SPECIAL TAX REGIMES HNWI

At LDP we can provide assistance for the analysis of the individual position to benefit from the multiple special tax regimes available for individuals who transfer their tax residency to Italy.

  • Special tax regime for repatriated individual: under conditions, this regime allows individual to benefit of a tax exemption of the 70% (which can increase up to 90%) for the employment income sourced in Italy, for a period of 5 years, which can be extended.

LDP can support both the individual and the employer with a proper analysis to inform the person about the conditions to be met and how to apply to get the tax benefit.

  • Special tax regime for High Net Worth Individuals for new resident individual: individuals who transfer their tax residency to Italy may profit of a special tax regime for income sourced outside of Italy. The regime provides – under conditions – for an annual flat tax payment of 100.000 € on the foreign income sourced abroad, regardless of their amount, and it can be extended to the relatives of the individual, who will pay an amount of 25.000 €. The regime also provides for the inheritance and donation tax exemption and it is applicable for a period up to 15 years.   

LDP can provide support on the analysis of your position, necessary to verify the existence of the conditions requested by the Law to benefit of the regime. LDP with its legal team can also support you with the preparation and submission before the Italian Tax Authority of the tax ruling necessary to profit of the regime and with the compliance fulfillments for you and for the other potential beneficiaries.

  • Special regime for foreign retired person: the Italian Law provide also for a special tax regime for retired individuals who transfer their tax residency to Italy and who will establish in a Municipality with less of 20.000 inhabitants in the regions of Sicily, Calabria, Sardinia, Campania, Basilicata, Abruzzo, Molise and Apulia. Under conditions, the special regime provides for a substitutive tax of the 7% on income earned by the retired person and sourced abroad, while income sourced in Italy are subject to ordinary progressive income taxes. The regime is applicable for a total period of 10 years.  

LDP can assist you with the analysis of your case and with the necessary compliance obligations.

 

LDP provides Tax, Law and payroll  scalable and customised services and solutions. LDP Professional have also matured a significant expertise in  M&A, Corporate Finance, Transfer Price, Global Mobility Consultancy and Process Automation. 

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