CBI St. Kitts + Taxes

[karishi]

The plan here is to f**k you in the long term: if you buy two houses and then rent them, good luck proving in 5 or 10 years that you are not tax resident in Italy.
You will be of course under scrutiny for a long time, so just be careful in the long run. Living in those parts of italy might be ok from april to november, but it's kind of suicide for the remaining period: if you make 200k a year, Dubai would be a much wiser choice IMHO, you have much more fun living in Dubai with the money rather than living in Palermo. Also, a much safer life. In any case it's doable.

BTW the reason it's not advertised it's the same reason for which your home country didn't officially advertise the fact that Italian retiree could go live in portugal without paying any taxes on their pension: it's against EU rules. They didn't advertise it officially but they did big campaigns on the internet. The reason is obvious, in italy a freelancer pays around 60% of it's revenue in taxes, if he plays by the rules, and seeing people make 200k and pay little, well, it's not very popular.

 

[boy20hki]

The plan here is to f**k you in the long term: if you buy two houses and then rent them, good luck proving in 5 or 10 years that you are not tax resident in Italy.
You will be of course under scrutiny for a long time, so just be careful in the long run. Living in those parts of italy might be ok from april to november, but it's kind of suicide for the remaining period: if you make 200k a year, Dubai would be a much wiser choice IMHO, you have much more fun living in Dubai with the money rather than living in Palermo. Also, a much safer life. In any case it's doable.

BTW the reason it's not advertised it's the same reason for which your home country didn't officially advertise the fact that Italian retiree could go live in portugal without paying any taxes on their pension: it's against EU rules. They didn't advertise it officially but they did big campaigns on the internet. The reason is obvious, in italy a freelancer pays around 60% of it's revenue in taxes, if he plays by the rules, and seeing people make 200k and pay little, well, it's not very popular.

Did you have direct experience with the Italy freelance visa program? Are you Italian?

Last time I read about this was that it can be difficult to really get the visa, the Italian gov have a yearly cap of approval visa, so its like one better work in field that Italy lacks labor (like tech, engineer,...) and/or show that he/she can get big and employee Italian staff and/or buy property in Italy. Seem quite some hoop to get the visa! (Source:

https://www.reddit.com/r/ItalyExpat/comments/118cms6

)

The way I see it, the OP bought houses there and if/when after 10 years of having favorable tax rate, he can apply for Italian citizenship, and after the passport is done, sell off those houses and move to some tax heaven to live and not have to worry about Italian tax. But also In theory, if one non-EU person can take advantage of this program in the first 5 years and during that time find a local Italian there to marry, he/she can apply for citizenship after 2 years of marriage. Seem like a shortest route to get Italian citizenship & EU passport for some people, which is an advantage of choosing Italy over Dubai.

 

[karishi]

Did you have direct experience with the Italy freelance visa program? Are you Italian?

Last time I read about this was that it can be difficult to really get the visa, the Italian gov have a yearly cap of approval visa, so its like one better work in field that Italy lacks labor (like tech, engineer,...) and/or show that he/she can get big and employee Italian staff and/or buy property in Italy. Seem quite some hoop to get the visa! (Source:

https://www.reddit.com/r/ItalyExpat/comments/118cms6

)

The way I see it, the OP bought houses there and if/when after 10 years of having favorable tax rate, he can apply for Italian citizenship, and after the passport is done, sell off those houses and move to some tax heaven to live and not have to worry about Italian tax. But also In theory, if one non-EU person can take advantage of this program in the first 5 years and during that time find a local Italian there to marry, he/she can apply for citizenship after 2 years of marriage. Seem like a shortest route to get Italian citizenship & EU passport for some people, which is an advantage of choosing Italy over Dubai.

I am from Italy, I have a few italian friends who used it, never knew there was a cap. I repeat, the plan is to f**k you in the long term, a friend of mine which has 4 houses in london has applied for it, came back to italy, had a child, they are gouing to f**k him hard in 10 years, as soon as they discover the houses in London.
What they want you to do is exactly what you are suggesting: come here young and get married. After you are married with a girl from one of those regions, good luck in telling her you want go live abroad, and for the italian state, if you have a wife in Italy, you are resident in italy, no matter what. Same if you have children,
And I really can't understand why a portuguese would want an Italian passport, really can't understand. If you want to avoid paying taxes, stay away from welfare states, their goal is to make you pay as much as they can, in the long term. Go to Dubai, or to places like Thailand where things are more relaxed as the state gives you nothing.
To be clear, if you play things by the rules, you can f**k the italian tax agency by staying in italy 5 years and then going away, but 5 years are a long time, you fall in love, you make friends, going away in 5 years is not going to be easy, so you will end up with the choice of either paing up 60% of your income in taxes or trying to find sneaky ways not to pay them, and that will end up bad. And 200k a year puts you in the top 0.5% of wealthiest persons in italy, among those who declare full income.
From an Italian, please stay away from Italy, you will regret it in the end.

