Eligibility check
Whether you hold a qualifying foreign pension, meet the prior-non-residency rule, and come from a country with an administrative-cooperation agreement with Italy.
Italy 7% Pensioner Flat Tax
7% on your foreign income, if you retire to the right town.
Italy taxes all foreign income at a flat 7% for eligible foreign pensioners who move to small towns in the south. We map your eligibility, the qualifying towns and regions, and the duration, then hand a clean file to a licensed Italian tax adviser.
First call: leave knowing whether you qualify, which towns work, how long the 7% lasts, and the adviser handoff.
Researching the route first? Italy Tax Guide
What you get
What we check on the 7% regime.
A 7% claim fails when the town does not qualify or the prior-residency rule is missed. We test eligibility, check the town against the rules, and hand a clean file to the adviser.
Town and region check
Whether your chosen town qualifies, a southern municipality within the population limit, or a listed earthquake-zone town of the same size.
Foreign-income and duration map
The foreign income the 7% would cover and how long the option lasts, so it is planned, not assumed.
Adviser handoff
A clean file for a licensed Italian tax adviser who confirms eligibility and files the option.
7% on all foreign income
The regime applies a flat 7% substitute tax to all foreign-source income, not just the pension, so foreign rental, dividends, and gains are covered too. Italian-source income is taxed normally.
Small towns in the south
You must move to a qualifying municipality of up to 30,000 inhabitants (raised from 20,000 on 7 April 2026) in Abruzzo, Molise, Campania, Puglia, Basilicata, Calabria, Sicily, or Sardinia, or to a town of the same size hit by the 6 April 2009 earthquake or listed in the 2016 central-Italy earthquake annexes (DL 189/2016).
Up to 10 years
The option takes effect in the year you move and is valid for the following nine tax periods, 10 in total (TUIR art. 24-ter(4)-(5)). After that, ordinary tax applies. You must not have been Italian tax resident in the previous five tax periods.
Foreign-asset exemptions
Like the neo-residents regime, the 7% regime exempts you from IVIE and IVAFE on foreign assets and from the quadro RW monitoring while it applies.
Who this fits
Why use Movingto for a 7% pensioner case?
The valuable work is checking the eligibility and the town carefully before you commit to a move, then getting a clean file to the adviser, so the 7% is relied on, not assumed.
Good fit for
- Foreign pensioners planning to retire to southern Italy
- People who have not been Italian tax resident in the past five years
- Retirees choosing between qualifying southern towns
- Pensioners with foreign rental, investment, or other income beyond the pension
Not the right fit for
- People without a qualifying foreign pension
- Anyone set on a town that does not meet the population or region rules
- People moving from countries without an administrative-cooperation agreement with Italy
- Anyone wanting Movingto to confirm eligibility or give tax advice
Service scope
How eligibility is confirmed.
You get an eligibility and town check and an organized file. A licensed Italian tax adviser confirms eligibility, handles advice, and files within their scope.
- Included workstreams
- 4
- Professional scope
- Clear
Delivery scopeMovingto delivery and specialist scope
Managed by Movingto
Eligibility triage
We test the foreign-pension, prior-non-residency, and source-country-agreement requirements against your facts.
Managed by Movingto
Town and region check
We check whether your chosen town qualifies under the population and region rules, including the earthquake-zone option.
Managed by Movingto
Foreign-income and duration mapping
We map the foreign income the 7% covers and the duration so it is planned for.
Managed by Movingto
Adviser handoff
We hand a clean file to a licensed Italian tax adviser who confirms eligibility and files the option.
Handled by the relevant specialist
Confirming eligibility or filing as adviser
The licensed adviser confirms eligibility, handles tax advice, and files within their scope.
Handled by the relevant specialist
Approval or outcome guarantee
No adviser can guarantee the regime or a tax result. Eligibility depends on your facts, the town, and the rules in force.
Regime path
From a retirement plan to a filed option.
Each stage turns a plan into evidence: pension and residency, the town, the foreign income, then handoff to the adviser.
Case path05 managed stages
- Step 1 of 5
Confirm pension and residency
Confirm you hold a qualifying foreign pension, meet the five-year prior-non-residency rule, and come from an agreement country.
