Vol. III · No. 47 · Q1 2026 EditionUpdated Weekly · ECB FX

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A global ledger of salary, tax & the price of living

Tax Calculator · 2026

Italy Income Tax Calculator 2026

Calculate your exact net salary in Italy after IRPEF (Imposta sul Reddito delle Persone Fisiche) and social security. All 3 tax brackets. Updated Q1 2026.

Tax year 4 months ago· Pending quarterly update
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Gross Annual Salary
Social Security (9.2%)−€4,595
Income Tax−€12,532
Net Annual€32,873
Net / month (12×)€2,739
Effective Rate34.3%
Employer Side

Your employer pays an additional €15,000 (30.0% of gross). Total employment cost = €65,000.

Bracket-by-Bracket Tax Owed
01
23%
€6,440
02
35%
€6,092
03
43%
Total Tax€17,127
§ 01
System

How income tax works in Italy

Income tax in Italy is administered by the Agenzia delle Entrate under IRPEF (Imposta sul Reddito delle Persone Fisiche). Regional surtax 1.23–3.33% + municipal surtax up to 0.9% on top of IRPEF. Brackets shown are state only.

Italy uses a progressive schedule of 3 brackets: each slice of income is taxed at the rate of the band it falls in — not your highest rate applied to the whole salary. Social security (9.2% of gross) is deducted first; income tax is then applied to the remainder band-by-band.

Italy pays salaries across 12 monthly instalments.

§ 02
Calendar

Key tax dates in Italy

EventDate / Note
Tax year start1 January
Tax year end31 December
Filing deadline30 September (Modello Redditi) / 30 Sept (Modello 730)
Withholding regimeIRPEF (Imposta sul Reddito delle Persone Fisiche)
§ 03
Deductions

Deductions and allowances

  • ·No-tax area (varies by income type)
  • ·Employee tax credit (cuneo fiscale)
  • ·Medical expenses (19% above EUR 129.11)
  • ·Mortgage interest (19%, capped)

Regional surtax 1.23–3.33% + municipal surtax up to 0.9% on top of IRPEF. Brackets shown are state only.

§ 04
Regimes

Special tax regimes

Regime impatriati: 50% of income tax-free (60% with children) for workers relocating to Italy, for 5 years.

Read full guide →
§ 05
Schedule

All 3 brackets for 2026

#Income Range ()MarginalEffective at Top
01€0 €28,00023%30.1%
02€28,000 €50,00035%34.3%
03€50,000 43%

Source · Agenzia delle Entrate · Data updated Q1 2026

§ 06
FAQ

Frequently asked

What is the income tax rate in Italy?+

Italy applies progressive IRPEF (Imposta sul Reddito delle Persone Fisiche) rates from 23.0% on the lowest band up to 43.0% on the highest, across 3 brackets in 2026.

How much social security do you pay in Italy?+

Employees pay 9.2% of gross salary as social security. Regional surtax 1.23–3.33% + municipal surtax up to 0.9% on top of IRPEF. Brackets shown are state only.

What is the IRPEF (Imposta sul Reddito delle Persone Fisiche) personal allowance in Italy?+

The main allowances are: No-tax area (varies by income type); Employee tax credit (cuneo fiscale). See §03 for the full list.

When do you file taxes in Italy?+

The filing deadline in Italy is 30 September (Modello Redditi) / 30 Sept (Modello 730). Tax year runs 1 January to 31 December.

How much take-home pay on €32,000 gross in Italy?+

On a €32,000 gross salary the effective rate is 30.5%, leaving approximately €22,248 net per year — about €1,854 per month across 12 payments. (For reference: €50,000 gross nets €32,873.)

Does Italy have any special tax regimes for expats?+

Regime impatriati: 50% of income tax-free (60% with children) for workers relocating to Italy, for 5 years.

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