Italy has long been a favorite destination for those seeking a relaxed lifestyle or wanting to enjoy retirement-and today, some southern villages offer not only beauty and tranquility, but also a unique tax incentive that makes the move even more attractive.
A 7% Fixed Tax for Foreign Retirees.
Thanks to a special scheme introduced by the Italian government, foreign retirees can benefit from a fixed 7 percent tax on various types of foreign income-including pensions, investment income, and rental income abroad-if they move to certain towns and villages in southern Italy.
Who is eligible. To be eligible, you must:
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Have been a tax resident abroad for at least five years.
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Move to a municipality in one of the designated southern regions with a population of less than 20,000 (or less than 3,000 in some earthquake zones).
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Move your tax residence to one of these regions: Abruzzo, Molise, Campania, Puglia, Basilicata, Calabria, Sicily or Sardinia.
This tax benefit lasts for up to 9 years and includes exemption from declaring foreign assets-an important simplification for many.
Not Just Taxes: Where to Buy in Southern Italy
Puglia
Puglia offers a unique Mediterranean experience with its iconic trulli, centuries-old olive groves and pristine beaches. Its strategic location and growing connectivity make it a favored choice for both vacation homes and lifestyle projects. Areas such as Salento and the Itria Valley balance tradition and innovation.
Sicily
Sicily enchants with its spectacular coastline, archaeological treasures and excellent cuisine. From the Baroque villages of the southeast to the vibrant energy of Palermo and Catania, the island combines authenticity and opportunity. The region is also at the forefront of historic village regeneration and sustainable tourism.
Calabria
With its unspoiled coastline, mountainous landscapes and deep-rooted traditions, Calabria is perfect for those seeking a quiet, nature-oriented life. The region has improved infrastructure and welcomes newcomers while maintaining a strong identity. Coastal villages such as Tropea and those inland offer a slower, more conscious lifestyle.
Discover Your Ideal Home in Southern Italy
IB International Real Estate helps you find your dream property in Italy.
Do you want to enjoy retirement in the Italian sun or invest in a charming southern village?
We will guide You to the right property for You.
