Italian lady could be soaring (7)
I believe the answer is:
signora
'italian lady' is the definition.
(I've seen this before)
'could be soaring' is the wordplay.
'could be' indicates an anagram.
'soaring' is an anagram of 'SIGNORA'.
(Other definitions for signora that I've seen before include "wife on the Continent" , "lady in Milan" , "Mrs (Ital.)" , "Italian madam or Mrs" , "married woman in Florence?" .)