Tax on UK state pension when living in Italy

I will soon have two pensions, both my local government and state pensions, and would like to check that there will be no tax liability for these in Italy.

Hi Jif100 Milan,
Please download and complete the form  DT individual pdf:
Double Taxation Treaty Relief - DT Individual
If your local government pension is not taxable in the UK, then complete the form including this pension as well as your State Pension.
Please send the completed, signed and dated form to the Italian tax authorities.
They will validate the form and return it to you.
You in turn, will need to send the form to HMRC at the address on page 1 of the form.
My colleagues will be able to issue a 'NT (no tax) tax code to your pension provider, so any tax they have deducted, is refunded.
Thank you. 


 

To answer their question, surely the state pension will be taxable only in Italy and the LA pension will be taxable only in the UK unless Jif100 Milan has Italian citizenship?

Thank you for the replies and for any further clarification that can be provided. To be clear I have residency in Italy but remain British. I am looking for confirmation of the following information concerning double taxation which I have been able to get from Italian Taxation Guides online which is translated from the Italian as follows: ‘In particular, according to the existing Double Taxation Conventions, a summary table is given: For the UK: Public pensions - They are subject to taxation only in Italy if the taxpayer has Italian nationality. Private pensions - They are subject to taxation only in Italy.’

Hi,

Your UK State Pension and any private pensions are taxable only in Italy, under article 18(1) of the reciprocal tax treaty between the UK and Italy:

UK/Italy Double Taxation Convention

To ensure that you do not pay tax in the UK, you will need to complete the DT individual form as previously advised. If you do not, you may be taxed in both countries with no tax relief for double taxation.

Thank you.

Thank you everyone for the replies: I think I have sufficient information now to go ahead and engage a local commercialista to help prepare future tax returns.