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Republishing The Text Of Legislative Decree 12 December 2003, N. 344, Stating: "tax Reform On Dellesocieta 'income, In Accordance With Article 4 Of The Law April 7, 2003, N. 80 ', Together With Accompanying Notes. (Legislative Decree Pub ...

Original Language Title: Ripubblicazione del testo del decreto legislativo 12 dicembre 2003,n. 344, recante: «Riforma dell'imposizione sul reddito dellesocieta', a norma dell'articolo 4 della legge 7 aprile 2003, n. 80»,corredato delle relative note. (Decreto legislativo pub...

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Warning: it proceeds to republish the text of Legislative Decree 12 December 2003, n. 344, together with the related notes, in accordance with art. 8, paragraph 3, of the consolidated text of the Regulations of the provisions on the promulgation of laws, the enactment of the decrees of the President of the Republic and the official publications of the Italian Republic, approved by Decree of the President of the Republic March 14, 1986, n. 217. It remains unchanged the value and effectiveness of the legislative act transcribed. Art. 1. Changes to the consolidated income tax 1. The consolidated law on income tax, of the Decree of the President of the Republic December 22, 1986, n. 917, and 'amended as follows: Chapter I INCOME TAX OF INDIVIDUALS Chapter I General Provisions Art. 1. Prerequisite tax .................... Art. 2. taxable persons .................... Art. 3. taxable amount .................... Art. 4. Spouses and minor children .................... Art. 5. Income products in form associated ............. ....... Art. 6. Classification of income .................... Art. 7. tax Period ......... ........... Art. 8. Determination of total income 1. the total income is determined by adding the income of each category that combine to form it, and subtracting the losses from operations of busine-whether commercial in Article 80 and those arising from the exercise of trades and professions. Not a component of the overall income of the percipient fees not allowed as a deduction under Article 60. 2. ........ ........ 3. Art. 9. Determination of income and losses 1. the income and losses that go to make up total income are determined separately for each category, according to the provisions of the succeeding leaders, according to the total net profit of all the assets that fall under the same category. 2. The calculation of income and losses fees, income, expenses and charges in foreign currency are valued at the exchange rate of the day in which they were received or incurred, or on the day before most 'neighbor and, failing that, according to the exchange of the month in which they were earned or incurred; than in kind are valued according to the normal value of goods and services from which they are made. In the event of contributions or contributions in society 'or other organizations considering the consideration obtained the normal value of goods and credits granted. If the shares or securities received are traded on regulated Italian or foreign markets and the assets or in the intake and 'proportional, the amount can not' be less than the normal value determined in accordance with the following paragraph 4, letter a). 3. The normal value, except as provided in paragraph 4 for the goods referred to therein, shall be the price or consideration average sum for the goods and services of the same or similar, in conditions of free competition and at the same stage of marketing, in time and place at which the goods or services were acquired or provided, or, failing that, at the time and place most 'coming. For the determination of normal value, it refers, as possible, to the lists or the rates of the individual who provided the goods or services and, failing that, to the mercurial and the lists of the Chambers of Commerce and professional fees, taking into account the discounts of use. For goods and services subject to price regulation refers to the measures in force. 4. The normal value and 'given: a) for equities, bonds and other securities traded on Italian or foreign regulated markets, according to the average price for the last month; b) for other actions, for the shares of companies 'non-equity and equity securities or shares in the capital of entities other than the company', in proportion to the net asset value of the
society 'or institution, or, for companies' or newly established entities, the total sum of contributions; c) for bonds and other securities other than those referred to in subparagraphs a) and b), comparatively to the normal value of securities with similar characteristics traded on regulated Italian or foreign markets and, failing that, on the basis of other elements can be determined objectively . 5. For the purposes of income tax provisions relating to the taxable person shall also apply to acts for consideration importing constitution or transfer of real rights and contributions in society '. Art. 10. deductible expenses .................... Art. 11. Deduction to ensure progressivity 'imposition 1. From the total income net of deductible charges Article 10 is deduced the amount of 3,000 Euros. 2. 3. ........ ........ ........ 4. 5. The deduction referred to in the preceding paragraphs is up for the part corresponding to the ratio between the amount 26,000 euro, increased deductions indicated in paragraphs 1 to 4 and expenses deductible under Article 10, and decreased the total income, and the amount of 26,000 Euros. If the above ratio 'greater than or equal to 1, the deduction competes in full; if the same and 'zero or less than zero, the deduction does not compete; in other cases, the purpose of the aforesaid report, are included in calculating the first four decimal places. Art. 12. tax determination 1. ........ 1-bis. ........ ........ 2. 