How to pay little tax on your pension without moving from Italy

In Italy there is a significant tax pressure on pensions and this is no mystery.
Taxation for a pensioner is 23% for incomes up to 15 thousand euros which rises to 43% for those over 50 thousand euros.
Very high percentages of taxes to pay which are pushing more and more pensioners to move abroad, to tax havens where life is cheap, the climate is excellent and taxation is facilitated.
Let's think of countries like Portugal, Spain, Malta and Tunisia which every year attract hundreds of Italian pensioners, eager to move their residence abroad to pay less taxes on their pension.
Now, however, there is a valid alternative for pensioners and the good news is that it is located a few kilometers from Italy, it is easily reachable by car and above all Italian is spoken.
We are talking about the Republic of San Marino which is preparing to become the new tax haven for Italian pensioners thanks to preferential taxation for those who move their residence to the country and clearly brings wealth to the small state located a few kilometers from Rimini.
Let's see how it works.
read also Pensions, how much tax does someone who moves to Portugal pay in 2024 San Marino new tax haven for Italian pensioners For some years now, the Republic of San Marino has introduced preferential taxation for those who move their residence there.
This is a 6% tax rate for a period of 10 years for those who take up residence in the country for the first time and who enjoy incomes exceeding 50 thousand euros or personal assets exceeding 300 thousand euros.
Another essential requirement to obtain this tax advantage is that a third of this assets must be kept in a bank in the country and invested in government bonds or other financial products.
In short, it would seem like a valid alternative to distant countries such as Portugal for example, which is also a few steps away from Italy.
To tell the truth, the numbers are not high at the moment, perhaps pensioners prefer to move to warmer environments and completely change their lives.
In 2021, 17 new residences took advantage of the benefit, 29 in 2022 and 58 in 2023.
However, these numbers are growing and give the administrators of the small state hope.
The objective is certainly to attract foreign pensioners who move their income and savings to the country, offering them favorable conditions.
With Portugal's farewell to tax breaks, San Marino could become a sought-after destination.
In fact, from this year the Portuguese country said goodbye to the subsidized regime for non-habitual residents.
There remain other attractive countries from a fiscal point of view such as Malta.
Here the Government has provided for preferential taxation with a fixed rate of 15% on income coming from abroad.
Then there is Croatia where the pension percentages are 12% and 18% in two brackets based on income.
Or Tunisia which has provided for a very advantageous tax regime especially for Italian pensioners.
In fact, it is possible to activate the 80% tax exemption on foreign pensions.
In short, all favorable regimes to be exploited.
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