Forfettario vs regime ordinario
The two main ways to be taxed as a freelancer in Italy. The forfettario charges a flat 5%/15% substitute tax on a coefficient-based share of revenue; the ordinario applies progressive IRPEF (23–43%) on your actual profit after costs. Below ~€85k with low costs, the forfettario almost always wins.1
Revenue under €85k, low business costs, you want simplicity and no VAT — the typical freelancer's choice.
Revenue over €85k, high deductible costs, or you need to charge/reclaim VAT — also the only option once you exit forfettario.
See the crossover
All four regimes at once (professional 78% coefficient shown — open a profession page for your exact coefficient).
Forfettario taxable base = revenue × 78% coefficient (your activity). INPS 26.07% and the 5%/15% substitute tax are computed on that base.
Forfettario lines stop at the €85k cap. Same deterministic engine as the TaxCompass chat.
The verdict
For most foreign freelancers under €85k with few costs, the forfettario produces a materially higher net. The ordinario pulls ahead when your real costs are high (so taxing actual profit beats taxing a fixed coefficient) or when you exceed the ceiling. Use the calculator to see your own crossover.23
Frequently asked questions
Is the forfettario always cheaper than the ordinario?
No. Below €85k with low costs it usually wins, but if your deductible business costs are high, the ordinario taxes your actual (lower) profit and can beat a coefficient that assumes you keep 67–86% of revenue.
Can I switch from forfettario to ordinario?
Yes — you can opt into the ordinario, and you're moved to it automatically the year after you exceed €85,000 in revenue.
Terms used on this page
Sources
- 1.Normattiva — L. 190/2014, art. 1 commi 54–89 e Allegato 4 (regime forfettario, coefficienti di redditività)
- 2.Normattiva — TUIR (DPR 917/1986), artt. 11 e 13 (IRPEF)
- 3.Agenzia delle Entrate — Regime forfetario: le regole
Every figure on this page is grounded in primary sources — the same standard as the TaxCompass chat. This is sourced orientation, not tax advice.