Italy implements tax amnesty for 1,500 local entities

Approximately 1,500 Italian regions and municipalities have joined the ‘Rottamazione-quinquies’ tax amnesty program, as announced by the Agenzia delle Entrate-Riscossione. This measure, introduced via Decree-Law no. 38/2026, allows taxpayers to settle outstanding local debts incurred between January 1, 2000, and December 31, 2023.

The amnesty covers various local revenues, including Imu, Tari, vehicle tax (bollo auto), and traffic fines. While the principal amount of fines must still be paid, the program offers discounts on accumulated interest and penalties. Notably, the measure does not apply to debts resulting from Court of Auditors rulings or taxes collected directly by municipalities or private concessionaires.

Participation varies by region, with significant adesions noted in Puglia—including 139 municipalities—and the province of Catania, which includes 43 municipalities. Taxpayers can submit applications exclusively online from October 16 to December 15, 2026. Following the application period, the Agency will communicate the total amounts due by February 28, 2027. Payments can be made in a single installment by March 31, 2027, or spread across up to 54 bi-monthly installments.