Italy Flat Tax 2026: EUR 300,000 for New Residents

What Is Italy's Flat Tax for New Residents?

Italy's flat tax for new residents (the neo-residenti regime under Art. 24-bis of the Italian income tax code, TUIR) replaces Italian income tax on all foreign-source income with one fixed annual payment. Whatever you earn abroad, from dividends and interest to rents and most capital gains, the Italian tax on it is the lump sum. While the regime applies, Italian inheritance and gift tax is limited to assets situated in Italy. Italian-source income is taxed normally.

How Much Is It in 2026?

The amount is fixed by the date you transfer your tax residence to Italy, and it stays at that level for your whole period in the regime:

For anyone moving to Italy in 2026, the figure is therefore EUR 300,000 a year. Earlier arrivals keep the rate that applied when they moved: EUR 100,000 before 10 August 2024 and EUR 200,000 from then until the end of 2025. The rules are published by the Italian Revenue Agency (Agenzia delle Entrate) and in the official texts on Normattiva.

Who Qualifies?

You must become an Italian tax resident and must not have been an Italian tax resident in at least 9 of the 10 tax periods before your first year in the regime. There is no nationality condition, no income threshold and no investment requirement. The election is made in your Italian tax return; an advance ruling (interpello) from the Revenue Agency is optional, not required. EU, EEA and Swiss citizens can live in Italy under free movement; other nationals need a residence route such as the elective residence visa or the Italy investor visa.

What Does the Flat Tax Cover, and What Not?

• Covered: all foreign-source income, in place of ordinary Italian income tax (IRPEF) on it.
• Not covered: Italian-source income, which is taxed at normal progressive rates; and capital gains on qualified shareholdings sold in the first five years of the regime.
• Inheritance and gift tax: limited to Italian-situs assets while the regime applies.
• Reporting: the annual tax return is still filed; the lump sum is paid with it.

How Long Does It Last?

Up to 15 tax years. The regime ends earlier if you revoke the election or cease to be an Italian tax resident. At EUR 300,000 a year, the full 15 years cost EUR 4.5 million for the main taxpayer, which is why the regime suits people with high foreign income.

Can Family Members Join?

Yes. Each qualifying family member who also becomes an Italian tax resident can be added for EUR 50,000 a year for arrivals from 1 January 2026 (the same law doubled it from EUR 25,000). Each family member must meet the 9-of-10-years condition in their own right.

Is It Worth It?

The lump sum is fixed, so its value depends on your foreign income. At EUR 2 million of foreign income, EUR 300,000 is an effective rate of 15%; at EUR 5 million, 6%. Below that, other European regimes can cost less. Compare Italy with Greece, Malta and Cyprus in our European non-dom comparison, read our guide for UK leavers considering Italy, or see Italy vs Greece. For a data-driven ranking of all residence routes including Italy, see the Mirabello Investment Migration Index.

Italy's Flat Tax or Another European Residence Route?

The Italian regime is a tax status, not an investment programme: it needs no purchase, but it does need a genuine move of your life and tax residence to Italy. Families who want a European residence permit without becoming tax resident there usually look at a golden visa instead. The headline figures below are minimum investments from our verified programme data; government and due-diligence fees come on top.

• Greece Golden Visa: real estate from EUR 250,000 to EUR 800,000 depending on zone and property type, for non-EU nationals.
• Portugal Golden Residence Permit: from EUR 250,000 through arts and cultural-heritage support, with fund, company and research routes from EUR 500,000.
• Cyprus permanent residency: from EUR 300,000 in new residential property or qualifying investments.
• Malta Permanent Residence: from EUR 99,000 in government contribution and fees, property costs additional.

For people who want a second citizenship rather than residence, our citizenship by investment comparison sets out the options. Use the interactive programme comparison tool to compare Italy's flat-tax regime against other European golden-visa routes side by side. Speak to a Mirabello specialist to compare the Italian regime with these routes for your family.

How Do You Apply?

1. Confirm the 9-of-10-years condition for you and each family member.
2. Secure the right to live in Italy (free movement, or a visa for non-EU nationals).
3. Transfer your tax residence and register with the municipality (anagrafe).
4. Optionally request an advance ruling from the Revenue Agency.
5. Elect the regime in your first Italian tax return and pay the lump sum.

Mirabello Consultancy coordinates the residence route and works with Italian tax advisers on the election. Book a free, confidential consultation to model the regime against your income.