Italy Tax Calculator (2026)

Income tax rates and take-home pay for Italy

Using Rome for state/regional taxes. Region selection coming soon.

Italy Income Tax Brackets (2025)

Bracket Income Range Rate
Bracket 1€0 - €28,00023.0%
Bracket 2€28,000 - €50,00035.0%
Bracket 3€50,000+43.0%

Tax credit: €1,955

Lazio Regional Income Tax

Bracket Income Range Rate
Basic Rate€0 - €15,0001.2%
Excess Rate€15,000+3.3%

Rome Municipal Income Tax

Bracket Income Range Rate
Flat Rate€0+0.9%

INPS Social Security (Employee)

Bracket Income Range Rate
Standard Rate€0+9.5%

Capped at €11,446 per year

Key Facts

Tax Year

2025

Currency

EUR

Top Rate

43.0%

Brackets

3 brackets

Tax Credit

€1,955

Social Contributions

1 item

Assumptions

  • · Assumes the worker is a standard employee (non-executive) registered with INPS after 1 January 1996.
  • · National Income Tax (IRPEF) uses the 3-bracket structure confirmed for 2025.
  • · Regional income tax is based on Lazio (Rome), which uses a 1.23% - 3.33% progressive-like structure.
  • · Municipal income tax is based on the city of Rome (0.9%).
  • · Employee social security contribution (INPS) is estimated at 9.49%, which is a standard rate for staff including pension and minor social funds.
  • · Includes the new FY 2025 'Additional Deduction' for employment income between 20,000 and 40,000 EUR.

Frequently asked questions

How much income tax will I pay in Italy?

Italy uses a 3-bracket progressive income tax system with rates of 23% up to 28,000 EUR, 35% from 28,000 to 50,000 EUR, and 43% above 50,000 EUR. You'll also pay regional tax (1.23% to 3.33% in Lazio/Rome) and municipal tax (0.9% in Rome), plus a standard employee social security contribution of 9.49% to INPS, which is deductible from your taxable income.

What is the INPS contribution and why do I pay it?

INPS is Italy's national social security system that all employees contribute to at a standard rate of 9.49% of gross income, capped at 11,445.60 EUR annually. This contribution funds your pension, disability coverage, and other social benefits, and it reduces your taxable income since it's deductible.

Do I get any tax relief or deductions in Italy?

Yes, you receive a non-refundable tax credit of 1,955 EUR that phases out for higher earners above 15,000 EUR. Additionally, if your employment income falls between 20,000 and 40,000 EUR, you qualify for an additional employment deduction of up to 1,000 EUR, which helps reduce your taxable income.

Will my taxes be different if I work in a different Italian city?

Yes, regional and municipal tax rates vary significantly across Italy. This calculator uses Rome (Lazio region) as the default, where the regional tax ranges from 1.23% to 3.33% and municipal tax is 0.9%. If you relocate to another region or city, both rates will likely change, so your total tax burden could be higher or lower.

How is my take-home pay calculated?

Your take-home pay starts with your gross income, subtracts the 9.49% INPS employee contribution, applies the 3-bracket national income tax (with your 1,955 EUR credit), adds regional and municipal taxes, and factors in any applicable deductions like the additional employment deduction. The calculator shows your net monthly or annual pay after all these taxes and contributions are applied.

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