3. net tax shall be deducted the amount of tax credits due to the taxpayer pursuant to Article 165. If the amount of the claims sets and 'higher than net tax the taxpayer is entitled, at its option, to compute the surplus decreasing tax for the next tax period or claim a refund when the tax return. Art. 13. Deductions for .................... Art family responsibilities. 14. Other deductions ............... ..... Art. 15. Deduction for expenses .................... Art. 16. Deductions for rental income ......... ........... Art. 17 separate taxation .................... Art. 18. replacement of Taxation of foreign source investment income 1 . the income payable by non-resident to resident individuals against whom in Italy applies the withholding tax or substitute tax provided for in Article 2, paragraph 1-bis and 1-ter of legislative decree 1 April 1996, n. 239, are subject to a substitute tax of income tax at the same rate of withholding tax title. The taxpayer has the right 'not to make use of the substitute tax regime and in this case entitled to the tax credit for foreign income. The provision in the previous sentence does not apply to distributions of profits referred to in Article 27, fourth paragraph, of the Decree of the President of the Republic September 29, 1973, n. 600. 2. We consider paid by non-residents also interest and other income from bonds and other securities referred to in Article 31 of Presidential Decree of 29 September 1973, n. 601 as well as 'those with equivalent tax treatment, issued abroad as from 10 September 1992. Art. 19. Indemnity' end ................... report . Art. 20. pension benefits .................... Art. 21. Determination of tax for other income taxed separately 1. for other income taxed separately, excluding those referred to in subparagraph g) of paragraph 1 of Article 17 and those attributed to its shareholders in consideration of liquidation, including bankruptcy, referred to in subparagraph l) of the same paragraph 1 of Article 17, the tax and 'determined by applying to the amount received, the rate that corresponds to the' revenue goal
total shareholders of the taxpayer in the two years preceding the year in which it 'built the right to their perception or, for income and the sums indicated, respectively, in the letters b), c-bis) and n-bis) of paragraph 1 of 'Article 17, the year in which they are perceived. For income referred to in subparagraph g) of paragraph 1 of Article 17 and for those charged to members depending liquidation, including bankruptcy, referred to in subparagraph l) of the same paragraph 1 of Article 17, and the tax ' determined by applying to the amount obtained or accused, the rate corresponding to the goal 'of the total net income of the taxpayer in the two years preceding the year in which the income was earned or defendants respectively. If the sums obtained by way of reimbursement referred to in point n-bis) of paragraph 1 of Article 17 and 'the deduction was recognized, the tax and' determined by applying a rate not exceeding 27 per cent. ........ ........ 2. 3. 4. 5. ........ ........ Art. 22. Deduction of advances 1. Dall 'tax calculated pursuant to the preceding articles will scomputano order: a) the amount of credits for taxes paid abroad according to the procedures' referred to in Article 165; b) the payments made by the taxpayer in an advance payment; c) withholding at source by way of advance payment made, before the filing of the tax return, the income that go to make up total income and those taxed separately. The withheld after the submission of the tax return is scomputano tax relating to the tax period in which they were made. The withholding income tax of society ', associations and businesses referred to in Article 5 is scomputano, in the proportion established there, from the tax due by the individual members, associates or participants. 2. If the total amount of tax credits, payments and withholding, and 'higher than the net tax on total income, the taxpayer has the right, at its option, to compute the surplus decreasing tax of the tax period subsequent or claim a refund when the tax return. For incomes taxed separately, if the amount of withholdings, payments and credits and 'higher than net tax referred to in Articles 19 and 21, the taxpayer is entitled to a refund of the excess. Art. 23. Application of tax to non-residents 1. For the purpose of charging against non-residents has its source in the State: a) income from land; b) the income payable by the State by persons resident in the territory of the State or by permanent establishments in the territory of the same non-residents, excluding interest and other income from bank and postal deposits and current accounts; c) the compensation of employees paid in the State, including income similar to those of employee referred to in subparagraphs a) and b) of paragraph 1 of Article 50; d) the self-employment income from activity 'exercised in the State; e) the business income from activity 'exercised in the State through a permanent establishment; f) income from the various activities' carried out in the territory of the State and assets that are located in the same territory as well as' capital gains arising from the disposal for consideration of shareholdings in companies' residents, with the exception of: 1) the reserves referred the letter c-bis) of paragraph 1, Article 67, arising from the disposal for consideration of shareholdings in companies' residents traded on regulated markets, wherever held; 2) of the c-ter) reserves referred to the letter of the same article from the sale for consideration or by reimbursement of non-title to goods, and traded on regulated markets of mass certificates, as well as' from disposal or withdrawal of foreign currencies arising from deposits and current accounts; 3) income referred to in letters c-quater) and c-d) of the same article in contracts concluded, including the involvement of intermediaries, on regulated markets; g) income referred to in Articles 5, 115 and 116 attributable to members, associates or non-resident participants. ........ 2. Art. 24. Determination of tax payable by non-residents ....................