 

[eRabbit]

Could you confirm that the tax rate is like this, applying to 10% of total income? From what you said your total income is almost 200k and has 2.5% effective tax rate...then the income tax you paid is EUR 3450 + 25% on income exceeding 15k and up to 28k, right? Assuming your total income is 190k then per my calculation your income tax is EUR 4450 (2.34% of 190k)

View attachment 4683

For social security contribution 3000/190000 aka about 1.6% of total income. Calculating upon a base taxable amount of 10% total income then the real SS contribution rate is about 16%. I saw a US. person on this regime on Reddit with similar SS rate like this.

That means that in your case, income tax + social security amount to 2.34%+1.6% aka 3.9% (7450) of total income (assumed 190k)? Can you confirm this? If only 4% then this is better than many European countries which all amount to 10% or more. Only Georgia 1% tax of up to 165k USD income is cheaper than this Italian rate.

And also with this special regime, can the freelancer have the path to Italian citizenship after X years?

Hi!
Yes! That's about right! This year I think I'll be paying about €4000 of social security and some €3500+ of taxes! Didn't know about Georgia being 1% up to $165K – what happens after you exceed $165K? And is there a time limit for that tax benefit? Also, I don't know about Georgia, but the quality of life you get in Sardinia, weather, food, etc., are absolutely outstanding. I'm from another EU country, so in my case I think I can get citizenship after 3 or 5 years max!

 

[boy20hki]

I am from Italy, I have a few italian friends who used it, never knew there was a cap. I repeat, the plan is to f**k you in the long term, a friend of mine which has 4 houses in london has applied for it, came back to italy, had a child, they are gouing to f**k him hard in 10 years, as soon as they discover the houses in London.
What they want you to do is exactly what you are suggesting: come here young and get married. After you are married with a girl from one of those regions, good luck in telling her you want go live abroad, and for the italian state, if you have a wife in Italy, you are resident in italy, no matter what. Same if you have children,
And I really can't understand why a portuguese would want an Italian passport, really can't understand. If you want to avoid paying taxes, stay away from welfare states, their goal is to make you pay as much as they can, in the long term. Go to Dubai, or to places like Thailand where things are more relaxed as the state gives you nothing.
To be clear, if you play things by the rules, you can f**k the italian tax agency by staying in italy 5 years and then going away, but 5 years are a long time, you fall in love, you make friends, going away in 5 years is not going to be easy, so you will end up with the choice of either paing up 60% of your income in taxes or trying to find sneaky ways not to pay them, and that will end up bad. And 200k a year puts you in the top 0.5% of wealthiest persons in italy, among those who declare full income.
From an Italian, please stay away from Italy, you will regret it in the end.

Interesting, thanks for providing us some broader context and case study. More nuanced details are uncovered here that I overlooked but now I have bigger picture

I put the PWC definitions below this post so we have clear definition of Italian tax residency

My understanding is that if one wants to leave Italy to a tax heaven AFTER a period of time working in Italy under this special freelance visa (a minimum of 2 years is required, to avoid penalties) and want to prevent the risk of having to pay tax to Italy, he/she must do all of these:

+avoid buying Italian properties. if one has bought properties, then need to sell off all them (only rent out does not help)
+avoid marrying & having kids with local Italian. if one has married local, then need to avoid having kids. For spouse, ether convince him/her to move abroad as well OR need to file for divorce successfully (need an amicable divorce here) to cut all possible familial tie to Italy
+deregister/close down any company/business one owns that is registered in Italy
+move away from Italy and never visit Italy for more than 183 days
+establish tax residency in the new country legally

It looks like you really need to do things that are often mandatory to renounce citizenship, just to avoid being regarded as tax resident in Italy. So more nuanced details to be aware of! The 183 days rule Is often just one factor, though most common one but in this case, Italy has more ways to do this e.g. they consider owning property as a proof of "having residence in Italy", and also having family tie (kid, spouse) who are still residing in Italy as evidence to classify someone to be Italy tax resident.

