Decree no. 34/2019, the so-called ‘Decreto Crescita’ (‘growth decree’) has introduced a tax reduction for employees and self-employees returning to Italy after not being resident in Italy for the previous two years who undertake to remain in the country for the next two years. The aim of this provision is to make it easier for employers to attract valuable employees from abroad.
Under this law, only 30% of the employees’ income will be taxed. This falls to only 10% for those undertaking to reside in the South of Italy.