Chapter II land Income Art. 25. land Income .................... Art. 26. Allocation of income from land ............ ........ Art. 27. income dominicale of land .................... Art. 28. Determination of income dominicale ...... .............. Art. 29. income Changes dominicale .................... Art. 30. Complaint and effect of .................... changes Art. 31. losses for crop failure and natural events ................. ... Art. 32. agricultural income .................... Art. 33. Allocation of agricultural income ............. ....... Art. 34. Determination of agricultural income .................... Art. 35. losses for crop failure and natural disasters ... ................. Art. 36. income of buildings .................... Art. 37. Determination of of .................... Art manufactured income. 38. income Changes buildings .................. .. Art. 39. Effective date of changes .................... Art. 40 newly constructed buildings ............. ....... Art. 41. Unita 'property not locate ..................... Art. 42. rural buildings ....... ............. Art. 43. Properties of non-productive land income .................... Chapter III of Art capital income. 44. equity income 1. income from capital: a) interest and other income from loans, deposits and current accounts; b) interest and other income from bonds and similar securities, other securities other than shares and similar securities, as well as' the mass certificates; c) perpetual annuities and annual performance perpetual referred to in Articles 1861 and 1869 of the Civil Code; d) the remuneration for the performance bank guarantee or other security; e) profits derived from participation in the capital or equity of companies 'and entities subject to the companies' income, subject to the provisions of letter d) of paragraph 2 of Article 53; and 'ricompresa as profits in excess of the remuneration of the loans referred to in Article 98 provided directly by the shareholder or its related parties, even during the investigation; f) gains from joint ventures and contracts mentioned in the first paragraph of Article 2554 of the Civil Code, subject to the provisions of the letter c) of paragraph 2 of Article 53; g) Income from operations, in the collective interest of plurality 'of individuals, masses of capital constituted by sums of money and goods entrusted by third parties or from the relevant investments; g-bis) income from contango and repurchase agreements on securities and currencies; g-ter) Income from securities lending; g-quater) income included in the capital paid in dependence of life insurance contracts and capitalization; g-d) income derived from the returns of pension benefits referred to in h-aa) of paragraph 1 of Article 50 provided in periodic form and annuities having social security function; h) interest and other income from other reports relating to the investment of capital, excluding relationships through which they can be made positive or negative differences in dependence on an uncertain event. 2. For the purposes of income tax: a) are considered similar to shares, securities and financial instruments whose remuneration and 'fully formed from
participation in the economic results of the company 'issuer or of other societa' of the same group of the deal or in relation to which the securities and financial instruments have been issued; b) holdings in the capital or assets of the company 'and the entities referred to in Article 73, paragraph 1, letter d), represented and not represented by securities, they are considered similar respectively to the shares or to shares of companies' responsibility to 'limited if its remuneration if paid by a company' lives would be fully deductible in the determination of business income as a result of the provisions of article 109, paragraph 9; c) are considered similar to bonds: 1) the bearing bonds issued by companies' operators hire purchase of vehicles, authorized under Article 29 of Royal Decree-Law 15 March 1927, n. 436, converted into Law 19 February 1928, n. 510; 2) mass titles containing the unconditional obligation to pay at maturity an amount not less than that indicated in them, with or without the internal payments, and that do not give any right to direct or indirect participation in the management issuer or of the enterprise for which they were issued, it 'controls on the management. Art. 45. Determination of the investment income .................... Art. 46. Payments of members 1. The amounts paid to companies' commercial and to the institutions mentioned Article 73, paragraph 1, letter b), by their members or participants are deemed to mortgage dates if the balance sheets or statements from such parties does not appear that the payment and 'been done for other reasons. ........ 2. Art. 47. 1. Gains from investments Except for the cases referred to in Article 3, paragraph 3, letter a), the distributed profits in any form and under any name from the companies' or by the entities listed in Article 73, also on the occasion of the liquidation, they bear to the total taxable income limited to 40 percent of their amount. Regardless of the shareholder resolution, they are presumed primarily distributed profit for the year and reserves other than those of paragraph 5 for the portion of them do not shelved pending taxation. 2. Gains from the contracts referred to in subparagraph f) of Article 44 bear to the total taxable income in the same percentage referred to in paragraph 1, if the value of the transaction is greater than 5 percent or 25 percent the net book value of the assets at the date of signing of the contract, depending on whether the company 'whose securities are traded on regulated markets or other investments; if the entrepreneur recognizes income under the provisions of Article 66, gains in the previous period bear to the total taxable income of the associated in the 40 percent extent, if the intake and 'greater than 25 percent of the sum of the closing inventories of articles 92 and 93 and the total cost of depreciable assets as determined by the criteria set out in Article 110, net of related amortization. 3. In the case of distribution of profits in nature, the taxable value and 'determined in relation to the normal value thereof on the date identified by the letter a) of paragraph 2 of Article 109. 4. Notwithstanding the preceding paragraphs, contribute fully added to the taxable income profits from companies' resident in countries or territories with privileged tax regime contained in the decree of the Minister of economy and Finance issued pursuant to Article 167, paragraph 4, except in cases in which the same are not already 'been charged to the shareholder pursuant to paragraph 1 of Article 167 and Article 168 or whether residing demonstration took place, following the exercise interpellation according to the procedures', paragraph 5, letter b), the same Article 167, that the conditions referred to in subparagraph c) of paragraph 1 of Article 87. 5. There are useful sums and assets received by the shareholders of the company 'subject to income tax of the companies' way of sharing of reserves or other funds established with sopraprezzi issue of shares, with interests
