jammers84

Hi all

Great forum. I am moving to Florence in a few weeks and the information here has been most useful.

I am trying to calculate what my take home salary will be and am having little luck so far so was hoping someone could point me in the right direction.

My yearly income will be 63 000 EUR. Someone at the company I will be working for said the tax will be around 50% and I am trying to get a more accurate number. 50 % seems high.

Looking online it appears my wage falls into the 41% tax bracket? Is this correct does anyone know?

I have also used this one calculator which set my tax at 38 %.

:: Caclulate Salary In Italy - ildanny.it ::.

I was wondering if there is some addition tax that these percentages are not accounting for which would take it up to 50 % total.

Thanks for any help

jammers

modicasa

depends on your contract. I earn less than you and i pay 71% overall, but I am self employed. In addition to your tax you will have INPS contributions which can be up to 15 or more percent of your pay. And then it depends how you are employed, and whether one of te 38 types of national contract was signed before the jobs act etc etc.

37100

I put the amount into a calculator and the net figure came up around €38.500 for a single person, no kids. That seems about right.

primularossa

Usually, in Italy, when you say "gross salary" of an employed person it includes IRPEF+regional+communal taxes but not INPS, even if INPS is 66% up to the employer and 33% up to the employee. I would clarify this with the employer. For Italian salaries, 63K euros is quite a good salary in this moment, although Florence is expensive, especially for housing.
Anyway yes, you will fall in the 41% tax brackets for the part of salary exceeding 55.000 euros. From 0 to 55,000 there are other percentages as you can read here.
Scaglioni e aliquote Irpef 2015 - FISCOeTASSE.com

notice that the "progression" of taxation is very unfair. There is no "no tax area", even if you earn very little money, and people that earn 10,000 Euros per year pay only half of those earning over 75,000 and above. It was not like that in the past, and the taxation percentage was higher for higher salaries. It is the result of the "class struggle victory" from the side of the richest.

jammers84

Hi all

Thanks for the useful information. I will be employed at the university on a fixed term contract funded by an EU grant. The online tax calculators come to a total of 41% which I can now see comes from 32% for the progressive income tax and 9.19 % for the INPS.

Primularossa, I am surprised there is no-tax free/low tax bracket for people on low incomes. Very unfair I agree.

Thanks again for the links and info.

MarkRD

First of all congratulations on getting a fixed contract with a university and such a high income.

I'd be interested to know how this compares to a similar situation in the UK, taxwise.

caroltee

Gross pay £47,000. Tax 8,203. National Insurance £4,211. Net yearly income £ 34,596
Based on euro/pound 1.33 yearly income approx. E 46000.

MarkRD

Um hello and thanks - looks like just over 25% total tax. Not a lot compared to here.

Capo Boi

'Gross pay £47,000. Tax 8,203. National Insurance £4,211. Net yearly income £ 34,596
Based on euro/pound 1.33 yearly income approx. E 46000.'

I don't think the person is asking for tax liabibility in sterling, or translation into €. Simply, for € tax liability.

Capo Boi

My take, €63,000 is going to come in at around €41,000 net after tax, following normal deductions. Will go through with you if you want in the next few days.

Capo Boi

Tax TIES: Italy - Income Tax | KPMG | GLOBAL

This is a good link. There are local and central taxes to add, roughly just over 1% but depending on your circumstances various deductions can then be made up to applicable rates. eg, medical expenses, estate agent fees, etc. Using these, (obviously legitimately) are the key to reducing the tax take.