Italian government unveils budget focusing on families health care and tax reforms

The Italian government has introduced a budget maneuver that focuses on families and health care, while also ensuring fiscal responsibility.

Allocation for Families and Natality

Over 1.5 billion euros will be allocated to support families and enhance natality. The tax and contribution wedge will be reduced, benefiting those with incomes up to 35,000 euros, and some benefits will also be extended to the 35,000 to 40,000 euro income bracket.

Personal Income Tax Rates

The personal income tax rates will remain at 23%, 35%, and 43%, with no new taxes introduced. A new system for calculating tax deductions, called the "family quotient," will favor large families.

Investment in Health Care

The budget includes a significant investment in health care, with the health fund projected to reach 136.5 billion euros in 2025 and 140 billion euros in 2026.

Support for Families

The budget also includes measures to support families, such as maintaining the home bonus and the furniture bonus.

Pensions and Incentives

Pensions will be fully revalued in line with inflation, and there will be incentives for longer working lives.

Contributions from Banks and Insurance Companies

Banks and insurance companies will contribute approximately 3 billion euros to the budget maneuver.

Salary Cuts and Education Sector

The budget also includes provisions for salary cuts for managers in public and private entities that receive state contributions. The education sector will also receive resources.

The government's ability to balance these interests while maintaining fiscal stability will be crucial.

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