balance paid by subscribers of new shares, with payments made by shareholders lost or capital account and currency revaluation balances exempt from tax; However, the amounts or the normal value of goods received reduce its tax cost of the shares or units held. 6. In case of capital increase by means of transfer of reserves or other capital funds as bonus shares newly issued and the free increase of the nominal value of the already 'issued shares are not useful for members. However, if and to the extent that the increase and 'took place by crossing the capital of reserves or funds other than those indicated in paragraph 5, the reduction of surplus capital then deliberate and' considered the distribution of profits; the reduction was blamed with the earlier part of the overall increase in capital resulting from a capital steps of reserves or funds other than those indicated in paragraph 5, starting with the oldest, subject to the provisions of the laws on currency revaluation that have otherwise. 7. The sums or the normal value of the assets received by the shareholders in the event of withdrawal, exclusion, redemption and the exuberant capital reduction or liquidation even insolvency of the company 'and institutions are useful for the part that exceeds the price paid for the purchase or subscription of shares or cancel shares. 8. The provisions of this Article shall apply, as applicable, also for the profits from the participation in bodies other than companies', subject to under Title II. Art. 48. 1. Income taxed on other grounds are not valid as capital gains interest, profits and other income in the preceding articles obtained from the companies' and the entities referred to in Article 73, paragraph 1, letter a) and b), and by permanent organizations of the subjects referred to in subparagraph d) of that subsection, as well as' those achieved in commercial enterprises. 2. The proceeds referred to in paragraph 1, when they are not subject to withholding tax as tax or substitute tax, a component of the total income as components of business income. Chapter IV of Art Compensation of employees. 49. employee income .................... Art. 50. Wages similar to those of employees ..... ............... Art. 51. Determination of employment income .................... Art. 52. Determination of income similar to those of employee .................... Chapter V of self-employment income Art. 53. self-employment income ........ ............ Art. 54. Determination of self-employment income .................... Chapter VI corporate income Art. 55. corporate income 1. corporate income those derived from commercial enterprises. For exercise of commercial companies it means the operation for usual occupation, even though they are 'non-exclusive, of the attivita' indicated in the art. 2195 cc, and Activities' referred to in subparagraphs b) and c) of paragraph 2 of art. 32 exceeding the limits set out therein, though not organized in corporate form. 2. They are also considered business income: a) income accruing from the activities' organized in the form of direct enterprise to provide services that do not fall within Article. 2195 cc; b) the income of the attivita 'of exploitation of mines, quarries, peat bogs, salt marshes, lakes, ponds and other inland waters; c) income from land, for the part resulting from the exercise of the attivita 'agricultural in Article 32, albeit within the limits laid down therein where accrue to society' general partnership and limited partnerships as well as' to permanent establishments non-resident individuals operators activities' business. 3. The provisions in the field of income taxes that refer to the attivita 'commercial will apply, unless it is otherwise, all activities' mentioned in this article. Art. 56. Determination of business income
1. The business income and 'determined according to the provisions of Section I of Chapter II of Title II, except as provided in this Chapter. The rules of this Section I, relating to companies 'and organizations referred to in Article 73, paragraph 1 a) and b), also applies to the companies' general partnership and limited partnership. 2. If application of paragraph 1 results in a loss, this, net of income exempt from tax for the portion of any amount that exceeds the negative items not deducted in accordance with Articles 96 and 109, paragraphs 5 and 6, and 'computed deducted from total income in accordance with Article 8. 3. in addition to the proceeds referred to in subparagraphs a) and b) of Article 91, do not form part of income: a) the allowances' for the termination of relationships agency of individuals and of society 'of people; b) gains, the allowances 'and other income specified in subparagraphs g) to n) of paragraph 1 of Article 17, and when' required separate taxation in accordance with paragraph 2 of that Article. 4. For the purposes of paragraph 2 does not detect the exempt portion of the proceeds referred to in Article 87, determined as provided in this Chapter. 5. In respect of the subjects who exercise activity 'breeding of animals over the limit referred to in subparagraph b) of paragraph 2 of Article 32 the income from the excess in taxable business income in the amount determined by attributing to each head of an income equal to the average value of agricultural income attributable to each leader brought up within the same limit, multiplied by a coefficient appropriate to take account of the different impacts of the costs. The related costs and other expense items are not allowed as deductions. The average value and the coefficient of the first period are set every two years by the Minister of Economy and Finance, in consultation with the Minister of Agriculture and Forestry. The provisions of this paragraph shall not apply in respect of income referred to in Article 55, paragraph 2, letter c). The multiplier does not apply to farmers who use only the work of his family when, for the nature of the relationship, it does not lead the family business. The taxpayer right ', when the tax return, not to make use of the provisions of this paragraph. For the purposes of the report referred to in Article 96, the breeding of animals proceeds referred to in this paragraph shall be reckoned in the amount specified therein. Art. 57. Revenues 1. It includes among the revenues referred to in Article 85 the normal value of the goods indicated therein for personal consumption or family entrepreneur. Art. 58. Capital gains 1. For the capital gains arising from the disposal of the companies, the provisions of paragraph 4 of Article 86 shall not apply where, and 'required the separate taxation pursuant to paragraph 2 of Article 17. The transfer of business to cause of death or gratuitous act does not constitute realization of capital gains of the company; the company and 'taken at the same values ​​recognized for tax purposes in respect of the assignor. The criteria referred to in the preceding sentence shall also apply in cases where, following the dissolution, within five years from the opening of the succession, the company 'existing between the heirs, the aforementioned company remains acquired by one of them. 2. The reserves referred to in Article 87 do not form part of the taxable income as exempt limited to 60 percent of their amount. 3. Gains of assets related to the company a component of the income even if the goods are for personal consumption or entrepreneur or family purposes' other than exercising enterprise. Art. 59. Dividends 1. Dividends paid in any form and under any name from the companies' and the entities referred to in article 73, paragraph 1 a) and b) bear to the total income in the year they are perceived . The provisions of Article 47. 2. Gains arising under the contracts referred to in subparagraph f) of paragraph 1 of Article 44 do not form part of the total income for the year in which they are received, since they are excluded, limited to 60 percent of their amount. Art. 60. Expenses for job performance