- Step 2 of 5
Check the town
Check that your chosen town qualifies under the population and region rules, or the earthquake-zone option.
- Step 3 of 5
Map foreign income and duration
Map the foreign income the 7% covers and the years the option will run.
- Step 4 of 5
Organize the evidence
Build the evidence the adviser needs to confirm eligibility and file.
- Step 5 of 5
Hand off to the adviser
Deliver the file to a licensed Italian tax adviser who confirms and files the option.
Who qualifies
Italy 7% pensioner regime at a glance
| Requirement | Detail |
|---|---|
| Foreign pension | You receive a pension paid by a foreign entity |
| Prior non-residency | Not Italian tax resident in the prior five years |
| Where you move | A town of up to 30,000 inhabitants in the eight southern regions, or a listed earthquake-zone town of the same size |
| Source country | You move from a country with an administrative-cooperation agreement with Italy |
| What is taxed | All foreign income at 7%; Italian income taxed normally |
| Duration | 10 tax periods: the move year plus the following nine, then ordinary tax |
General guide only. Eligibility is municipality-by-municipality and confirmed by a licensed Italian tax adviser. The 30,000 threshold applies since 7 April 2026 (previously 20,000). Based on Article 24-ter TUIR.
Evidence
Evidence you can check.
Scope, professional ownership, and credential claims stay tied to source pages instead of sitting as unsupported marketing copy.
Source
Optional regime for foreign pensioners (7% flat tax)
View sourceAgenzia delle Entrate
Source
Flat tax 7% (earthquake-zone municipalities)
View sourceStruttura Commissariale Sisma 2016 (gov.it)
Source
TUIR art. 24-ter - 7% substitute tax for foreign pensioners (text in force)
View sourceNormattiva
Source
Italy - Taxes on personal income
View sourcePwC Worldwide Tax Summaries
Common questions
Questions before you engage.
What income does the 7% regime cover?
It applies a flat 7% substitute tax to all of your foreign-source income, not only your pension but also foreign rental, dividends, interest, and capital gains, replacing ordinary Italian tax on that income. Italian-source income is taxed at normal rates.
Which towns qualify?
You must move to a municipality of up to 30,000 inhabitants (raised from 20,000 on 7 April 2026) in one of eight southern regions, Abruzzo, Molise, Campania, Puglia, Basilicata, Calabria, Sicily, or Sardinia, or to a town of the same size in the 2016 central-Italy or 6 April 2009 earthquake zones. The population that counts is the ISTAT figure at 1 January of the year before the option's first year (Agenzia delle Entrate), so the specific town must be checked.
Who is eligible?
You must hold a pension paid by a foreign entity, not have been an Italian tax resident in the prior five tax years, and move from a country with which Italy has an administrative-cooperation agreement in force. The law sets no nationality condition, so Italian citizens can qualify if they meet these tests.
How long does the 7% last?
The option runs for 10 tax periods: the tax year you move, when it takes effect, plus the following nine (TUIR art. 24-ter(4)-(5)). After that, ordinary Italian tax applies. You can revoke it, and it ends if you stop meeting the conditions or if the tax is not paid in full, unless the missing amount is paid, with penalties and interest, by the income-tax balance deadline of the following tax year (TUIR art. 24-ter(7)); after revocation or forfeiture you cannot elect it again.
Are foreign assets exempt?
While under the regime, you are generally exempt from IVIE and IVAFE on foreign assets and from the quadro RW foreign-asset monitoring. A tax adviser confirms how this applies to you.
Who confirms eligibility and files for the 7% regime?
Movingto tests eligibility, checks the town, and organizes the evidence. A licensed Italian tax adviser confirms eligibility, advises on the position, and handles the filing.
Private advisory call
Find out if the 7% regime fits your retirement.
Bring your pension, your residency history, and the town you are considering. We test eligibility, check the town, map the foreign income and duration, and hand a clean file to a licensed adviser.
First call covers
Leave knowing whether you qualify, which towns work, how long the 7% lasts, and the adviser handoff.
- Route fit
- Country, visa category, family members, and timing.
- Scope
- Documents, legal work, tax points, and investment boundaries.
- Next steps
- What to prepare for the Movingto team and any relevant specialists.