Government measures in key jurisdictions 3rd edition final - Flipbook - Page 77
Italy
•
: Taxpayers can benefit from a
tax credit equal to 20% of any capital increase (up to €2 million) in certain qualified Italian-based
companies. In addition to the above, the qualifying Italian-based companies increasing their
capital are also themselves entitled to a tax credit (up to a maximum of 30% of the capital
increase) equal to 50% of the net operating losses exceeding 10% of their net equity. The total
amount of benefits is capped to overall €800,000 per company. The tax credit applies subject to
the following conditions: (i) the capital increase is resolved and fully paid between 20 May 2020
and 31 December 2020, (ii) the companies resolving the capital increase had, in 2019, a turnover
between €5 million and €50 million (on a group consolidated basis) and suffered a turnover
reduction during March and April 2020 of at least 33% compared to the same months of 2019 (on
a group consolidated basis). A recapture mechanism will apply if, before January 2024, one of the
following cases occurs: (i) transfer of the shares or quotas received upon the capital increase, (ii)
distribution of reserves. The implementation of this provision is subject to the authorization of the
European Commission.
•
: Individuals investing in one or
more innovative start-ups or in innovative small-medium enterprises starting from 19 May 2020
can benefit from an allowance for personal income tax (so-called “IRPEF”) purposes equal to 50%
of the investment made. This benefit is capped at €100,000 for each tax year. The investment is
subject to a lock-up period of 3 years (otherwise a recapture mechanism will apply).
•
: Individuals can set off in 5 yearly
instalments an amount equal to 110% of certain qualified renovation expenses (aimed at either
increasing the energy efficiency, reducing the seismic risk, installing photovoltaic systems or
devices for charging electric vehicles) incurred between 1 July 2020 and 31 December 2021. The
tax benefit can be used for either: (i) a discount by the service provider on the agreed fee for the
relevant work, since the service provider will be entitled to enjoy a tax credit corresponding to
the discount made or to assign for consideration such credit to third parties, or (ii) the
conversion of the tax allowance into a tax credit, which could be either enjoyed or assigned for
consideration to third parties, including banks and financial intermediaries. The assignees of the
tax credit can use the relevant tax benefit to set it off against their own tax liabilities (in the same
residual yearly instalments available to the taxpayer prior to the transfer or assignment). Any
yearly deductible instalment not used to set off tax liabilities cannot be carried forward or
claimed for refund. The benefit is capped to €30,000 or to €60,000 per residential unit,
depending on the type of works.
•
: A 30% deduction from income tax due is
granted, up to an amount of €30,000, for donations in cash or in kind, by natural persons or noncommercial entities, to finance measures to contain and manage the COVID-19 emergency. The
same kind of donations made by companies are fully deductible for corporate income tax
purposes.
Company
law matters
All companies are allowed to hold shareholders’ meeting by means of telecommunication
– even in case their by-laws do not set forth specific provisions for such purpose – provided that
identification of participants, their attendance and voting rights are guaranteed.
Have any measures
been put in place to
accommodate social
distancing (such as
remote general
meetings)?
The requirement under which the chairman and the secretary of the meeting shall be in the same
location – even when expressly provided for in the company by-laws – is also derogated.
Government measures in key jurisdictions
77