1. There shall be allowed as a deduction in compensation for work done or the work performed by the entrepreneur, the spouse, the children, custody or minor affiliates of age 'or permanently unable to work and the ascendant as well as' the participating families the company referred to in paragraph 4 of Article 5. Art. 61. interest 1. interest expenses not counted in the determination of income not eligible for a tax deduction provided for in subparagraphs a) and b) of paragraph 1 of ' Article 15. Art. 62. Pro rata capital 1. for the purposes of Article 97, paragraph 1, the book value of the investments referred to in Article 87, finds the same percentage as referred to in Article 58, paragraph 2. Art. 63. contrast the use of tax under-capitalization of undertakings 1. For the application of the rule in Article 98 to sole proprietors the reference to socio means entrepreneurs and family businesses also to the entities referred Article 5, paragraph 5. Art. 64. General rules on the components of business income 1. the capital losses related to equity investments with the requirements of Article 87 and the specific costs related to the disposal of such investments, are Non-deductible in an amount corresponding to the percentage referred to in Article 58, paragraph 2. 2. the costs relating to the purchase of movable property pertaining to the exercise of promiscuously and use personal or family entrepreneur are depreciable or deductible in the case referred to in paragraph 5 of Article 102, to the extent of 50 per cent; to the same extent are deductible rents, including financial and rental and expenses relating to the use of such goods. For property used promiscuously and 'deductible an amount equal to 50 percent of the cadastral income or of rent, including financial, provided that the taxpayer does not have other property used exclusively for business purposes. Art. 65. Assets relating to the undertaking 1. For individual enterprises, for the purpose of income tax, are considered related to the company, in addition to the assets listed under a) and b) of paragraph 1 of Article 85, to those instrumental for the exercise of the enterprise and entitlements acquired in the enterprise itself, the assets belonging to the contractor shall be included in the activities' related to the enterprise inventory maintained under article 2217 of the code civil. The properties referred to in paragraph 2 of Article 43 are considered related to the enterprise only if specified in the inventory; for the persons referred to in Article 66, this indication can 'be made in the register of depreciable assets, ie according to the procedures' referred to in Article 13 of the Decree of the President of the Republic December 7, 2001, n. 435, and Article 2, paragraph 1 of the Decree of the President of the Republic December 21, 1996, n. 695. 2. 3. .......... .......... .......... 3-bis Art. 66. Minor Companies 1. ... ....... 2. the amortization are allowed as deductions in accordance with the provisions of articles 64, paragraph 2, 102 and 103, provided it is held on the register of depreciable assets. Disclosure of this quota can 'be carried out according to the procedures' of Article 13 of the Decree of the President of the Republic December 7, 2001, n. 435, and Article 2, paragraph 1 of the Decree of the President of the Republic December 21, 1996, n. 695. The losses of capital goods and credit losses are deductible in accordance with Article 101. It 's not allowed any deduction as a provision; However the provisions of Article 105 are deductible provided that they are entered in the records referred to in Article 18 of the decree mentioned in paragraph 1. 3. It shall apply in addition to those mentioned in the preceding paragraphs, the provisions of Articles 56, paragraph 5, 65, 91, 95, 96, 100, 108, 90, paragraph 2, 99, paragraphs 1 and 3, 109, paragraphs 1, 2, 5, 7 and 9, letter b) and 110, paragraphs 1 , 2, 5, 6 and 8. it also applies, with reference to income and capital gains that form the business income although not resulting from the recordings and annotations in the records referred to in Article 18 of the decree mentioned in paragraph 1, the provision of the last sentence of paragraph 4 of Article 109.
4. For brokers and sales representatives and for those carrying out the activities' mentioned in the first paragraph of Article 1 of the Decree of the Minister of Finance October 13, 1979, published in the Official Gazette no. 288 of 22 October 1979, the business income determined in accordance with the previous paragraphs and 'reduced, by way of lump-sum deduction of undocumented expenses, an amount equal to the following percentages of the amount of revenue: revenue up 3 percent to EUR 6,197.48; 1 percent of revenues over EUR 6,197.48 and up to € 77,468.53; 0.50 percent of revenues over EUR 77,468.53 and up to EUR 92,962.24. 5. For firms authorized the carriage of goods on behalf of third income determined in accordance with the previous paragraphs and 'reduced, by way of lump-sum deduction of undocumented expenses, of EUR 7.75 per person carriage performed by the entrepreneur besides the municipality where the company is located, but within the region or neighboring regions and € 15,49 for orders placed over this area. For the same companies compete, altresi ', an annual lump-sum deduction of € 154,94 for each vehicle or vehicle having the overall laden mass not exceeding 3,500 kg. The deduction is up only once for each transportation transaction date, regardless of the number of trips. The taxpayer must establish and maintain a schedule containing the indication of your journeys and their duration and location 'of the car bills or letters as well as destination' of the extremes of its goods transport documents or, in Article 56 the law of 6 June 1974 n. 298; transport documents, invoices and bills of lading must be retained until the deadline for the assessment. Chapter VII Wages different Art. 67. Other income 1. different incomes do not constitute income from capital, or if they are not achieved in the artistic, professional or commercial companies or by companies' general partnership and limited partnership, it 'in relation to the quality' of the employee: a) the capital gains realized through the allotment of land, or the execution of works intended to make them buildable, and subsequent sale, even partial, of land and buildings; b) the capital gains realized through the sale of real property assets purchased or built from nothing more 'than five years, excluding those acquired by inheritance or donation and joined' urban real estates that for most of the period between the purchase or construction