{"id":43256,"date":"2025-10-17T12:17:57","date_gmt":"2025-10-17T10:17:57","guid":{"rendered":"https:\/\/labaitacase.com\/2026-budget-law-all-the-tax-changes-and-their-impact-on-the-real-estate-market\/"},"modified":"2025-12-10T12:25:54","modified_gmt":"2025-12-10T11:25:54","slug":"2026-budget-law-all-the-tax-changes-and-their-impact-on-the-real-estate-market","status":"publish","type":"post","link":"https:\/\/labaitacase.com\/en\/2026-budget-law-all-the-tax-changes-and-their-impact-on-the-real-estate-market\/","title":{"rendered":"2026 Budget Law: all the tax changes and their impact on the real estate market"},"content":{"rendered":"\n
Introduction<\/h3>\n\n
Approved by the Council of Ministers on 17 October 2025 and now under review by Parliament, the 2026 Budget Law<\/strong> introduces a package worth \u20ac18.7 billion<\/strong>.The Government aims to support growth, employment and investment, while at the same time maintaining a prudent approach to public finances, with a projected deficit of 2.8% of GDP<\/strong>.<\/p>\n\n
In this article, we analyze the main tax changes and the measures for families and businesses<\/strong>, and above all the impacts on the real estate market<\/strong> and on short-term rentals<\/strong>, topics of great interest for owners, investors, and industry professionals.<\/p>\n\n
2026 Budget Plan: the general overview<\/h3>\n\n
The draft of the Budget Law, consisting of 137 articles<\/strong>, sets out targeted measures to:<\/p>\n\n
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reduce the tax burden on households;<\/li>\n\n\n\n
stimulate investment and innovation in businesses;<\/li>\n\n\n\n
strengthen support for employment and welfare;<\/li>\n\n\n\n
ensure a balance between public spending and financial stability.<\/li>\n<\/ul>\n\n
The Government has also confirmed its intention to use the European safeguard clause<\/strong> to finance defense without violating the new EU rules.<\/p>\n\n
Taxation and employment: IRPEF cut and reduced tax on overtime<\/h3>\n\n
Among the measures most anticipated by taxpayers:<\/p>\n\n
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Reduction of the IRPEF rate<\/strong> from 35% to 33%<\/strong> for incomes above \u20ac28,000, with savings of up to \u20ac440 per year<\/strong> for those earning around \u20ac50,000.<\/li>\n\n\n\n
15% substitute tax<\/strong> on overtime, holiday, and night work for incomes up to \u20ac40,000, with maximum savings of \u20ac1,500.<\/li>\n<\/ul>\n\n
Other significant changes:<\/p>\n\n
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increase of the 5\u00d71000<\/strong> cap from \u20ac525 million to \u20ac610 million;<\/li>\n\n\n\n
scrapping of tax bills<\/strong> for liabilities from 2020\u20132023, with payment allowed until 2035;<\/li>\n\n\n\n
exclusion of the primary residence from the ISEE calculation<\/strong> for properties valued up to \u20ac91,500.<\/li>\n<\/ul>\n\n
Businesses and investments: green and digital incentives<\/h3>\n\n
The budget measures strengthen support for businesses investing in innovation and ecological transition<\/strong>, with:<\/p>\n\n
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super-amortization up to 180%<\/strong> for technological projects;<\/li>\n\n\n\n
increases up to 220%<\/strong> for green investments that reduce energy consumption;<\/li>\n\n\n\n
new funds for SEZs, Development Contracts, and the New Sabatini scheme<\/strong>;<\/li>\n\n\n\n
26% taxation<\/strong> on income from crypto-assets and stablecoins<\/strong>;<\/li>\n\n\n\n
establishment of a permanent working group on innovative finance<\/strong> at the Ministry of Economy and Finance (MEF).<\/li>\n<\/ul>\n\n
Financial sector and large assets<\/h3>\n\n
To contribute to the sustainability of the budget plan:<\/p>\n\n
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IRAP<\/strong> increases to 6.65% for banks<\/strong> and 7.90% for insurance companies<\/strong>;<\/li>\n\n\n\n
the deductibility of previous losses is revised;<\/li>\n\n\n\n
the flat tax for new residents with foreign income<\/strong> increases from \u20ac200,000 to \u20ac300,000 per year<\/strong>.<\/li>\n<\/ul>\n\n
The additional expected revenue exceeds \u20ac4.4 billion in 2026<\/strong>.<\/p>\n\n
Families and welfare: social support confirmed<\/h3>\n\n
The Government assures that no cuts to social spending are planned<\/strong>.In 2026 a new family package<\/strong> will be introduced, with enhancements to housing bonuses, childcare benefits, and parental leave<\/strong>, the details of which will be defined during the parliamentary review.<\/p>\n\n
Real estate focus: flat tax, short-term rentals, and IRPEF<\/h2>\n\n
26% flat tax on short-term rentals<\/h3>\n\n
From 2026, the flat tax<\/strong> on short-term rentals will be standardized at 26%<\/strong> for all such leases, eliminating the previous 21% rate applied to the first property.Real estate agencies and intermediation platforms<\/strong> will also be subject to the same 26% rate.<\/p>\n\n
\ud83d\udc49 This measure aims to simplify the tax system<\/strong> but results in a reduction of net returns<\/strong> for many owners who rent out properties for tourist use.<\/p>\n\n
Indirect effects on purchasing and renting<\/h3>\n\n
The IRPEF cut to 33%<\/strong> may increase disposable income for the middle class (\u20ac28,000\u201350,000), potentially boosting the demand for purchases and rentals<\/strong>.However, anti-erosion mechanisms will limit the benefit for higher incomes, making the overall effect more moderate.<\/p>\n\n
![\"2026](\"https:\/\/labaitacase.com\/wp-content\/uploads\/2025\/10\/legge_di_bilancio_26_art-1024x1024.jpg\")
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