Credito d'imposta estero
Also known as: foreign tax credit, double taxation relief
Italy's relief for income already taxed abroad. Art. 165 TUIR lets a resident deduct foreign taxes paid definitively on foreign-source income from the Italian net tax due, up to the share of that tax which the foreign income represents in total income, computed separately for each foreign State.1
What this means for you
If you moved to Italy and still earn abroad, this is what keeps the same income from being taxed twice. Two conditions bite: the foreign tax must be paid on a definitive basis, and paid before you file the return that claims it. The credit runs against the tax on your reddito complessivo, so forfettario income — taxed by a flat substitute tax instead — does not enter that computation.
Sources
Every figure on this page is grounded in primary sources — the same standard as the TaxCompass chat. This is sourced orientation, not tax advice.