Inpatriate Regime: Tax benefits for EU and Non-EU workers moving to Italy

In 2025, the inpatriate regime remains one of the most important tools Italy uses to attract talent from abroad, although the rules have changed and today the conditions for access are more selective than in the past. The reform introduced by Legislative Decree 209 of 2023, in force since January 2024, has reshaped the scope of the benefit, maintaining a strong incentive but with clearer limits and requirements.

The mechanism remains simple: those who transfer their tax residence to Italy after a period abroad can benefit from favorable tax treatment. In practice, only part of the income earned in Italy is subject to IRPEF taxation, while the remainder is exempt. Today, the reduction applies to 50% of taxable income, which can rise to 60% for those moving with minor children or who have children during the benefit period. The benefit lasts for five years, with no further extensions as was previously possible, and the maximum annual income eligible for the regime is capped at €600,000.

Access to the regime requires specific conditions: not having been a tax resident in Italy in the three years prior to returning, and committing to remain in the country for at least four years. Furthermore, the work activity—whether as an employee or self-employed—must be carried out mainly in Italy, and the worker must hold qualified or specialized skills, consistent with the aim of attracting valuable expertise.

The changes compared to the past are significant. Until 2023, the regime was more generous, both in terms of the percentage of tax exemption and the possibility of extensions, especially for those with children or who purchased property in Italy. Today, however, the measure is more targeted: it remains very attractive for professionals and workers with medium-to-high incomes, but it requires careful planning to avoid mistakes that could result in losing the benefit and having to repay unpaid taxes.

Ultimately, the 2025 inpatriate regime continues to represent a concrete opportunity for those from the European Union or from non-EU countries (in this case, subject to obtaining a valid visa and work and residence permit) who wish to relocate to Italy, drawn not only by quality of life but also by more favorable tax treatment. Although scaled back, it remains a significant incentive, particularly for those moving with their family or seeking to establish a stable professional path in the country.

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The content of this article is intended to provide general information on the topic. For doubts or specific cases, it is advisable to seek specialized legal advice tailored to your particular situation.