It’s tax season again in Italy (paper submissions due by 30 June 2025, online by 31 October 2025). For many expats, it’s accompanied by a wave of anxiety, stoked by horror stories and the persistent legend that everyone pays 43% tax rate. While the top rate gets a lot of clicks, comments, and anger, it is misleading for most people. In reality, the effective tax burden for many Italian residents – especially expats and retirees – is much lower once you account for progressive brackets, special regimes, deductions, allowances, and other reliefs. And let’s not get us started on the...
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