Italy is planning to increase its flat tax for high-net-worth individuals relocating to the country from €200,000 to €300,000 per year, starting with new residents after the 2026 budget takes effect. Family members would see their add-on rise from €25,000 to around €50,000 each.
The move is aimed at boosting revenues while keeping Italy competitive for wealthy retirees, investors, and entrepreneurs. Other incentives, such as the Regime Impatriati for inbound workers — which from 2024 generally grants a 50% exemption on employment or self-employment income in Italy (reduced to 40% if moving with a minor child), capped at €600,000 per year — remain unaffected.
Read the full story here: Italy aims to raise flat tax for rich foreigners by 50%.
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