PEX SCHEME FOR PROPERTY DEVELOPMENT COMPANIES
Property development companies that carry out a business activity, have no employees and execute urban regeneration works through a management company meet the commercial activity requirement for participation exemption purposes (Italian tax authority, answer to request for advance ruling 744 dated 27 October 2021).
TAX-EXEMPT INTEREST ON POSTAL SAVING BONDS
Interest payments, premiums and other awards of postal saving bonds under article 6 of the Italian legislative decree 239/1996 are exempt from substitute tax, provided that: (i) all joint holders of the bonds are resident in a white-list country for the entire term during which they held the bonds and (ii) the bonds were deposited with an authorized resident intermediary. In the event of bonds jointly held by taxpayers subject to different tax schemes, no exemption scheme can be applied (Italian tax authority, answer to request for advance ruling 647 dated 1 October 2021).
FISCAL COST OF INHERITED FOREIGN SECURITIES
In the event of foreign shares and bonds not subjected to inheritance tax in Italy, the resident heir must bear the purchase price of the deceased party (de cuius). Indeed, in this case section 68 (6) of the Italian Tax Code (TUIR), according to which <<the final value, or in the absence thereof, the value declared for inheritance tax purposes must be born>> does not apply in the absence of inheritance tax liability since the requirement which allows for a "revaluation" of the inherited participation is no longer met (Italian tax authority, answer to request for advance ruling 675 dated 7 October 2021).
INCOME OF A CIVIL PARTNERSHIP (SOCIETÀ SEMPLICE)
The sale by a civil partnership of properties held for more than five years is not subject to tax. Hence, no income from participation is allocated to the partners according to the tax transparency principle since no taxable events are attributable to the company. The subsequent distribution of the sums from said sale to the partners cannot be taxable on behalf of the partners since the allocated sums are derived from income which is not taxable to the company (Italian tax authority, answer to request for advance ruling 689 dated 8 October 2021).
In the event of company liquidation, the amount of tax-exempted income or income subject to substitute tax yielded by the civil partnership, therefore, increases the fiscally recognized cost of the participation held by the partners of the civil partnership (Italian tax authority, answer to request for advance ruling 691 dated 8 October 2021).
PHOTO SHOOTING FEES AND IMAGE RIGHTS
Fees paid to non-resident photo shooting testimonials and the respective rights of use of the image form "additional" income to the income from self-employment yielded by the professional (singer, actor, etc.). These fees are taxable in Italy pursuant to section 23 (1d) of the Italian Tax Code (TUIR) since the place of performance of the artist or the professional service to which the fees relate to is Italy (place of performance of the photo shooting sessions), whereas the place in which the right of image is excercised is of no importance (Italian tax authority, answer to request for advance ruling 700 as of 11 October 2021).
AMENDMENT TO DEPRECIATION SCHEDULE FOR WIND POWER PLANTS
In the event of separation of the intangible and the tangible part of a wind power plant as of 1 January 2016, the commercial law and tax mismatch on 31 December 2015 may be de-aligned separately for the two parts (intangible - 4 percent tax rate and tangible - 9 percent tax rate) and must start as of the business year in which taxes to be "offset" are generated, i.e. as of the year in which the maximum tax depreciation rate, calculated based on the tax rates specified in the Italian ministerial decree as of 31 December 1988, exceed the depreciation share allocated to the profit and loss account, and must occur at the highest possible amount set forth by law to avoid any contingent arbitrariness (Italian tax authority, answer to request for advance ruling 724 dated 18 October 2021).