San Marino Tax Rates
San Marino is one of the world's smallest and oldest republics, nestled within Italy. The microstate offers a progressive income tax system with a maximum rate of 35%, a competitive 17% corporate tax rate, and no VAT (using a monofase import tax instead). San Marino has been modernizing its tax system and expanding its international treaty network to move away from its previous reputation as a secretive banking center.
Top Income Tax Rate
35%
Corporate Tax Rate
17%
VAT / Sales Tax
0%
Capital Gains Tax
0%
Detailed Tax Information
Income Tax Brackets
San Marino applies progressive income tax (IGR - Imposta Generale sui Redditi) with eight brackets from 12% to 35%. A personal deduction (deduzione personale) reduces taxable income. Rates are generally lower than neighboring Italy's, particularly at the top end (35% vs. 43%).
| Income Range | Tax Rate |
|---|---|
| €0 – €10K | 12% |
| €10K – €18K | 17% |
| €18K – €28K | 20% |
| €28K – €38K | 23% |
| €38K – €50K | 27% |
| €50K – €65K | 31% |
| €65K – €80K | 33% |
| €80K+ | 35% |
Corporate Tax
San Marino levies corporate income tax at a flat 17%, lower than Italy's combined rate. New businesses may benefit from tax holidays and reduced rates for the first years of operation. A participation exemption applies to qualifying dividends.
Standard Rate
17%
Capital Gains Tax
San Marino does not levy a separate capital gains tax on securities. Real estate gains on properties sold within 5 years may be included in income tax. Long-term holdings are generally exempt.
Rate
0%
VAT / Sales Tax
San Marino does not have a VAT system. Instead, it uses a single-phase import tax (imposta monofase sulle importazioni) on goods entering San Marino, typically at 17%. This system is simpler than VAT but limits San Marino's integration with the EU single market.
Standard Rate
0%
Cryptocurrency Tax
San Marino has been developing its blockchain and crypto regulatory framework. San Marino enacted blockchain regulation (Decreto Delegato 37/2019) creating a legal basis for blockchain entities. Tax treatment of crypto follows general income tax principles.
Tax Treaties
San Marino has approximately 20 double taxation treaties and has been actively expanding its network. The most important is the arrangement with Italy, given San Marino is entirely surrounded by Italian territory.
Treaty Network
20
Double taxation agreements
Major treaty partners:
Key Details
Relocate to San Marino
See how much you could save by moving here from your current country.
$-10,536
Tax in United States
$24K
24.4% effective
Tax in San Marino
$35K
34.9% effective
Additional Cost
43.3%
more tax annually
US Citizens: Important Note
US citizens are taxed on worldwide income regardless of residence. You'll still need to file US taxes, though the Foreign Earned Income Exclusion and Foreign Tax Credit may reduce your liability.