and sale were used as main residence of the transferor or his family, as well as' in any case, the capital gains realized on the taxable land susceptible to edificatoria use according to existing planning instruments at the time of sale ; c) capital gains realized through the sale for consideration of qualifying holdings. It constitutes a supply of qualifying the sale of shares, other than savings shares, and any other equity or the equity of the company 'in Article 5, excluding associations referred to in paragraph 3, letter c), and the persons referred to in Article 73, paragraph 1, letters a), b) and d) as well as' the transfer of rights or securities through which such holdings may be acquired, if the equity investments, the rights or securities sold represent overall , a percentage of voting rights at ordinary than 2 or 20 per cent, or an equity or equity at the top 5 or 25 percent, depending on whether the securities traded on regulated markets or other investments. For the rights or securities through which they can be acquired shareholdings are taken into account potentially referable percentages to such holdings. The percentage of voting rights and participation, and 'determined taking into account all the disposals made in the course of twelve months, even though they are' against several parties. This provision shall apply from the date on which the shares, securities and rights held represent a percentage of voting rights or participation in higher percentages to the above. They are treated as capital gains referred to in this letter that achieved through:
1) disposal of financial instruments referred to in subparagraph a) of paragraph 2 of Article 44 when it does not represent a participation in the capital; 2) transfer of the contracts referred to in subparagraph f) of Article 44 if the value of the transaction is greater than 5 percent or 25 percent of the net book value of the assets at the date of signing of the contract, depending on whether the company 'whose securities are traded on regulated markets or other investments; 3) transfer of the contracts referred to in the previous issue if the value of the transaction is more than 25 percent of the amount of certain dell'associante goods according to the provisions laid down in paragraph 2 of Article 47 of the aforementioned single text; c-bis) gains, other than those taxed under subparagraph c), made by transfer for consideration of shares and any other equity or equity of society 'referred to in Article 5, excluding associations referred to in paragraph 3, letter c), and the persons referred to in Article 73 as well as' the rights or securities which can be acquired through such holdings. They are treated as capital gains referred to in this letter that achieved through: 1) the transfer of the contracts referred to in subparagraph f) of Article 44 if the value of the transaction does not exceed 5 per cent or 25 per cent of the asset value net carrying the stipulation of the contract, depending on whether the company 'whose securities are traded on regulated markets or other investments; 2) transfers of contracts as referred to in subparagraph if the value of the transaction does not exceed 25 percent of the amount of certain dell'associante goods under the provisions provided for in paragraph 2 of Article 47; c-ter) gains, other than those referred to in subparagraphs c) and c-bis), realized through the sale or redemption of no title to goods, mass certificates, foreign currencies, being sold to term or resulting from current and deposit accounts, precious metals, sempreche 'are unprocessed or coined, and shares in collective investment schemes. For the application of this letter is deemed transfer for consideration even the withdrawal of foreign currency from the deposit or current account; c-c) income, other than those previously indicated, however, realized through relationships from which arise the right or the obligation to sell or purchase financial futures, currencies, precious metals or goods or to receive or carry out on term, one or more 'payments tied to interest rates, quotations or values ​​of financial instruments, foreign currencies, precious metals or goods and any other financial parameter. For the application of this subparagraph shall be treated as financial instruments, including those relations; c-d) capital gains and other income, other than those previously mentioned, realized through the sale with consideration or closure of production relations of capital and income through the sale or redemption of pecuniary credits or financial instruments as well as' those realized through relationships through which they can be achieved positive or negative differences in dependence on an uncertain event; d) lottery winnings, prize contests, games and betting organized by the public and the premiums derived from the testing of skills 'or by fate as well as' those conferred in recognition of special artistic merit, scientific or social; e) the nature of property income can not be determined land registry, including those of land leased for non-agricultural purposes; f) income from real property situated abroad; g) the resulting economic income from the use of intellectual property, patents and industrial processes, formulas and information relating to experience acquired in the industrial, commercial or scientific experience, except to point b) of paragraph 2 of Article 53; h) income deriving from the grant in usufruct and the sublease of real estate, from renting, leasing, rental or licensing of vehicles, machinery and other movable property, from renting and granting in usufruct of companies; the rent and the granting in usufruct of the only company from the entrepreneur does not consider the facts in the performance, but in the event of a subsequent total or partial sale
gains realized a component of the total income as other income; h-bis) the gains realized in the event of a subsequent sale, even partial, of companies acquired in accordance with Article 58; i) income from activity 'trade not usually pursued; l) income from activities' self-employment does not regularly carried out or accept any obligation to do, not do or permit; m) the allowances 'travel expenses, the flat rate reimbursement of expenses, the premiums and fees paid in the direct exercise of activities' amateur sport by CONI, the National Sports Federations, the National Union for the Increase of Horse Breeding (UNITE) , the sports promotion bodies and any entity, however named, and pursues purposes' amateur sports and that they be recognized. This provision also applies to the reports of coordinated and continuous management of character no professional nature rendered in favor of society 'and amateur sports associations; n) capital gains realized on heterogeneous processing referred to in Article 171, paragraph 2, where the resort tax conditions referred to in letters. 1-bis. ...... 1-ter. ...... 1 quater. ...... Art. 68. Capital gains 1. Gains in letters a) and b) of paragraph 1 of Article 67 shall consist of the difference between the charges made in the tax and the purchase price or the cost construction of the asset sold, rose by any other costs relating to those goods. 