Italy To Announce Tax Break For Investors In SMEs
In a newspaper interview, Italy’s Minister of Finance and the Economy, Pier Carlo Padoan, has disclosed that the Government will shortly introduce a decree providing a tax break for investors in Italian small- and medium-sized enterprises (SMEs).
An interview with Corriere della Sera on May 7, Padoan indicated that legislation will be introduced containing measures to direct additional investment towards the growth and competitiveness of SMEs. He emphasized that a large number of Italian SMEs (95 percent of businesses in Italy have fewer than ten employees) have a need to recapitalize in order to grow in size and access foreign markets.
There is, he said, a need to “incentivize long-term investments in SMEs” by way of a “tax exemption on investors’ profits.” According to official estimates, a zero tax on income from private investments in SMEs by way of specialized products, such as long-term investment plans, could produce additional funds for the sector of around EUR10bn (USD11.4bn) a year.
Source: Tax News
