Italy’s tax evasion problem worse than thought, rising again after years of decline
Italy’s chronic tax evasion is on the rise again after years of decline, and the problem may be larger than previously reported, government data shows.
A government-appointed commission estimates that missed taxes and social contributions jumped to €102.5 billion in 2022, up from €99 billion in 2021. Tax evasion also rose by €6 billion across 2021 and 2022 combined, News.Az reports, citing Reuters.
The figures include a new accounting revision by ISTAT, which significantly revised past estimates. Previous reports had suggested Italy’s evasion problem was improving steadily, but the new numbers show the total improvement from 2018 to 2022 was only €5.9 billion—far below earlier estimates.
Prime Minister Giorgia Meloni has repeatedly called for softer tax-collection measures, including raising the cash payment limit to €5,000 and offering multiple tax amnesties. Critics warn these moves could worsen evasion.
The latest 2026 budget includes a major amnesty allowing taxpayers who missed bills up to 2023 to settle without penalties or interest, highlighting the ongoing challenge Italy faces in curbing tax evasion.
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