Italy Digital Nomad Visa 2025: Taxation, Minimum Income, and Compliance

Italy’s Digital Nomad Visa in 2025

Italy’s long-awaited digital nomad visa opens doors for remote professionals who want to live in iconic cities like Milan, Rome, Florence, or coastal regions while working for foreign employers. Success hinges on meeting income thresholds, managing tax residency, and navigating Italy’s multi-layered tax system.

Eligibility Requirements

To qualify in 2025, applicants must demonstrate:

• Stable remote employment or freelance contracts with entities outside Italy.
• Minimum annual income: at least three times the Italian minimum wage (approximately €28,000 gross).
• Comprehensive health insurance covering medical expenses in Italy.
• Clean criminal record from the country of residence and citizenship.
• Proof of accommodation in Italy, such as a lease agreement or property ownership.

Visas are issued for one year, renewable upon demonstrating ongoing compliance and tax payments.

Understanding Tax Residency and Obligations

Spending more than 183 days in Italy triggers tax residency, meaning worldwide income becomes taxable in Italy. Digital nomads must register with the Anagrafe Tributaria, obtain a tax code (codice fiscale), and file annual returns. Italy’s progressive IRPEF rates (23% to 43%), combined with regional (up to 3.33%) and municipal (up to 0.9%) surcharges, significantly affect net income. Plan for these deductions from the outset.

Leveraging Tax Incentives

Italy offers attractive incentives for new residents, such as the Impatriate Regime, which grants a 70% exemption on employment and self-employment income for five years (90% in southern regions) if specific conditions are met. Digital nomads transferring tax residency to Italy may qualify if they commit to longer stays and work with Italian employers or clients. Evaluate this option with a tax advisor to determine compatibility with remote employment structures.

Social Security Considerations

Digital nomads employed by foreign companies typically remain under their home country’s social security system if bilateral agreements exist. Ensure you have A1 certificates or equivalent documentation confirming coverage. Freelancers must register with the Italian social security administration (INPS) and contribute to the Gestione Separata, with rates around 26.23% in 2025.

Filing Requirements and Compliance

Upon arrival, digital nomads must:

• Apply for a residence permit (permesso di soggiorno) within eight days.
• Register with the local municipality and obtain a residency certificate.
• File the annual Modello Redditi Persone Fisiche by November 30.
• Pay advance tax installments (acconti) in June and November if Italian tax liability exceeds €51.

Keep meticulous records of foreign income, contracts, and expense documentation to avoid double taxation and penalties.

Cost of Living and Regional Choices

Relocating outside Milan and Rome can stretch your income further. Cities such as Turin, Bologna, or Palermo offer lower housing costs and potential 90% tax exemptions under the impatriate regime. Evaluate coworking availability, broadband infrastructure, and local tax rates before choosing your base.

Healthcare and Quality of Life

Digital nomads with residence permits can enrol in the Italian national health service (SSN) by paying a voluntary contribution based on income. This, combined with private insurance, ensures comprehensive coverage. Italy’s diverse regions provide an exceptional work-life balance with renowned cuisine, cultural heritage, and access to mountains or coastlines.

Preparing a Successful Application

Compile a detailed dossier including contracts, bank statements demonstrating consistent income, tax returns from your home country, and proof of remote work arrangements. Work with Italian consulates or specialized relocation firms to navigate translation and legalization requirements.

Plan ahead: Assess your tax residency strategy, model net income using our Italy salary calculator, and align with advisors experienced in international taxation to fully leverage Italy’s digital nomad visa in 2025.