REDUCTION OF RESTRAINT ON EU DIVIDENDS

Following the restatement of the value of the IRES tax rate, amounting to 24%, the italian 2016 Budget Law stated the reduction of the European withholding tax to the extent of 1.2% (5% of the IRES rate of 24%) on all distributions made from January 1 2017, regardless of the accrual date of the profit. This provision is introduced in order to guarantee the homogeneity of the tax burden between resident and the EU companies. In the past, against dividends distributed to EU companies was applicationed the internal withholding tax, equal to 27 %, or conventional from 5% to 15%, unlike the 1,65 % (5% of the 33% IRES rate in effect until 2007) envisaged in relation to the dividends received by Ires resident.

Out staff is available for any clarification.