Italy Flat-Rate Tax Calculator 2026 (Forfettario)

Italy's flat-rate scheme (regime forfettario) is the simplified VAT-number regime with a single substitute tax (5% for start-ups in the first 5 years, 15% afterwards) replacing IRPEF, surtaxes and IRAP. This calculator estimates tax and INPS contributions from your revenue, with a full breakdown and payment deadlines.

Calculate estimate

Country

Legal form

Tax year

The year whose rates apply (they change with each Budget Law). Enter that year's revenue.

Revenue / Fees for the year (€)

Activity (ATECO profitability coefficient)

Documented expenses for the year (€)

Pension fund (contributions)

35% contribution reduction (flat-rate artisans/traders)

Activity category

Activity type (coefficient)

Flat-rate income tax payment (option)

ACRE: 50% contribution cut (1st year)

Start-up: first 5 years (reduced 5% rate)

First year of activity (contributions not yet paid → not deductible)

Pre-tax profit (€)

Distribute profits as dividends

Result

Fill in the data and press “Calculate”.

How it is calculated

Taxable income does not start from actual costs: it is your revenue multiplied by the profitability coefficient of your ATECO business code (e.g. 78% for professional services, 67% for ATECO 62 software). Paid social contributions are then deducted, and the substitute tax applies to the net base.

Gross income = revenue × ATECO coefficient
− INPS contributions paid in the year (deductible)
= taxable base → × 5% or 15% = substitute tax

The first year of activity

Contribution deduction follows the cash principle. In the first year you have not paid contributions yet, so the tax is computed on the full income (no deduction). Tick “First year of activity” for a correct estimate.

INPS contributions

Contributions depend on your fund: Gestione Separata (professionals without a fund, 26.07% of income), Artisans/Traders (fixed amount on the minimum plus a percentage, with a possible 35% reduction for flat-rate taxpayers), or a private professional fund.

FAQ

What is the 2026 revenue threshold for the flat-rate scheme?

The limit is €85,000 of revenue/fees in the previous year, adjusted to a full year.

When does the 5% rate apply?

For new activities meeting the requirements, for the first 5 years; then it becomes 15%.

Are costs deductible in the flat-rate scheme?

No: actual costs are not deductible. The only allowed deduction is social contributions paid in the year.

Official sources

Agenzia delle Entrate — IRPEF, IRES, IRAP, regime forfettario
INPS — Contributi Gestione Separata / artigiani-commercianti
Normattiva — Testi di legge ufficiali + Legge di Bilancio