DoppioCittadino
3/19/2017 07:54 EST
Start with Article 18 on page 59 of this document https://www.treasury.gov/resource-center/tax-policy/treaties/Documents/teitaly.pdf
Assuming you are tax resident in Italy (that is, present more than 182 days of the calendar year) then your US Social Security payments will be subject to Italian income tax. All is not lost however; as a retiree, the first €7500 is exempt and then there are some additional deductions that would probably apply. For lower income brackets, the tax rate is 23% of the first €15000 (after deductions/exemptions) and 27% of the amount between €15001 - €28000.
You could very well end up spending more to have both your Italian and US tax returns prepared (yes, you must file both) then you will actually pay in taxes. :(
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