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Italy’s Draft Budget Triggers Clash Over 26% Tax on Short-Term Rentals

Coalition allies pledge to rewrite the proposal during the bill’s finalization at the Finance Ministry.

Overview

  • The leaked draft would lift the flat tax on short-term lets to 26% even for a single property, keeping the 21% rate only for long-term leases.
  • Forza Italia leader Antonio Tajani says his party will not vote for the measure, and Lega chief Matteo Salvini says he is certain it will be changed to shield small owners.
  • Forza Italia lawmakers are preparing amendments to preserve the 21% rate for those who rent just one dwelling.
  • Industry groups warn of fewer listings and higher costs, with Aigab estimating about €1,300 per household and noting that 96% of online listings come from single owners.
  • The budget text remains under Economy Ministry review before formal submission to Parliament, and Venice’s mayor says the city will not raise its tourist tax.