Italy Inpatriates, countdown to 70% exemption as deadline for annual tax adjustments approaches
Inpatriates who transferred their tax residency in Italy as of January 1, 2020 need to prove their Employer by the end of December 2020 that they are entitled to 70% exemption applicable to the employment income produced in Italy by inbound workers who were not resident in Italy during the two years prior to the transfer in Italy and who are committed to remain in Italy for at least two years....
ITALY – FAVOURABLE TAX REGIME IN ITALY
The Italian Government approved the Growth Decree, which entered into force starting from May 1, 2019.
1. Expatriates. Provisions in favor of expatriate personnel have to be highlighted as those who transfer their residence in Italy starting from FY 2020 may benefit from a 70% tax exemption on their income from employment, director’s income and self-employment income.
The...
Italy – This time Gucci’s owner Kering SA owes about € 1.4 billion to Italy in back taxes
Kering SA, the Paris-based luxury goods conglomerate, which owns brands such as Gucci, Saint Laurent, Balenciaga, and Alexander McQueen revealed that the Italian tax authorities completed a tax audit report covering the years 2011 through 2017. According to the tax audit report, Luxury Goods International (LGI), a Swiss subsidiary of Kering, conducted business activities in Italy which...
Italy – New tax regime for “high net worth individuals”
As of the tax year 2018 it is possible to apply for the new tax regime for “high net worth individuals” based on which a fixed tax amount of Euro 100,000 is due for income derived outside Italy.
The new flat tax:
absorbs the progressive taxes deriving from employment income derived outside of Italy;
absorbs all substitute taxes due on foreign dividends from non-qualified...
Deadline for regularizing financial and estate assets held abroad
July 31, 2017 is the deadline for regularizing the financial and estate assets held abroad by individuals who, in the years between 2009 and 2015 (and in some cases since 2004), qualified as resident taxpayers in Italy. The assets object of the voluntary disclosure procedure are also those instruments such as stock options, shares, restricted stock units, phantom stocks, stock appreciation...
Further tax reductions next year
On August 18, Italian Premier Matteo Renzi said his Government will continue to make further tax reductions next year. He promised that he will continue to “work to reduce taxes.” He cited, for example, the introduction in 2014 of the Euro 80 (USD 90) -per-month bonus tax deduction, the inclusion of labor costs in the calculation of the regional tax on production in 2015, and the...