Pete Davidson Hand in Hand Stroll with Margaret Qualley

Pete Davidson's putting dating rumors to rest and making it crystal clear he IS definitely dating Margaret Qualley -- romantic strolls in Italy will do that.

Pete and Margaret were holding hands Monday while they walked through Venice, and they couldn't look happier. It's Pete in full-blown couple mode again, and they look pretty comfortable around each other. Margaret was chill in a cream tank dress, while Pete repped Biggie Smalls.

As we reported ... rumors had been flying that Pete and Margaret -- who's Andie MacDowell's daughter, btw -- were an item for a while now. They hadn't been seen this close before, but the Venice Film Fesitval has been their coming out. They were together at the screening of her new flick, "Seberg."

They didn't walk the arrival line together but he did sit behind her inside the screening.