By Gabriele Denaro · 6 October 2026
Tax and pension rules change often. Figures on this page were last checked on 6 October 2026 against the official sources below.
Buying a government bond means lending money to the Italian State for a fixed period. The State pays interest and returns the capital at maturity. The Treasury issues several kinds, and the main differences are the length, how interest is paid and whether it follows inflation.
BOT are short-term, up to a year, and pay no coupons: you buy below face value and are repaid the face value, so the yield is the difference. BTP have longer maturities and pay fixed coupons every six months. CCTeu pay coupons linked to the six-month Euribor plus a spread. BTP Italia are linked to Italian inflation and aimed at retail investors. BTP Valore are reserved for retail savers and have coupons set in advance that rise over time.
Government bonds are not risk-free. The issuer can default, which is a low-probability risk for a large economy but not zero, and the price of existing bonds falls when market rates rise, so selling before maturity can mean a loss. If you hold to maturity you get the capital back, but inflation can have reduced what it can buy. A large share of your savings in one country's debt is also a concentration.
Interest and gains on Italian government bonds are taxed at 12.5%, against 26% on most other financial income. On a €1,000 coupon the tax is €125, leaving €875. The Treasury also states that these bonds are not subject to inheritance tax. Always compare yields after tax, not before.
Buoni fruttiferi postali are savings bonds issued by Cassa Depositi e Prestiti and sold at Poste Italiane. The Revenue Agency lists them among the securities taxed at 12.5%. Each series has its own terms, and the interest usually depends on how many years you hold the bond. Read the terms of the exact series before assuming a rate.
A bond held to a fixed date fits the term investment account type, which has a maturity date. Patrimony keeps the amount you last entered until maturity instead of guessing how it accrues, and after maturity it asks what happened to the money. That avoids inventing a value you do not know.
General educational information, not personal financial, tax or legal advice. It may be incomplete or out of date. Terms of use.