If one is identified as being a tax resident in Italy (by meeting ANY of these 3 criteria defined by PWC) then he/she has to pay all foreign income & wealth income from foreign assets. I guess this is the reason you mentioned that you Italian friend who came back to Italy and has a child there/got married there probably has to pay wealth tax on his 4 London-based houses (foreign assets). So he met the 3rd criteria by having centre of social like (family: kid, spouse) still in Italy and therefore is classified as tax resident in Italy, even when/if he does not live in Italy at all. Probably he needs to move his kids & wide abroad as well, in this case, to avoid Italy tax.

According to Article 2 of the Italian Tax Code, an individual is considered an Italian resident for tax purposes if, for the greater part of the fiscal year (i.e. for more than 183 days):

• the individual is registered in the Records of the Italian Resident Population (Anagrafe)
• the individual has a ‘residence’ in Italy (habitual abode), or
• the individual has a ‘domicile’ in Italy (principal centre of business, economic and social interests, e.g. the family).

If one of the above conditions is met the individual qualifies as tax resident for Italian tax purposes.


Therefore, in general, in order to recognise an individual’s tax residence, the basic criteria is the registration in the records of the Italian resident population. Failing said registration, the alternative principles of the presence of the principal centre of economic and social interests (i.e. family), or the permanent abode in Italian country are applicable.

https://taxsummaries.pwc.com/italy/individual/residence

Hi!
Yes! That's about right! This year I think I'll be paying about €4000 of social security and some €3500+ of taxes! Didn't know about Georgia being 1% up to $165K – what happens after you exceed $165K? And is there a time limit for that tax benefit? Also, I don't know about Georgia, but the quality of life you get in Sardinia, weather, food, etc., are absolutely outstanding. I'm from another EU country, so in my case I think I can get citizenship after 3 or 5 years max!

Nice thank for confirming this! Things seem to work out for you..

I wonder do you any formalization/accountant service to apply for the visa and set tax matters up? Saw someone mentioned Accounting Bolla, Nicolò Bolla on reddit. I guess everything is in Italian not in English so it could be hard.

And the social security tax is confusing to me, I see many sources citing different number. Did you pay the social security tax amount with recommendation from Italian accountant? Below is someone reply in this forum, mentioning SS tax of 30k for 1M revenue...This is confusing to me

I cited many sources in my post above, including the cap on social security. Social security is calculated as a percentage of the maximum amount, but it's capped at 113,520 EUR.

In other words, for 1M revenue, social security would be 22%-26% of 113,520, which is 30K, more or less.

Income tax would be paid apart from SS, and would be calculated on 100,000 EUR.

Hi!
Yes! That's about right! This year I think I'll be paying about €4000 of social security and some €3500+ of taxes! Didn't know about Georgia being 1% up to $165K – what happens after you exceed $165K? And is there a time limit for that tax benefit? Also, I don't know about Georgia, but the quality of life you get in Sardinia, weather, food, etc., are absolutely outstanding. I'm from another EU country, so in my case I think I can get citizenship after 3 or 5 years max!

Here is detail for Gerogia: so 3% if exceeding ithat, but 2 years of exceeding means losing status and has to pay 20% income tax as usual

+PIT for Individual Entrepreneur (Sole Proprietor, Solopreneur) with Small Business Status: If you don’t apply to get this status, you have to pay 20% income tax on your gross income. But when you apply (as a tax resident of Georgia and actively operate a foreign company remotely from Georgia) and get this status at the Revenue Service, you pay 1% tax rate on turnover less than 500,000 GEL (about $165,000 USD) (when exceeding 500k GEL then it is 3% tax over the excess amount - but revoke the Small Business status if exceeding in 2 consecutive years). IE status does not protect your personal assets in case the business is sued for files for bankruptcy.

