Civil disability benefits and declared income: when INPS cannot recover payments

INPS’s access to income information is central to assessing a demand for repayment of social assistance benefits. Where the Institute knew, or could have known, the relevant information and the recipient did not act fraudulently, reliance on the regularity of payments must be considered. The Tribunal of Foggia examined this issue in judgment No. 1042 of 17 April 2026.

INPS sought €4,071.73 in respect of a civil disability benefit paid between January 2022 and December 2023, alleging that the income limits had been exceeded. The claimant challenged recovery, pointing out that the start of employment had been reported and the income declared for tax purposes.

The judge applied the specific rules governing social assistance overpayments, rather than treating repayment as an automatic consequence of the general rule in Article 2033 of the Italian Civil Code. On the approach adopted in the judgment, the recipient’s responsibility for the payment and the circumstances supporting legitimate reliance had to be examined.

The recovery decision was issued on 21 February 2025 and communicated on 8 March, after the disputed payment period. The Tribunal also found that INPS could have ascertained the income through the 730/2022 and 730/2023 tax returns. It accordingly ruled out fraudulent conduct by the claimant.

The claim succeeded and the entire €4,071.73 was declared irrecoverable. The decision does not establish that any tax declaration invariably prevents recovery. It rests on the actual accessibility of the income information, the recipient’s conduct and the sequence of INPS’s decisions and notifications.

View the court decision (PDF) ↗

https://studiolegalecelentano.com/en/news/income-requirements-and-legitimate-expectations