This article is part of the tax cluster
Forfettario 2026: 5% tax
Double taxation Russia-Italy
INPS and pensions 2026
Crypto taxes 2026
Partita IVA: how to open
Contents
- What is the Impatriati regime and how it works in 2026
- Who is eligible for the Impatriati regime in Italy
- Old vs new rules: what changed since 2024
- Tax calculation with examples: 50k, 80k, 100k EUR
- Impatriati vs Forfettario: when each is better
- How to apply for Impatriati
- INPS with Impatriati — the main catch
- Double taxation and Impatriati
- Remote work and Impatriati 2026
- Conclusions
What is the Impatriati regime: taxes in Italy for expats 2026
This guide is about Forfettario. For other regimes — Impatriati.
How to pay IRPEF on only 30–50% of income and legally save tens of thousands of euros per year?
The Impatriati regime (Regime degli Impatriati) is a special tax relief for people who move to Italy and become tax residents. Essentially, it is one of the most generous tax incentives in Europe. With this regime, taxes in Italy for expats are reduced dramatically: you pay IRPEF not on your full income but only on a part of it.
Under the old rules (before 2024) only 30% of income was taxed — i.e., 70% was exempt from income tax. For those who moved to southern Italy (Sicily, Sardinia, Calabria, Campania, Basilicata, Apulia, Molise, Abruzzo), the benefit was even stronger — only 10% of income was taxed.
The Impatriati regime in Italy does not replace IRPEF but reduces the taxable base. You still pay progressive IRPEF (23–43%), but on a much smaller amount. For example, with a 100,000 EUR income and a 70% exemption, tax is calculated only on 30,000 EUR.
Community member
"The Impatriati regime means 50% of income is taxed for 5 years. You can extend another 5 years if you have a child or buy property. Typically a university degree or relevant professional experience is enough to qualify."
From discussion about tax regimes in the community
The relief lasts 5 years from the moment you transfer tax residency. An additional 5-year extension is possible if during that period you bought property in Italy or had (or adopted) a child. Conditions change slightly on extension — but the essence remains: you continue paying Italy tax for expats on a preferential base.
Impatriati is available to both employees and self-employed
Unlike Forfettario, which only works with Partita IVA, the Impatriati regime applies to any type of earned income — both employment (lavoro dipendente) and self-employment (lavoro autonomo). This is a key advantage for those working under contracts.
Who is eligible for the Impatriati regime in Italy: requirements 2026
What conditions must be met to get 50–70% tax exemption when moving to Italy?
The Impatriati regime in Italy is not available to everyone. There is a clear set of requirements, and they differ depending on whether you apply under the old rules (pre-2024) or the new ones (D.Lgs. 209/2023).
Basic requirements (common to all)
-
✓Not been an Italian tax resident
At least 2 years before moving (under old rules). Under new rules — 6–7 years abroad.
-
✓Plan to stay at least 2 years
Commitment to live in Italy for at least 2 tax years. If you leave earlier — the relief is revoked and you will be asked to pay the difference.
-
✓Work as an employee or self-employed
The relief covers employment and entrepreneurial earned income. It DOES NOT apply to passive income (dividends, interest, rental income).
-
✓Have transferred tax residency to Italy
Registration in the Anagrafe (residence registration in a comune) is required — this automatically establishes tax residency.
New rules since 2024 (D.Lgs. 209/2023)
From 1 January 2024 D.Lgs. 209/2023 came into effect and tightened conditions significantly. Now for new applicants:
- The exemption was reduced from 70% to 50% (you are taxed on 50% instead of 30%)
- A cap was introduced — maximum 600,000 EUR per year of eligible income
- The required period of stay abroad increased to 6–7 years (instead of 2)
- Activity in Italy must be predominantly carried out on Italian territory
Tax consultant
"The new Impatriati rules in 2026 are a completely different story compared to pre-2024. Previously you moved, registered, waited 2 years — and that was it. Now you must prove 6–7 years outside Italy, and the exemption is only 50%, not 70%."
