Bonus for digital nomads: tax discount hypothesis for those who move to Italy

Facilities for 'digital nomads', workers who choose Italy as the country for smart working. The idea on which the Ministry for Enterprise and Made in Italy has been working for over a year could materialise in the manoeuvre with an amendment presented in the Senate Budget Committee by Matteo Gelmetti and Paola Ambrogio of Fratelli d'Italia.

The corrective measure, for which the final opinion of the Ministry of the Economy is awaited, intervenes on Legislative Decree 209 of 2023 implementing the tax reform on international taxation. The tax relief envisaged for so-called impatriate workers would also be extended to employees, of foreign nationality, who, although not highly qualified, transfer their tax residence to Italy starting from the 2026 tax period.

With one condition, however, namely smart working. In particular, the beneficiaries must 'perform their work exclusively through the use of technological tools that allow for remote working for employers neither established nor resident in Italy and who, during the period of use of the facilitating regime, do not have subordinate or self-employed work relationships with subjects established in Italy, with the exception of those for teaching a language other than Italian'.

To sum up, the tax relief under discussion, applicable in the tax period in which the transfer of residence takes place and in the four subsequent tax periods, provides that income assimilated to employment and self-employment income deriving from the exercise of arts and professions produced in Italy within the annual limit of €600,000 is included in the total income limited to 50% of its amount.

On Tuesday 18, with the indication of the 'flagellants' by the various parties, an important first crossroads will be reached as to which amendments will make it to the finishing line. Certainly, the proposal on 'digital nomads' can count on a preliminary investigation that has already begun. Initially, it was supposed to be part of a bill, named 'Destinazione Italia', linked to the budget law a year ago. The measure on digital nomads had been announced on several occasions by the Minister for Enterprise and Made in Italy Adolfo Urso. And in the ambitions of the owner of Mimit it should also be functional 'to increase settlement in depopulating villages', attracting foreign workers who decide to settle in Italy. However, no estimates have yet been released on the number of workers who might join this type of measure.