 

[karishi]

Interesting, thanks for providing us some broader context and case study. More nuanced details are uncovered here that I overlooked but now I have bigger picture

I put the PWC definitions below this post so we have clear definition of Italian tax residency

My understanding is that if one wants to leave Italy to a tax heaven AFTER a period of time working in Italy under this special freelance visa (a minimum of 2 years is required, to avoid penalties) and want to prevent the risk of having to pay tax to Italy, he/she must do all of these:

+avoid buying Italian properties. if one has bought properties, then need to sell off all them (only rent out does not help)
+avoid marrying & having kids with local Italian. if one has married local, then need to avoid having kids. For spouse, ether convince him/her to move abroad as well OR need to file for divorce successfully (need an amicable divorce here) to cut all possible familial tie to Italy
+deregister/close down any company/business one owns that is registered in Italy
+move away from Italy and never visit Italy for more than 183 days
+establish tax residency in the new country legally

It looks like you really need to do things that are often mandatory to renounce citizenship, just to avoid being regarded as tax resident in Italy. So more nuanced details to be aware of! The 183 days rule Is often just one factor, though most common one but in this case, Italy has more ways to do this e.g. they consider owning property as a proof of "having residence in Italy", and also having family tie (kid, spouse) who are still residing in Italy as evidence to classify someone to be Italy tax resident.

If one is identified as being a tax resident in Italy (by meeting ANY of these 3 criteria defined by PWC) then he/she has to pay all foreign income & wealth income from foreign assets. I guess this is the reason you mentioned that you Italian friend who came back to Italy and has a child there/got married there probably has to pay wealth tax on his 4 London-based houses (foreign assets). So he met the 3rd criteria by having centre of social like (family: kid, spouse) still in Italy and therefore is classified as tax resident in Italy, even when/if he does not live in Italy at all. Probably he needs to move his kids & wide abroad as well, in this case, to avoid Italy tax.

So getting out of Italy once you are in and declaring 200k euro a Year requires exactly what you have detailed. What I am trying to say is that lifes gets in the way of your fiscal priorities, and depending what path you want your life to take and what age you are, you should reflect on the various possibilities, also depending on how much money you make. I n general Italy is the worst of the worst, because if you end up having to play by the rules, you pay an insane amount of taxes and get nothing back, only schooling is decent in some parts of italy.
In any case I think that if you are young and want to have fun, Dubai is the best choice: you exit your country, take residency in Dubai, then you can travel where you wish. Stay 4 months in Italy and 4 months in Ibiza and 4 months in Dubai and you have no problems. You put away lots of money for a few years and then decide what to do.
If you want to take a EU passport, I would rather go to Greece than Italy.
In any case the message is "plan aheaed": if the offer is too good to be true, it's because they will f**k you at some point, especially in italy. Goingo to a welfare state and declaring 200k of income puts yourself under a lot of scrutiny: much better to have a dubai set up and then just receive money from dubai to Italy. It's a more expensive setup, but you only show italy some money and fly under the radar.

 

[European]

Hi!
Yes! That's about right! This year I think I'll be paying about €4000 of social security and some €3500+ of taxes! Didn't know about Georgia being 1% up to $165K – what happens after you exceed $165K? And is there a time limit for that tax benefit? Also, I don't know about Georgia, but the quality of life you get in Sardinia, weather, food, etc., are absolutely outstanding. I'm from another EU country, so in my case I think I can get citizenship after 3 or 5 years max!

@eRabbit
How do you manage to pay €4K of social security on income of €200K?
From what I read here (official INPS site):
Dettaglio di Circolari, Messaggi e Normativa
and here:
https://taxsummaries.pwc.com/italy/...y contributions for,105,014 for the year 2022
the charge for social security for a freelance should be around 25% of income with a cap of €113,520. So around €28K for a €200K income
Is that info not accurate or not applicable to your case?

 

[boy20hki]

@eRabbit
How do you manage to pay €4K of social security on income of €200K?
From what I read here (official INPS site):
Dettaglio di Circolari, Messaggi e Normativa
and here:
https://taxsummaries.pwc.com/italy/...y contributions for,105,014 for the year 2022
the charge for social security for a freelance should be around 25% of income with a cap of €113,520. So around €28K for a €200K income
Is that info not accurate or not applicable to your case?

Sorry to say but honestly your post is not really that useful to most people here who are not familiar with this visa program

Could you really just cite the text area in the source and paste it here? The webpages you cited have a lot of different categories and tax types, how can anyone easily know where to look at? One site is non English actually.

Also as I already wrote in my previous post in the other thread, your calculation is not clearly explained. Can you write down how you calculate the number (28k) so all of us could understand? "25% of income of 200k" means 40k?

