Tax deduction declarations for pensioners resident in Italy

Pensions, as well as income from work, are subject to taxation.

INPS, in its capacity as withholding agent, applies the withholding taxes envisaged by way of IRPEF on pensions paid, as well as deductions due.

Gross taxation is calculated on the basis of proportional rates divided by income brackets (brackets).

Pensioners residing in Italy can claim deductions for family expenses (Article 12 of the Presidential Decree No. 917 of 22 December, 1986) on services provided, based on the current tax law.

A family member is dependent when his/her income does not exceed €2,840.51 gross per year, net of deductible expenses. Only for children up to the age of 24 years old, as of 1 January 2019, the income limit to be considered a tax dependent has been increased to euros 4.000. Family members who are dependent are those stated in Article 433 of the Italian Civil Code.

Pensioners are obliged to inform the Institute of any influential changes in family expenses that may occur during the year, in order to allow for the adjustment of the tax system applied to pensions.

The amount of deductions, according to the provisions of Article 12, paragraph 3 of the Consolidated Income Tax Act (TUIR, from its Italian initials), is related to the months of the year for which the family members remained dependent and applies from the month in which it occurs up to that in which the conditions provided for by current legislation ceased.

It is possible to claim tax deductions for family expenses through the appropriate on-line statement submitted using the dedicated service.

The ordinary time limit for issuing measures is set by Law No. 241/1990 at 30 days. In some cases the law may set different deadlines.

The table shows the deadlines exceeding 30 days, established by the Institute by means of Regulations.

In addition to the deadlines for issuing the measure, the table also indicates the person responsible for it.