Flat-Rate Rental Tax
Plain English
An optional flat-rate tax for landlords renting out residential property. Instead of adding the rental income to your IRPEF, you pay 21% on long-term contracts (10% on certain rent-controlled ones). In exchange, you give up the right to update the rent for inflation during the contract.
Why it matters
For most landlords above the lowest tax bracket it\'s cheaper than the ordinary regime, and it also exempts you from registration tax and bollo on the contract.
Real example
"When Lorenza rented out her old flat in Trieste to a student, her commercialista suggested the cedolare secca at 21%. They ticked the box when registering the contract, and her tax bill that year was much simpler."
Common confusion
You have to choose cedolare secca explicitly when you register the contract (or at the next renewal). Forgetting to opt in keeps you in the ordinary regime by default.
Official source
Agenzia delle Entrate