In previous thread you wrote with someone about 30k social security contribution with 1M revenue. Here you said 28k for 200k revenue. Just does not make sense with same SS contribution fee for 200k and 1M revenue. So your whole number and calculation does not look reliable.

As I said, the one with direct experience is more worthwhile to see than just a random number pulled from website.

 

[boy20hki]

Hi!
Yes! That's about right! This year I think I'll be paying about €4000 of social security and some €3500+ of taxes! Didn't know about Georgia being 1% up to $165K – what happens after you exceed $165K? And is there a time limit for that tax benefit? Also, I don't know about Georgia, but the quality of life you get in Sardinia, weather, food, etc., are absolutely outstanding. I'm from another EU country, so in my case I think I can get citizenship after 3 or 5 years max!

Sorry to say but honestly your post is not really that useful to most people here who are not familiar with this visa program

Could you really just cite the text area in the source and paste it here? The webpages you cited have a lot of different categories and tax types, how can anyone easily know where to look at? One site is non English actually.

Also as I already wrote in my previous post in the other thread, your calculation is not clearly explained. Can you write down how you calculate the number (28k) so all of us could understand? "25% of income of 200k" means 40k?

In previous thread you wrote with someone about 30k social security contribution with 1M revenue. Here you said 28k for 200k revenue. Just does not make sense with same SS contribution fee for 200k and 1M revenue. So your whole number and calculation does not look reliable.

As I said, the one with direct experience is more worthwhile to see than just a random number pulled from website.

Basically it says there is a flat 15% (for taxable income up to 65k, this is on the taxable income after the 70%/90% deduction, not the total income) + 26% inps aka 41% on the taxable amount (10% or 30% of total income). So if one moves to the South, the effective rate is only 4.1% of total income, roughly the near the same as the 3.9% rate I calculated above.

This case below is about someone who has 80k total income, and with 90% deduction the taxable income is only 10% of that (8k) which is less than 65k, hence 4.1% rate
With eRabbit case who has 180-190k total come, and with 90% deduction the taxable income is only 10% of that (18-19k) which is still less than 65k, hence 4.1% rate

In that same Reddit thread someone else mentioned also that he/she paid 300€/mo for social security payment, so this sounds like in line with the amount eRabbit pays (3k, 4k per year)

Overall this seems to works like I expect...The real social security contribution amount is in practice calculated based on the deducted/reduced income, not the original total income.

Do you work remotely? You best option would be following the "regime rimpatriati", basically EU citizen who worked at least two yearly periods outside of italy (a yearly period is the better part of a year, thus 183-184 days) can access this tax plan if they move their residence in italy a stay here for at least 2 years. This tax plan reduced your taxable income by 70%, so you would be paying taxes on 30% of your income - so per your 80.000 €, you would be paying taxes only on 24.000€). For self employed people you can acces a flat tax rate of 15% up to 65.000 € of yearly income (if you work all year), +26% of inps (basically a forced retirement/social plan). Now this taxable quota can be reduced to 10% (from the already reduced to 30%) if you move your residency to one of the southern regions, Campania, Molise, Puglia, Basilicata, Calabria, Sicilia, Sardegna and for whatever reason Abruzzo. So in your case you would be paying a combined 41% tax (15% tax + 26% of social contributions) on 10% or 8.000 euros, for a grand total of about 3680€ of taxes on an income of 80000, which is less than an actual 5%.

All of this i think it lasts for 5 years, BUT if you buy a house where you move your residence and/or if you have a child while living here, it will be increased to 10 years.

So you might get an effective 5% tax on your income for about 10 years by moving to southern Italy (plus Abruzzo. It's not southern Italy but it's included nonetheless)

 

[European]

Sorry to say but honestly your post is not really that useful to most people here who are not familiar with this visa program

Could you really just cite the text area in the source and paste it here? The webpages you cited have a lot of different categories and tax types, how can anyone easily know where to look at? One site is non English actually.

Also as I already wrote in my previous post in the other thread, your calculation is not clearly explained. Can you write down how you calculate the number (28k) so all of us could understand? "25% of income of 200k" means 40k?

In previous thread you wrote with someone about 30k social security contribution with 1M revenue. Here you said 28k for 200k revenue. Just does not make sense with same SS contribution fee for 200k and 1M revenue. So your whole number and calculation does not look reliable.

