Life Insurance Stamp Duty changes in Italy effective from 01/01/2025
On October 15th, the Italian government approved the bill for the 2025 Budget Law, which includes Article 11. This article introduces significant changes to the stamp duty applicable to life insurance contracts.
Starting in 2025, a stamp duty of 0.2% of the premium will be introduced for these contracts. Currently, this duty is paid at the time the contract is concluded. Insurance companies will act as tax agents and prepay the duty amount to the Italian Revenue Agency.
The prepaid stamp duty will be offset against the amount payable at maturity or redemption. Payment can be made in instalments, with 50% due in June 2025 and the remaining amounts due in June of 2026, 2027, and 2028. In addition, the provision mandates the annual payment of stamp duty for life insurance policies categorized under classes III and V.
