Overview

• The Documento programmatico di bilancio confirms a reduction of the second IRPEF bracket from 35% to 33%, costing about €2.8 billion annually with benefits limited for higher incomes.
• Tax breaks to link pay and productivity extend to public employees via the ‘salario accessorio’, alongside incentives for private-sector contract renewals and performance bonuses.
• About €3 billion over 2026–2028 is earmarked to make life‑expectancy‑linked pension adjustments more progressive, with the 2027–2028 age increase suspended only for heavy and usurante jobs.
• Financing includes roughly €5 billion from PNRR reprofiling and about €4.4 billion from banks and insurers in 2026—over €11 billion across three years—with industry assent still being sought.
• Housing deductions are maintained (50% on primary residences, 36% on other properties), the ‘Carta Dedicata a te’ is extended, caregiver reform receives funds, the mothers’ bonus rises to €60, and ISEE rules are eased for larger families and primary homes.