Italy attracts international celebrities via flat tax regime

High-profile international celebrities, including Dua Lipa and Naomi Campbell, are increasingly choosing Milan and other parts of Italy as their primary residences. This trend has sparked renewed debate regarding Italy’s fiscal policies for wealthy individuals.

Under a tax regime introduced in 2017, new residents can opt for a flat tax by paying a fixed annual fee of 300,000 euros on income generated abroad. While income produced within Italy remains subject to standard taxation, the arrangement allows millionaires to manage global assets more efficiently compared to the tax structures of the United Kingdom or the United States.

Beyond the fashion and lifestyle appeal of cities like Milan, the strategic financial advantages are a significant driver for these moves. Other notable figures, such as Lewis Hamilton and Robbie Williams, have also established residences in the country, contributing to a broader pattern of international stars relocating to Italy.