensions in the South of Italy (see below)
- income from self employment
- rent from Italian property (where the option to substitute tax is not taken)
- rent from non Italian situated real estate
- royalty income
- miscellaneous income
Examples of income that are liable to substitute tax are:
- income from pensions where the option to substitute tax at 7% has been taken (NB. if the option has been taken the 7% will apply to all income).
- income from investments, interest, dividends, capital gains – generally taxed at 26% flat rate. Lower rates may apply.
- income from self employment carried out under the “regime forfettario” flat tax regime for small businesses
- income from renting Italian property for which the option for taxation at a flat rate of 21% on gross receipts has not been taken (cedolare secco).