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published on 18 November 2020 | reading time approx. 7 minutes
The Decree Law no. 149 of 9 November 2020 (the so-called “Ristori-bis” Decree) was published in the Italian Official Gazette, containing “Further urgent measures on health protection, support to workers and businesses and justice, related to the epidemiological emergency caused by COVID-19”.
Below you can find the main tax and contribution relief measures introduced by the decree, in force since 9 November.
The list of beneficiaries of the non-repayable grant already provided for by the Ristori Decree no. 137 of 28 October 2020, listed in Annex 1 of the new Decree, is now extended and replaces Annex 1 of the Ristori Decree. For some operators (ice-cream parlours and street bakeries, bars and other similar businesses without a kitchen, hotels) already eligible for the grant, which are subject to additional restrictions on activities under the measures provided for the so-called orange and red areas, the contribution is increased by a further 50 per cent. A new non-repayable contribution is also established for the categories of businesses identified in Annex 2 (among others, department stores and a large number of retailers) that operate in areas characterized by a scenario of maximum severity and a high level of risk (so-called red areas). The contribution will be disbursed following the procedure already adopted by the Italian Tax Authority for the contributions provided for in the Rilancio Decree and for those introduced with the Ristori Decree. The value of the contribution is calculated, based on the provisions of paragraphs 3 to 11 of Decree Law no. 137/2020, with the unique percentage of 200 per cent for all ATECO codes indicated in Annex 2. It is confirmed that the contribution is not payable to those who have activated the VAT registration number after 25 October 2020.
With paragraph 4 of art. 1, the contribution provided for by DL no. 137/2020 is granted for the year 2021 to those operating in shopping centers and to those operating in the food and beverage industry, affected by the new restrictive measures introduced by the DPCM of 3 November 2020. For this purpose a fund of 280 million euros is set up. The contribution will be determined within 30 per cent of the contribution provided for by the Ristori Decree, for those who perform as their main business one of those activities included among the ATECO codes listed in Annex 1. For those carrying out as prevalent activity one of those referred to by the ATECO codes that are not included in Annex 1, the contribution shall be subject to the conditions set forth in paragraphs 3 and 4 of article 1 of the Ristori Decree (amount of the turnover and fees for the month of April 2020 less than two thirds of the amount of the turnover and fees for the month of April 2019 or without the need to verify the reduction in the case of activities started on or after 1 January 2019) and shall be determined within 30 per cent of the value calculated on the basis of the data contained in the submitted application and the criteria set forth in paragraphs 4, 5 and 6 of article 25 of the Ristori Decree. The contribution will be paid by the Tax Authority after the submission of an application in accordance with the procedures disciplined by a forthcoming provision of the Director of the Tax Authority, as already provided for in paragraph 11 of Art. 1 of the above mentioned DL no. 137/2020.
For companies that carry out the activities listed in Annex 2, to which the new non-refundable contribution is recognized, and for travel agencies and tour operators active in the so-called red zones, the provisions of art. 8 of the Ristori Decree are extended. It is in fact provided for a tax credit, transferable to the owner of the rented property, equal to 60 per cent of the monthly amount of rent, leasing or concession of real estate for non-residential use intended for the performance of industrial, commercial, craft, agricultural, tourist interest or the habitual and professional exercise of freelance activities or 30 per cent of the fees for service contracts for complex services or business lease, including at least one property for non-residential use intended for the activity, for the months of October, November and December. The reference to the Ristori Decree should imply that also this “new“ credit is applied regardless of the revenues or compensation recorded in the previous tax period, while, for everything else, should apply the discipline of the original art. 28 of DL 34/2020 (already mentioned in turn by art. 8 of the Ristori Decree). In particular, given the replacement by the Ristori-bis Decree of Table 1 attached to the Ristori Decree, the list of ATECO codes indicated in it is widened, with the effect of broadening the range of beneficiaries of the tax credit rentals ex art. 8 of DL 137/2020. Moreover, as a result of this replacement, it should be noted that the beneficiaries of the tax credit under the Ristori Decree will be able to benefit from the tax credit for the months of October, November and December, with no limit on revenues, wherever they have their operating seat.