Italian tax specialist
Impatriati does not apply to capital income
Dividends, deposit interest, rental income, capital gains from sale of stocks and cryptocurrencies — all of these are taxed at standard rates on the full amount. The relief applies only to earned income.
Community member
"Impatriati does not apply to capital income — that is taxed at standard rates on the full amount. Don’t confuse earned income and investment income — tax treats them fundamentally differently."
From discussions about taxes in Italy for expats
Old vs new Impatriati rules: what changed since 2024
If I applied before 2024 — do I keep the old conditions? And what if I moved in 2025–2026?
This is the most frequent question in the community. The answer depends on when you became an Italian tax resident.
| Parameter | Old rules (pre-2024) | New rules (since 2024) |
|---|---|---|
| IRPEF exemption | 70% (you pay on 30%) | 50% (you pay on 50%) |
| Southern Italy bonus | 90% (you pay on 10%) | 50% (no southern bonus) |
| Income cap | No cap | 600 000 EUR/year |
| Years abroad requirement | 2 years | 6–7 years |
| Extension | +5 years (purchase of property/child) | +3 years with a child |
| Basic duration | 5 years | 5 years |
| Law | D.Lgs. 147/2015 | D.Lgs. 209/2023 |
Key rule: if you became an Italian tax resident before 31 December 2023 and already applied for Impatriati — you keep the old, more favorable conditions for the entire duration of the relief.
Community experience
"Those who managed to move and register before the end of 2023 are on the old rules. 70% exemption, no income cap, southern bonus. That’s a huge difference compared to the current regime."
Discussion on taxes in Italy for expats, 2026
If you moved in 2024–2026 — the new rules apply: 50% exemption, 600k cap, and you need to prove 6–7 years of residence outside Italy.
Transition period
Those who applied under the old rules and now extend for a second 5 years continue under the old conditions. The new law does not have retroactive effect for currently benefiting taxpayers.
Impatriati tax calculation 2026 with real examples
How much does Impatriati really save at incomes of 50,000, 80,000 and 100,000 EUR?
Let’s look at concrete figures. We use the IRPEF scale for 2026:
- up to 28,000 EUR — 23%
- 28,001–50,000 EUR — 35%
- above 50,000 EUR — 43%
Income 50,000 EUR/year
| Indicator | No relief (IRPEF) | Impatriati 50% (new) | Impatriati 70% (old) |
|---|---|---|---|
| Taxable base | 50 000 EUR | 25 000 EUR | 15 000 EUR |
| IRPEF | ~14 400 EUR | ~5 750 EUR | ~3 450 EUR |
| Regional + municipal | ~1 500 EUR | ~750 EUR | ~450 EUR |
| Total tax | ~15 900 EUR | ~6 500 EUR | ~3 900 EUR |
| Savings vs standard | - | 9 400 EUR/year | 12 000 EUR/year |
Income 80,000 EUR/year
| Indicator | No relief (IRPEF) | Impatriati 50% (new) | Impatriati 70% (old) |
|---|---|---|---|
| Taxable base | 80 000 EUR | 40 000 EUR | 24 000 EUR |
| IRPEF | ~27 300 EUR | ~10 600 EUR | ~5 520 EUR |
| Regional + municipal | ~2 400 EUR | ~1 200 EUR | ~720 EUR |
| Total tax | ~29 700 EUR | ~11 800 EUR | ~6 240 EUR |
| Savings vs standard | - | 17 900 EUR/year | 23 460 EUR/year |
Income 100,000 EUR/year
| Indicator | No relief (IRPEF) | Impatriati 50% (new) | Impatriati 70% (old) |
|---|---|---|---|
| Taxable base | 100 000 EUR | 50 000 EUR | 30 000 EUR |
| IRPEF | ~35 900 EUR | ~14 400 EUR | ~6 440 EUR |
| Regional + municipal | ~3 000 EUR | ~1 500 EUR | ~900 EUR |
| Total tax | ~38 900 EUR | ~15 900 EUR | ~7 340 EUR |
| Savings vs standard | - | 23 000 EUR/year | 31 560 EUR/year |
Author of calculations
"The article contains calculations for turnovers of 30k / 50k / 85k / 100k euros, showing taxes and INPS separately. I updated the INPS calculation for Impatriati and it became more favorable than Forfettario in all scenarios."
