Italy income tax law for 2024 Italy Income Tax Rates for 2024

Italy Income Tax Brackets

Tax Bracket (yearly earnings) Tax Rate (%)
€0 - €15,000 23.00%
€15,000 - €28,000 27.00%
€28,000 - €55,000 38.00%
€55,000 - €75,000 41.00%
€75,000 and up 43.00%

Italy has a bracketed income tax system with five income tax brackets, ranging from a low of 23.00% for those earning under €15,000 to a high of 43.00% for those earning more then €75,000 a year.

How does the Italy Income Tax compare to the rest of the world?

The maximum income tax rate in Italy of 43.00% ranks Italy as one of the ten highest taxed countries in the world. Countries with similar tax brackets include Germany with a maximum tax bracket of 45.00%, Israel with a maximum tax bracket of 45.00% and Australia with a maximum tax bracket of 45.00%. Keep in mind that our ranking measures only nationwide income taxes, and does not account for local income taxes at state, province, or municipal levels.

Italy Income Taxes
Maximum Income Tax Income Tax Allowance World Tax Rank
43.00% €1,840 ($0 USD) 10th of 34

What is the Italy Income Tax?

Italy's personal income tax is a bracketed income tax that must be paid yearly by all citizens to the government of Italy. Failure to pay, or underpayment of, the Italy income tax can result in high fees, fines, or jail time.

In addition to Italy's income tax, other taxes may apply to wages or profits earned, including social services, medical care, and capital gains taxes.

Italy Income Tax Allowance

Italy provides most taxpayers with an income tax allowance of €1,840, which can be kept as a tax-free personal allowance. Italy's tax credit is a basic wastable tax credit, non-tapered, available to all (single) taxpayers without dependents.

A tax credit is a fixed amount of money that may be kept by taxpayers without paying any income taxes. Generally, a tax credit is subtracted from your gross income before your taxable income is calculated.

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