In general, benefits that an employee receives from his employer, whether in cash or cash equivalent, are subject to the payment of tax.
Nevertheless, part of an employee's income is tax exempt:
- Employers' or employees' contributions to funds for medical treatment, in accordance with collective work agreements and regulations of law, to an upper limit.
- Voluntary payments to pension or insurance funds, to an upper limit.
- A refund to an employee in respect of travel and accommodation expenses on business, subject to limit for travel inside Italy and for travel abroad.
- An employer's contribution to meals at work to an upper daily limit.
- Income from the sale of first dwelling properties or, sale of real estate held for more than five years.
95% of dividends paid by companies to resident companies are tax exempt.
- War pensions.
Note: The information in this site is for general guidance only. Users of this site are advised to take professional advice before taking practical tax decisions.
Please read our terms of service before entering this site.