From a detailed analysis of tax regimes
This is IRPEF only — excluding INPS!
The calculations above show only income tax. INPS contributions are paid separately and on the FULL income. More details in the INPS with Impatriati section.
Community member
"Final figures depend on region, family deductions, actual expenses, INPS type, residency nuances and the contract with the client. There’s no universal answer — only an individual calculation."
Disclaimer for tax calculations
Impatriati vs Forfettario: when which is better for expats
What to choose when moving to Italy — Forfettario 5% or the Impatriati regime? Can they be combined?
This is the main question for self-employed expats with a Partita IVA. Both regimes offer significant savings but work completely differently.
| Parameter | Forfettario | Impatriati (new rules) |
|---|---|---|
| Tax rate | 5% (first 5 years) / 15% | IRPEF 23–43%, but on 50% of income |
| INPS | 26% of the coefficient-based base | 26% of FULL income |
| Turnover limit | 85 000 EUR/year | 600 000 EUR/year |
| Who it’s for | Only self-employed (P.IVA) | Employees + self-employed |
| VAT | You don’t pay | You pay |
| Combination | Cannot be combined with Impatriati | Cannot be combined with Forfettario |
| Expense deductions | No (fixed coefficients) | Yes — actual expenses |
| Duration | Indefinite (while within the limit) | 5 years (+3–5 extension) |
Comparison at 50,000 EUR income (self-employed, IT sector)
| Indicator | Forfettario 5% | Impatriati 50% |
|---|---|---|
| Tax base | 50 000 x 78% = 39 000 | 50 000 x 50% = 25 000 |
| Income tax | 39 000 x 5% = 1 950 | 25 000 x 23% = 5 750 |
| INPS | 39 000 x 26% = 10 140 | 50 000 x 26% = 13 000 |
| Total | 12 090 EUR | 18 750 EUR |
At 50k Forfettario is more advantageous. But the situation changes at higher incomes.
Comparison at 100,000 EUR income
| Indicator | Forfettario 15% | Impatriati 50% |
|---|---|---|
| Availability | No (85k limit) | Yes |
| Income tax | - | ~14 400 |
| INPS | - | ~26 000 |
| Total | Not available | ~40 400 EUR |
Community member
"The reduced tax base is taxed with IRPEF (23–43% instead of 5–15%). Accountants’ fees will be higher — I heard about ~1,500 EUR per year on average instead of 500. Keep that difference in mind."
From regime comparison on the forum
When Impatriati is definitely better
1) Income above 85,000 EUR — Forfettario is unavailable. 2) You are an employee — Forfettario is unavailable. 3) You have high actual expenses — Impatriati allows deductions. 4) You want to charge VAT and work with large Italian companies.
Combination is impossible
You cannot be on Forfettario and Impatriati at the same time. If you are already on Forfettario, you can switch to the ordinary regime + Impatriati, but this decision must be calculated with your accountant.
How to apply for the Impatriati regime in 2026
What documents are needed and where to apply — procedure for employees and self-employed?
The application procedure depends on the type of employment.
For employees (lavoro dipendente)
Transfer tax residency
Register your residence in the comune (iscrizione anagrafica). This creates tax residency automatically. Make sure you deregister in your country of origin.
Request to employer
Submit a written request to your employer asking to apply the Impatriati regime. The employer will start withholding tax on the reduced base in current payslips (busta paga).
