Italian 2026 Finance Bill – Key Tax Measures: Support for Middle and Low Incomes | Revision of IRPEF tax brackets | Abolition of reduced 21% rate on short term lettings | Baby bonus | Enhanced parental leave and nursery bonus | Social security exemption for working mothers | Increased deductions for private school expenses | Family endowment fund | First home mortgage guarantee fund | Support for food purchases | Energy-efficient appliance bonus | Cap on deductions for incomes over €75,000 | Exceptions for healthcare, mortgages, and startup investments | End of deductions for children over 30 (except disabled children) | “Hire more, pay less” tax deduction for new permanent hires | Reduced tax on productivity bonuses | Fringe benefit exemptions | Relocation support for new hires | Raised flat tax threshold for employees and pensioners | Reduced corporate tax (IRES) for reinvested profits | Tax credits for southern Italy investments | Enhanced “Nuova Sabatini” machinery financing | Support for SME stock market listings | Increased public investment in defense, infrastructure, and healthcare | Banking and Insurance | Deferred deductions for financial sector losses | Annual stamp duty on life insurance contracts

Table of Main Registration Taxes in Italy

This is a (very) simplified table of the registration taxes due on certain documents.  The tax office will apply the tax according to the substance of the effect that the document has, not the form.  

Tax changes for paper and electronic meal vouchers

  The Italian 2020 Finance Law has made some changes to the tax rules applicable to “Ticket Restaurant” (luncheon vouchers or meal tickets). These vouchers are commonly used by Italian businesses to assist employees traditionally predominantly to cover the cost of the mid-day meal. In recent years many supermarkets have also started accepting vouchers in […]

The Double Whammy

What is the “Double Whammy” in Italian tax? The “double whammy” is what hits certain individuals who have recently moved to Italy and new businesses in the second year after start-up. No tax in your first year You pay no tax in your first year after the move but the tax due for that first […]