Italy · Salary
Italy: how IRPEF and regional surcharges work for expats
In Italy you pay national income tax (IRPEF), a regional and municipal surcharge on top, and 9.19% social security. On a €45,000 salary that leaves about €2,496 a month. New arrivals may qualify for the impatriati regime, which makes half of their salary tax-free.
The IRPEF scale for 2026
| Taxable income | Rate |
|---|---|
| Up to €28,000 | 23% |
| €28,000 – €50,000 | 33% |
| Above €50,000 | 43% |
The middle rate was cut from 35% to 33% for 2026. Employees then get a tax credit for work income (detrazione per lavoro dipendente), up to €1,955 for low salaries and phasing out at €50,000, plus an extra credit for incomes between €20,000 and €40,000.
Regional and municipal surcharges
Each region adds an addizionale regionale of 1.23% to 3.33%, and each municipality an addizionale comunale of up to 0.8% (0.9% in Rome). Together they are usually 2% to 4% of taxable income. Our examples use 2.5%. They are paid in instalments in the year after the income, so you often see them on payslips from March onwards in your second year.
Net pay at three salaries
| €30,000 | €45,000 | €60,000 | |
|---|---|---|---|
| Social security (INPS 9.19%) | €2,757 | €4,136 | €5,514 |
| IRPEF after credits | €3,222 | €9,892 | €15,629 |
| Regional and municipal surcharge (2.5%) | €681 | €1,022 | €1,362 |
| Net per year | €23,340 | €29,951 | €37,495 |
| Net per month (12) | €1,945 | €2,496 | €3,125 |
Single, no dependants, 2026 rules. Most Italian contracts pay 13 or 14 monthly salaries, so each payslip is smaller than the 12-month figure.
The impatriati regime: 50% tax-free
If you move your tax residence to Italy to work, you may pay income tax on only 50% of your employment income for five years (60% exempt if you have a minor child). The main conditions, under the rules in force since 2024:
- You were not tax resident in Italy in the previous three years (longer if you work for the same group as before).
- You are highly qualified or specialised.
- You stay resident in Italy for at least four years, or repay the benefit.
- Your income from the regime stays under €600,000 a year.
The effect is large. On €60,000, net pay rises from about €3,125 to about €4,215 a month; on €100,000, from about €4,774 to about €6,491. Social security is still due on the full salary. Ask your employer to apply it through payroll, or claim it in your tax return.
Things to sort out early
- Codice fiscale. Your tax code, needed for a job, a lease and a bank account.
- Residency registration (iscrizione anagrafica) at your town hall, which also makes you tax resident in most cases.
- Foreign assets. Residents declare foreign accounts and investments in section RW of the tax return and may pay IVAFE, a small wealth tax on them.
Calculate your Italian net salary →
Sources
This guide is general information based on the tax rules we could verify for 2026, not tax or financial advice. Rules change and personal situations differ, so check with the tax authority or a qualified adviser before you act. Spotted a mistake? Email contact@expatcents.com.