The Cristiano Ronaldo Transfer to Juventus: The New Italian Resident Regime Benefits Athletes from Around the World

The New Italian Resident Regime

As a general rule, performance income of resident artists and sportsmen is subject to ordinary personal income tax in Italy (Imposta sule reddito delle persone fisiche or I.R.P.E.F.) on worldwide income. The tax rates are progressive, from 23% up to 43%, plus local surcharges. In addition, income of sportsmen often includes various forms of income from activities considered as “ancillary” to the performance. Here tax treatment is far less clear.