Has Italy become a tax haven? In 2025, our country became the third most popular destination in the world for new millionaire residents

There is a place where billionaires from all over the world move their residence because it is considered a tax haven. It's not Dubai, nor the Principality of Monaco. Not even Switzerland, historically very friendly to big capital, just like it's not the Cayman Islands. The new tax haven is Italy. In 2025, the Bel Paese continues to climb the rankings of the most coveted destinations for large fortunes. It's not just a matter of mild climate, art cities, and cuisine: the real strength is the set of tax advantages that in recent years have made Italy an appealing destination for those seeking a balance between quality of life and economic convenience. A study by Henley & Partners shows how in the second half of the year Italy ranks third in the world for new millionaire residents, behind only the United Arab Emirates and the United States, with about 3,600 annual inflows. A result that allows it to surpass countries with a long tradition in the field, like Switzerland, always synonymous with financial stability.

But what are the factors that make Italy so attractive in the eyes of billionaires?

The success of this trend is explained by a measure introduced eight years ago: the so-called "CR7 rule". This is a tax regime that provides for non-domiciled individuals a flat tax of 200,000 euros per year on foreign income, valid for up to 15 years. The nickname refers to Cristiano Ronaldo, who in 2017 moved to Italy joining Juventus and benefiting from this novelty. What makes the picture even more advantageous is the possibility for family members to join the same regime, at a reduced rate of 25,000 euros annually. A condition that has made Italy competitive compared to other jurisdictions and explains why many have decided to transfer their center of interests here.

Examples are plentiful. Prominent bankers like Renaud de Planta and Bertrand Demole from the Pictet banking group have left Switzerland to settle in Italy. Lewis Hamilton also chose Milan to buy a villa and move his residence there, while Nassef Sawiris, the Egyptian entrepreneur with an estimated net worth of around 9 billion euros, opted for our country thanks to the flat tax. These emblematic cases give a sense of a now consolidated phenomenon.

At the macroeconomic level, the Global Wealth Report 2025 by Boston Consulting Group portrays Italy as the eighth global power in investable financial wealth, with nearly 7,000 billion dollars in 2024. In 2025, the report identifies a slight contraction of 1.1% compared to the previous year, linked to market uncertainties, but projections remain positive: an estimated average annual growth of 6.5% until 2029, with the possibility of exceeding 9,400 billion. The distribution of investments shows a diversified structure: 40% in stocks and mutual funds, 25% in deposits and currencies, 18% in insurance and pension products, and 8% in bonds. Indicators that reveal a solid base, capable of attracting further capital from abroad.

But what happens to those who are not rich?

The other side of the coin is the concrete impact on Italian cities. Milan, Rome, and Lake Como confirm themselves as the preferred destinations, and in these contexts the real estate market has grown at impressive rates. In some areas of Milan, the price per square meter exceeds 34,000 euros, contributing to reshaping the urban geography and fueling a very high-end economy that lives alongside the ordinary one.

Furthermore, this situation highlights a major issue in our country: the gap with the tax pressure borne by the rest of the population. Italy, in fact, applies an average rate of 20.9%, the highest among the five major economies of the European Union, well above the community average of 16%. A double speed, a double standard, that makes the country attractive for big capital and challenging for the middle class at the same time.