Confirmation in the tax return
Declare the application in your annual tax return (Modello 730 or Redditi PF). If the employer did not apply the relief in payroll, you can claim it when filing the return and receive a refund.
For self-employed (lavoro autonomo / P.IVA)
Transfer residency
Similarly — register in the comune and obtain a codice fiscale (if you don’t already have one).
Open P.IVA under regime ordinario
Impatriati works with the ordinary tax regime (not Forfettario). Open a Partita IVA on the regime ordinario. More: Partita IVA: how to open.
Declare in the tax return
The relief is claimed directly in the annual tax return Redditi PF. You will need an accountant for this.
Required documents
-
✓Proof of residence abroad
Certificates of tax residency (certificato di residenza fiscale) for the last 2 years (old rules) or 6–7 years (new rules).
-
✓Registration in the Anagrafe
Proof of residence registration in an Italian comune.
-
✓Codice fiscale
Italian tax code. More: Codice Fiscale 2026.
-
✓Employment contract or P.IVA
Proof of work activity in Italy.
-
✓Request to employer
For employees only — a written request to apply the relief.
Tax specialist
"Don’t try to complete Impatriati on your own — find a commercialista who has worked with this regime. An error in the return can cost you the whole relief. And yes, accountants charge more for handling Impatriati."
Practical recommendation
Deadlines are critical
The relief starts from the first tax year of residency. If you registered in Italy in November 2025 — the first relief year is 2025, and you file the return for it in 2026. Don’t delay registration.
INPS with Impatriati — the main catch for expats
Why does IRPEF savings get partially eaten by INPS contributions — and how to calculate it?
This is the most unpleasant surprise of the Impatriati regime that many discover too late. INPS is paid on full income, not on the reduced taxable base.
Impatriati reduces only the IRPEF base. Pension contributions (INPS Gestione Separata — 26.07% for self-employed) are calculated on the entire amount of earnings.
Example: income 80,000 EUR, self-employed
| Payment | Impatriati 50% | Standard IRPEF |
|---|---|---|
| IRPEF | ~10 600 EUR (on 40 000) | ~27 300 EUR (on 80 000) |
| INPS (26% of 80 000) | 20 800 EUR | 20 800 EUR |
| Regional + municipal | ~1 200 EUR | ~2 400 EUR |
| Total burden | ~32 600 EUR (41%) | ~50 500 EUR (63%) |
The saving is substantial — about 18,000 EUR per year. But note: INPS makes up the bulk of the burden and is not reduced by Impatriati.
Community member
"Many look only at IRPEF and think Impatriati is a fairy tale. Then the INPS bill on the full amount arrives — and the fairy tale ends. No regime reduces INPS."
From discussion about actual tax burden
INPS is deductible from the IRPEF base
There is good news: paid INPS contributions are deductible from the taxable base for IRPEF (deduzione). Under Impatriati the deduction applies to the reduced base. Details on INPS contributions: INPS and pensions 2026.
For employees INPS is less painful
If you work as an employee, most INPS contributions are paid by the employer (~24%). Your share is about 9–10%. Therefore for employees Impatriati is especially beneficial — huge IRPEF savings without extra INPS costs.
Double taxation and Impatriati: taxes in Italy for expats from Russia
How does the Impatriati regime interact with DTTs — and what to do if the treaty is suspended?
The Impatriati regime is an internal Italian relief. It works regardless of whether Italy has a Double Taxation Treaty (DTT) with your country.
How it works when a DTT is in force
If Italy has an active treaty with your country (e.g., Ukraine, Kazakhstan, Georgia), the scheme is as follows:
- Income is taxed in the source country at local rates
- In Italy IRPEF is calculated on the reduced base (Impatriati)
- Tax paid abroad is credited in Italy (credito d’imposta)
- You pay only the difference in Italy
Community member
"I mean the scheme: calculate tax in Italy on 50% of income since I’m an employee, and credit the tax already paid abroad. In the end you pay the difference. With low rates in the source country this can be really advantageous."