Article 5 provides for the cancellation of the second installment of the IMU (local municipal tax), due on 16 December 2020, for the buildings and related appliances located in the municipalities belonging to the so-called red zones where the activities referred to by the ATECO codes in Annex 2 are carried out. It is still essential, in order to benefit from the relief, that the owner of the property is also the business manager of the activity that is conducted in it. The Decree does not modify the provisions of art. 78 of the Agosto Decree (D.L. n. 104/2020) regarding the IMU exemption for the tourism and entertainment industries, according to which no correspondence is required between the owner of the property and the manager of the activity exercised, and art. 9 of D.L. n. 137/2020.
The postponement to 30 April 2021 of the deadline for the payment of the second or unique installment of the income tax and regional business tax due for the tax period following the tax period ending 31 December 2019 (i.e. 2020 for “solar“ entities), already introduced by Article 98, paragraph 1, of the Agosto Decree, for entities engaged in economic activities for which the ISA have been approved, operating in the economic sectors listed in Annexes 1 and 2, having their fiscal domicile or operating seat in the so-called red zones, or for those operating in the so-called orange zones, applies regardless of the decrease in turnover or fees for the first half of 2020. The Ristori-bis Decree affects the „objective“ requirement, removing the obligation for the parties to comply with the requirement of a decrease in turnover or fees in the first half of 2020 of at least 33 per cent compared to the same period of the previous year. No reimbursement of what has already been paid is envisaged.
For those operating in the economic sectors affected by the restrictive measures provided for by the DPCM of 3 November 2020, who have their fiscal domicile, legal or operating seat in any area of the national territory, for those who carry out the activities of catering services who have their fiscal domicile, legal or operating seat in the so called orange and red zones, as well as for those who operate in the economic sectors identified in Annex 2, i.e. those who carry out hotel, travel agency or tour operator activities, and who have their fiscal domicile, legal or operating seat in the red zones, the payment terms expiring in the month of November 2020 will be suspended. The suspension concerns the payments of withholding taxes on income from employment and similar, withholdings related to the regional and municipal IRPEF surtax, made as tax withholding agents and payments related to VAT. With reference to VAT, therefore, fall within the suspension both the payment relating to the month of October, and that relating to the third quarter, due on November 16, in addition to payments due at the end of November, relating to the tax owed on intra-EU and non-EU purchases, by non-commercial entities and exempt agricultural producers. These payments shall be made, without application of sanctions and interest, in a single installment by 16 March 2021 or by up to a maximum of 4 monthly installments of equal amount, with payment of the first tranche by 16 March 2021. No reimbursement of what has already been paid is envisaged.
Article 11 provides for the suspension of contributions due in November 2020 for private employers belonging to the industrial sectors identified in Annex 1. However, this suspension does not apply to premiums for INAIL compulsory insurance. The payment of social security and welfare contributions due in the month of November 2020 is also suspended in favor of private employers belonging to the industries identified in Annex 2, which have productive or operative plants in the so-called red zones. The payments of social security and welfare contributions suspended shall be made, without application of sanctions and interest, in a single installment by 16 March 2021 or by up to a maximum of 4 equal monthly installments, with payment of the first installment by 16 March 2021. The forfeiture of the benefit of the installment payment occurs in case of non-payment of 2 installments, even if not consecutive.
To the benefit of companies belonging to the agricultural, fisheries and aquaculture sectors, including wine and beer producers, which carry out the activities identified by the ATECO codes in Annex 3, art. 21 provides for the exemption also for the month of December 2020 from the payment of social security and welfare contributions, with the exception of premiums and contributions due to INAIL, for the employers' share. The Ristori Decree already provided for the same exemption for the month of November 2020.
For the purposes of the indemnity payment of 800 euros referred to in art. 17 of the Ristori Decree in favour of workers employed with working relationships with CONI, the Italian Paralympic Committee, national sports federations, associated sports disciplines, sports promotion bodies acknowledged by CONI and CIP, amateur sports clubs and associations, all working relationships expired on 31 October 2020 and not renewed shall be considered terminated due to the epidemiological emergency.
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