Tax reduction for retired foreigners moving to Sicily
The first of January 2019, the Italian government rolled out a new tax regime. The aim is to attract foreigners with economic resources to the southern regions of Italy. Moreover, to the smaller towns in the south, risking depopulation. For people eligible for the regime, it means a 7% flat-rate tax on pension and all their foreign income for six years.
The requirements are:
- You must not have been a resident in Italy the previous five tax years
- You must have a pension from another country
- The country from where you get your pension must have an administrative cooperation agreement with Italy
- You must become a resident in a town with a maximum of 20,000 people
- The regime is only valid for the regions of Sicily, Sardinia, Campania, Basilicata, Abruzzo, Molise, and Puglia.