Moving to Italy can change how your pension, Social Security, investments, property, and foreign assets are taxed.
Italy Income Tax Calculator for Foreigners
For Americans and other expats planning a move to Italy
Italy income tax estimator
Estimate your Italian income tax bill under the standard regime — 2026 rates
These figures are estimates based on 2026 rates for general planning purposes only. Individual circumstances vary. Always consult a qualified cross-border tax specialist before making financial decisions. op2001il@gmail.com
DISCLAIMER:
This calculator provides estimates for general planning purposes only, based on 2026 Italian tax rates and standard assumptions. It does not account for deductions, tax credits, treaty provisions, dual residency situations, or individual circumstances that may significantly affect your actual tax liability.
Italy's tax system is complex. The figures shown are not tax advice. Before making any financial or relocation decisions, always consult a qualified cross-border tax specialist who understands both Italian and your home country's tax obligations.
What is this calculator?
This free calculator gives you a basic estimate of Italian income tax under the standard IRPEF system.
It's designed for foreigners and expats planning a move to Italy who want to understand how their income will be taxed before making big decisions.
It does not replace advice from a qualified tax professional.
Want the complete picture?
The free calculator is only the starting point.
The full guide explains the tax issues many future Italy movers miss, including:
The 7% flat tax regime
IVIE
IVAFE
US-Italy comparison — what you owe on both sides combined.
10-year projection — what the regime saves you over its full duration.
Curious whether you'd qualify for Italy's 7% flat tax regime instead? This free tool estimates the standard rate — see below for how the special regimes compare.
All of this is in the Complete Italy Tax Guide — which includes the full premium calculator unlocked.
FAQ
Need a specialist referral?
For complex situations, I can point you toward a cross-border tax professional I trust.
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Yes — Italy taxes US Social Security as part of your worldwide income once you're a tax resident. The US-Italy treaty doesn't have a specific Social Security article, so how the two systems interact depends on your specific income structure and requires a cross-border specialist to calculate properly.
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IRPEF is Italy's national progressive income tax — the main tax you pay as an Italian resident on your worldwide income. Rates range from 23% on income up to €28,000, to 43% on income above €50,000.
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Italy's 7% flat tax regime allows qualifying foreign retirees to pay a flat 7% on all foreign-sourced income — instead of standard IRPEF rates up to 43% — for up to 10 years. It applies in qualifying southern Italian municipalities with fewer than 30,000 residents.
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IVIE is an annual 1.06% wealth tax on real estate you own outside Italy, and IVAFE is an annual 0.2% wealth tax on foreign financial assets — including your IRA, 401k, and brokerage accounts. Both apply every year just for holding those assets while living in Italy.
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Yes — the US taxes its citizens on worldwide income regardless of where they live, so you must file a US tax return every year for as long as you hold American citizenship. Moving to Italy does not end your US tax obligations.