Italy tax settlement: September 30 deadline for second installment

Taxpayers participating in the 'Rottamazione-quinquies' debt settlement program face a critical deadline on September 30, 2026, for the payment of the second installment. This program, introduced by the 2026 Budget Law, allows for the facilitated settlement of tax arrears.

According to the Agenzia delle Entrate-Riscossione, participants risk losing their tax benefits if two installments remain unpaid or only partially paid by the deadline. Specifically, if the first installment (due July 31) and the second installment (due September 30) are both unfulfilled, the benefits of the settlement will be revoked. For those paying in two installments, a five-day grace period is granted for the final payment, extending the deadline to October 5.

Legal rulings have clarified that a taxpayer's right to installment plans is not lost due to minor accounting discrepancies, such as unpaid interest resulting from recalculations. Furthermore, the Italian Court of Cassation has affirmed that requesting an installment plan does not constitute an automatic acceptance of the tax claim, meaning taxpayers can still contest the existence or amount of the debt while paying.

Regarding local taxes, data on debts eligible for settlement through regional or local entities will be available starting October 15, 2026, with the application period running until December 15, 2026.