As I said, the one with direct experience is more worthwhile to see than just a random number pulled from website.

1. It's not a visa program; it's a special tax regime. If you're not already allowed to live/work in Italy legally, getting a visa is a different procedure.
2. Just spend 2 mins reading the English link; it says it clearly. The very first section is on Social Security contributions. For self-employed, the minimum rates on gross income are 24%-26%. It also states very clearly that the gross income for the calculation is CAPPED, as I mentioned previously, at €113,520. So if you make €200K:
25%*€113,520
if you make €1M gross income:
25%*€113,520
3. The link in Italian provides the same info in paragraphs 4 and 7. INPS is the government agency in charge of social security so hardly random numbers.

4. My question was addressed to @eRabbit, who will understand all this and will be able to explain whether this is not applicable in their case

 

[karishi]

@eRabbit
How do you manage to pay €4K of social security on income of €200K?
From what I read here (official INPS site):
Dettaglio di Circolari, Messaggi e Normativa
and here:
https://taxsummaries.pwc.com/italy/...y contributions for,105,014 for the year 2022
the charge for social security for a freelance should be around 25% of income with a cap of €113,520. So around €28K for a €200K income
Is that info not accurate or not applicable to your case?

There is a new special taxation regime for people who were not resident in italy. You basically pay 0 taxes for 5 years. There is another regime which caps your taxes at 100k for the super wealthy

1. It's not a visa program; it's a special tax regime. If you're not already allowed to live/work in Italy legally, getting a visa is a different procedure.
2. Just spend 2 mins reading the English link; it says it clearly. The very first section is on Social Security contributions. For self-employed, the minimum rates on gross income are 24%-26%. It also states very clearly that the gross income for the calculation is CAPPED, as I mentioned previously, at €113,520. So if you make €200K:
25%*€113,520
if you make €1M gross income:
25%*€113,520
3. The link in Italian provides the same info in paragraphs 4 and 7. INPS is the government agency in charge of social security so hardly random numbers.

4. My question was addressed to @eRabbit, who will understand all this and will be able to explain whether this is not applicable in their case

I think you are right on INPS, because only IRPEF is affected by the tax regime

 

[European]

There is a new special taxation regime for people who were not resident in italy. You basically pay 0 taxes for 5 years. There is another regime which caps your taxes at 100k for the super wealthy

Thanks. I was asking in particular about the €4K in social security contributions, not the income tax.

I think you are right on INPS, because only IRPEF is affected by the tax regime

Yes, that is what I've read pretty much everywhere too. But I have not seen what the actual law says

 

[European]

So well here I have found a reasonable explanation on Reddit

https://www.reddit.com/r/commercialisti/comments/vq5v2k/_/ieqhcvp

Basically it says there is a flat 15% (for taxable income up to 65k, this is on the taxable income after the 70%/90% deduction, not the total income) + 26% inps aka 41% on the taxable amount (10% or 30% of total income). So if one moves to the South, the effective rate is only 4.1% of total income, roughly the near the same as the 3.9% rate I calculated above.

This case below is about someone who has 80k total income, and with 90% deduction the taxable income is only 10% of that (8k) which is less than 65k, hence 4.1% rate
With eRabbit case who has 180-190k total come, and with 90% deduction the taxable income is only 10% of that (18-19k) which is still less than 65k, hence 4.1% rate

In that same Reddit thread someone else mentioned also that he/she paid 300€/mo for social security payment, so this sounds like in line with the amount eRabbit pays (3k, 4k per year)

Overall this seems to works like I expect...The real social security contribution amount is in practice calculated based on the deducted/reduced income, not the original total income.

It looks like the "regime forfettario" (what gives you that flat 15%) is not compatible with the lavoratori impatriati regime, as confimed by the tax office:
Fisco agevolato per gli impatriati e regime forfetario sono
In any case, I have spoken to a couple of Italian tax advisors and they all said that the INPS contributions should theoretically be calculated on all your income (capped at €113K) and not only on 10%. However, they also said that the law is ambiguous.
Online I have also found both versions, with a few sites stating that the INPS has not published clear guidance on this.
So I wonder what the right answer is. Perhaps, given the lack of clear guidance, some people are paying on the 10% and the INPS has not complained (or not noticed) yet?

@eRabbit are you around to help clarify?