Discussion on Impatriati and DTTs
Russia — DTT suspended
For Russians the situation is more complicated. Russia suspended the application of DTTs with several countries, including Italy, from 2023. In practice this means:
- Russia withholds personal income tax (13–15% for residents, 30% for non-residents)
- Italy calculates IRPEF on the reduced base (Impatriati)
- Credit for tax paid in Russia is legally possible from Italy’s side, but in practice unpredictable
Russia–Italy DTT: uncertainty
Italy formally treats the treaty as in force ("by default"). Russia considers it suspended. This creates legal uncertainty. Each case of tax crediting must be discussed individually with an accountant. More: Double taxation Russia-Italy.
Community experience
"Italy is more attractive for a pleasant retirement than for earning. With its taxes Italy becomes more appealing for pensioners, not for work. But Impatriati is an exception — it really changes the math."
A philosophical view on Italian taxes
Remote work and Impatriati 2026: is the regime applicable
I work remotely for a foreign employer from Italy — can I get the Impatriati relief?
This is one of the hottest questions for digital nomads and remote workers. The answer depends on the form of employment.
Employed by a foreign employer
If you are employed by a foreign company but live and pay taxes in Italy — Impatriati is formally available. But there are nuances:
- The employer must be ready to put you on an Italian payroll (or use a PEO/EOR)
- Or you pay taxes yourself via the Redditi PF return
- The activity must be carried out predominantly on Italian territory
Digital Nomad + Impatriati
If you have a Digital Nomad visa and become an Italian tax resident — theoretically you can apply for Impatriati. But the DN visa implies work for a foreign employer, which creates difficulties with documentary evidence. More on the DN visa: Digital Nomad visa 2026.
P.IVA and foreign clients
If you open a Partita IVA in Italy and work for foreign clients — this is the cleanest option for Impatriati:
- You are a self-employed Italian resident
- Income from foreign clients is considered earned income
- Impatriati is applied when filing the tax return
- You need the regime ordinario (not Forfettario)
Tax expert
"P.IVA + regime ordinario + Impatriati is a workable combination for those earning above 85k. Yes, accounting is more complex and more expensive than Forfettario. But at high income the savings outweigh the costs."
Advice from a tax specialist for expats
What is not allowed
- To work entirely outside Italy and still claim Impatriati — not allowed
- To apply Impatriati to freelance income without a P.IVA (working "off the books") — not allowed and risky
- To combine Impatriati with Forfettario — not allowed
- To apply it to passive income (rental, dividends, crypto) — not allowed
Optimal scheme for an IT specialist in 2026
Move to Italy — register — open P.IVA (regime ordinario) — apply for Impatriati. With 100k+ income tax savings can be 20–30k EUR/year compared to the standard regime. Downside — INPS is paid on full income, and accounting costs ~1,500 EUR/year.
Conclusions: Impatriati 2026 — who it suits
Is Impatriati worth it — and who is this regime optimal for?
Under the new rules (since 2024) — 50% exemption with a 600k EUR cap. Under the old rules (pre-2024) — 70% without a cap. The relief lasts 5 years with the option to extend.
This is the main catch. Impatriati does not reduce pension contributions. For self-employed (26% INPS) the real saving is less than it appears at first glance.
The employer pays most INPS. The employee receives huge IRPEF savings without additional costs. This is the best scenario for Impatriati.
Forfettario is unavailable above 85k turnover. Impatriati works up to 600k. For high-earning specialists it’s the only option for serious savings.
Impatriati requires competent support. Mistakes are costly. Budget 1,000–2,000 EUR/year for commercialista services.
At 100k income savings amount to 20–30k EUR annually. Over 5 years that’s 100–150k EUR. The regime is worth it if you meet the requirements.