Article 1 of the 2026 Budget Law hikes the annual lump-sum tax for high-net-worth newcomers under the “regime dei nuovi residenti” from €200,000 to €300,000, with the per-dependent surcharge doubling to €50,000.
Despite the €100,000 jump, tax advisers argue the scheme remains competitive for individuals with over €1 million in foreign income, as it still exempts wealth, inheritance and offshore-asset reporting. Grandfathering protects existing electors for the remainder of their 15-year term.
Mobility impact: Multinationals using the flat-tax regime to entice C-suite talent must adjust cost-projections and assignment letters. For a family of four, the annual tax outlay rises from €250,000 to €400,000—a 60 % increase that could tilt decisions toward non-dom regimes in Portugal or Greece.
![Budget Law Raises Italy’s Flat-Tax Regime for New Residents to €300,000]()
As companies and high-net-worth individuals plan relocations, VisaHQ can simplify the visa side of the equation. Through its Italy portal (https://www.visahq.com/italy/), the service offers end-to-end assistance securing elective-residence, investor, or self-employment visas, integrates courier logistics for document apostilles, and provides status updates that help tax counsel synchronize filings with the flat-tax election deadlines.
A rush of filings is anticipated from applicants who signed preliminary relocation contracts in 2025; they can still lock in the old €200,000 rate if residence registration is completed before the law’s entry into force.
Payroll teams should coordinate with immigration counsel, as entry visas (elective-residence, investor or self-employment) must be stamped before tax-office elections can be lodged.
Despite the €100,000 jump, tax advisers argue the scheme remains competitive for individuals with over €1 million in foreign income, as it still exempts wealth, inheritance and offshore-asset reporting. Grandfathering protects existing electors for the remainder of their 15-year term.
Mobility impact: Multinationals using the flat-tax regime to entice C-suite talent must adjust cost-projections and assignment letters. For a family of four, the annual tax outlay rises from €250,000 to €400,000—a 60 % increase that could tilt decisions toward non-dom regimes in Portugal or Greece.
As companies and high-net-worth individuals plan relocations, VisaHQ can simplify the visa side of the equation. Through its Italy portal (https://www.visahq.com/italy/), the service offers end-to-end assistance securing elective-residence, investor, or self-employment visas, integrates courier logistics for document apostilles, and provides status updates that help tax counsel synchronize filings with the flat-tax election deadlines.
A rush of filings is anticipated from applicants who signed preliminary relocation contracts in 2025; they can still lock in the old €200,000 rate if residence registration is completed before the law’s entry into force.
Payroll teams should coordinate with immigration counsel, as entry visas (elective-residence, investor or self-employment) must be stamped before tax-office elections can be lodged.