2. For land referred to in subparagraph a) paragraph 1 of Article 67 purchased more than five years before the housing development or the works is taken as the purchase price of normal value in the fifth year prior. The cost of such land acquired for free and that of the buildings constructed on land acquired free of charge are determined taking into account the normal value of the land at the starting date of the allotment of the works or undertaking or that the start of construction. The cost of land use in susceptible edificatoria referred to in point b) of paragraph 1 of Article 67 and 'made up of the purchase price plus any other inherent cost, revalued based on the change in consumer prices for families of workers and employees as well as' municipal tax on capital gains on real estate value. Land purchased for a gift or inheritance effect is taken as the purchase price the value declared in the relevant complaints and registered acts, or subsequently defined and liquidated, rose by any other inherent subsequent cost as well as' municipal tax on increasing the value of property and inheritance. 3. Capital gains referred to in subparagraph c) of paragraph 1 of Article 67, for the 40 percent of their amount, they are added algebraically to the corresponding share of its losses; if losses are greater than the gains the surplus and 'carried forward, to the extent of 40 per cent of the amount of capital gains in subsequent periods, but not beyond the fourth, provided it is indicated in the statement of income for the period tax in which the capital losses were realized. 4. Notwithstanding the provisions of paragraph 3 contribute fully to the taxable income capital gains referred to in subparagraph c) of paragraph 1 of Article 67 if they relate to equity investments in companies' resident in countries or territories with privileged tax regime set out in Decree the Minister of economy and Finance issued pursuant to Article 167, paragraph 4, unless the successful demonstration, following interpellation operating according to the procedures' to paragraph 5, letter b), of the same Article 167 of the compliance with the conditions referred to in subparagraph c) of paragraph 1 of Article 87. 5. the reserves referred to c-bis) and c-b) of paragraph 1 of Article 67 letters are algebraically added to its losses, as well as' to income and losses referred to in subparagraph c-quater) and gains and other income referred to in subparagraph c-d) of paragraph 1 of Article 67; if the total amount of losses and losses and 'superior to the total amount of capital gains and other income, the excess may' be deducted, up to the amount, capital gains and other income of taxable periods
but not later than the fourth, provided it is indicated in the tax return relative to the tax period in which the capital losses and losses were realized. 6. Capital gains indicated in letters c), c-bis) and c-b) of paragraph 1 of Article 67 shall consist of the difference between the consideration received or the sum or the normal value of the redeemed securities and the cost or value purchase subject to taxation, increased of any costs inherent in their production, including inheritance tax and gift tax, with the exception of interest expense. In the case of acquisition by inheritance, is taken as the cost of defined value or, failing that, that declared the inheritance tax effects, as well as' for securities subject to withholding tax, the normal value on the date of opening of the inheritance. In the case of purchase by donation it is taken as the cost the cost of the donor. For stocks, shares or other shares acquired on the basis of the free share capital increase in the unit cost and 'determined by allocating the original cost of the total number of shares, quotas or participations of compendium. For the investments in the company 'indicated in Article 5, the cost' plus or minus income and losses recognized in shareholder and the cost is scomputano, to the extent of already 'charged incomes, profits distributed to the shareholder. For foreign currencies sold forward it is taken as the cost value of the currency at the spot exchange rate at the date of signing of the transfer agreement. The cost or value of purchase and 'documented by the taxpayer. For foreign currency taken from deposits and current accounts, in the absence of documentation of the cost, is taken as the cost value of the currency at the lesser of the monthly exchange rates established under Article 110, paragraph 9, in the tax period in which the capital gain and 'realized. The losses are determined using the same criteria established for capital gains. 7. For the purposes of determining capital gains and losses: a) the consideration received or the amount refunded as well as 'from the cost or value of purchase is scomputano capital gains accrued but not collected, other than those arising from the participation in societa' and entities subject to the companies' income; b) if they are exceeded the percentage of voting rights or participation referred to in subparagraph c) of paragraph 1 of Article 67, the fees received before the tax year in which you and 'the exceedance percentages are considered earned in that period; c) for foreign currency taken from deposits and current accounts as consideration assumes the normal value of the currency on the date of the procurement took place; d) for the supply of precious metals, in the absence of documentation of the purchase cost, capital gains are determined to the extent of 25 per cent of the consideration for the transfer; e) for the taxable person carried out in dependence of the ratios indicated in the letter c-c) of paragraph 1 of Article 67, the amount paid and 'it consists of the sale price, possibly increased or decreased by the premiums paid or collected of options; f) in the case of postponement or rescheduling of payment of the consideration the gain and 'determined by reference to the cost or value of purchase in proportion corresponding to the sums received in the tax period. 8. The income referred to in subparagraph c-c) of paragraph 1 of Article 67, consist of the sum of positive and negative differences, as well as' other income or expense, received or incurred in relation to each of the relationships therein indicated. For the determination of capital gains, capital losses and other income from such relationships paragraphs shall apply 6 and 7. The premiums paid and collected on options, except that the option has not been closed or sold in advance, a component of the income in the tax year in which the option and 'exercised or expires the deadline for its exercise. If following the exercise of the activities are sold 'in letters c), c-bis) or c-ter), Article 67 of the premiums paid or collected in the determination of capital gains or losses, to accordance with subparagraph e) of paragraph 7. Capital gains and losses from the disposal for consideration of goods not a component of the income, although the sale and 'mail
be in dependence of the ratios indicated in the letter c-c) of paragraph 1 of Article 67. 9. Capital gains and other income referred to in subparagraph c-d) of paragraph 1 of Article 67, they are constituted by the positive difference between the fees received or the amounts or the normal value of the redeemed securities and the consideration paid or the sums paid, increased by any charges relating to their production, with the exception of interest expense. The consideration received and the amount refunded is scomputano capital gains arising from the transferred report accrued but not collected as well as' capital gains accrued in favor of the original creditor but not collected. The provisions of paragraph f) of paragraph 7. Art. 69. Prizes winnings and allowances' .................... Art. 70. Land Income nature. ................... Art. 71. Other income .................... Title II iNCOME tAX cOMPANIES 'Chapter I taxable persons and general provisions Art. 72. tax Prerequisite 1. Precondition tax on the income of society' and 'possession of income in cash or in kind in the categories specified in Article 6. Art . 73. 1. taxable persons are subject to tax on the company 'income: a) the companies' joint stock and limited by shares, the companies 'responsibility to' limited, the companies 'co-operatives and companies' mutual insurance resident in the State; b) public and private entities other than companies 'resident in the State, which have as their exclusive or main purpose the exercise of attivita' commercial; c) public and private entities other than companies 'resident in the territory of the state, who do not have exclusive or main object the exercise of attivita' commercial; d) the companies 'and organizations of all types, with or without personality' legal, non-resident in the State. 2. Among the entities that are society ', referred to in subparagraphs b) and c) of paragraph 1, they include, in addition to legal persons, non-recognized associations, consortia and other non-taxable persons to other organizations, against of which the tax assumption occurs in a unified and autonomous way. Among the company 'and the entities referred to in subparagraph d) of paragraph 1 also includes the companies' and associations mentioned in Article 5. 3. For the purposes of income tax considering the company' residents and bodies to most of the tax period have the registered office or the headquarters of the administration or the main object in the State. 4. The sole or main entity resident and 'determined according to the law the subject, with the Constitution or the statutes, if they exist in the form of a public deed or private deed or recorded. Its principal object is defined as activities' essential to realize directly the primary aims laid down by law, articles of incorporation or the bylaws. 5. In the absence of incorporation or articles of association in the aforesaid forms, the body's main object residing and 'determined according to the attivita' effectively exercised in the State; This provision applies in any case the non-resident entities. Art. 74. State and public bodies 1. The organs and government departments, including an autonomous, although with personality 'legal, municipalities, consortia of local authorities, associations and collective-owned property management bodies , communities' mountain, the provinces and regions are not subject to tax. 2. It does not constitute exercise of 'commercial: a) the exercise of state functions by public bodies; b) the exercise of attivita 'social security, welfare and health by public bodies established for that purpose, including local health authorities. Art. 75. Tax base 1. The tax is applied on the total net income, determined in accordance with the provisions of Section I of Chapter II, for the companies' and the entities referred to in paragraph a) and b) of Article 1 73,
Chapter III, for non-commercial entities referred to in subparagraph c) and in Chapters IV and V, for companies' and non-resident entities referred to in subparagraph d). 2. The companies' resident referred to in subparagraph a) of paragraph 1 of Article 73 and the non-residents referred to in subparagraph d) may determine the income in accordance with the provisions of Chapter VI. Art. 76. Tax period 1. The tax and 'due for tax periods, each of which corresponds to a separate tax liability except as provided in Articles 80 and 84. 2. The tax period and' constituted by ' operation or management of the company period 'or body, determined by the law or by the memorandum. If the duration of the financial year or management period not 'determined by the law or the articles of association, or and' determined in two or more 'years, the tax period and' constituted from the calendar. 3. If the tax period, to 'greater than or less than twelve months the income referred to in Articles 90 and 56, paragraph 5, are briefed on the duration of it. The ragguaglio also makes the purpose of the provisions of Articles 102, Paragraphs 2, 6 and 7, 104, 106 and 107, paragraphs 1 and 2. Art. 77. Tax rates 1. The tax and 'commensurate with total net income at the rate of 33 percent. Art. 78. Deduction of tax charges for gross tax 1. subtract up to its amount an amount equal to 19 percent of the burden of Article 15, paragraph 1-bis, limited to the company ' and to the institutions mentioned in Article 73, paragraph 1 a) and b), other than entities in which there is a public participation or whose securities are traded on Italian or foreign regulated markets, as well as 'from the companies' and organizations that control , directly or indirectly, such entities, or they are controlled or are controlled by the same company 'or entity that controls the same subjects as well as' burden of Article 15, paragraph 1, letter i-ter). Art. 79. Deduction of advances 1. The payments made by the taxpayer in the tax payment and withholding taxes as an advance is scomputano tax pursuant to Article 22, except as provided in paragraph 2 of this Article. 2. The deductions referred to in the first and second paragraph of Article 26 of Presidential Decree of 29 September 1973, n. 600, and Article 1 of Decree-Law of 2 October 1981, n. 546, converted with amendments by Law 1 December 1981, n. 692, applicable as a down payment, they scomputano in any tax year in which the income they refer to a component of the total income himself 'have not been received and subject to retention. The amount to be deducted and 'calculated in proportion to the amount of interest and other income that go to make income. Art. 80. Carry or reimbursement of surpluses 1. If the total amount of tax credits, withholding tax and payments on account in the preceding articles and 'higher than the tax due the taxpayer is entitled, at its option, to compute the surplus decreasing tax relating to the following tax period, to claim a refund when the tax return or use the same for compensation under Article 17 of legislative decree July 9, 1997 , n. 241. Chapter II Determination of the tax base of the company 'residents and commercial entities Section I Determination of the tax base Art. 81. Total income 1. The total income of the company' and the commercial entities referred to in subparagraphs a) and b) of paragraph 1 of Article 73, from whatever source it comes from, and 'regarded as business income and is' determined according to the provisions of this section. Art. 82. Departures mandatory shareholdings 1. Under the taxable capital gains relating to the shares or sold shares in accordance with articles 2357, fourth paragraph, 2357-bis, second paragraph, and 2359-ter of the Italian Civil Code and in accordance with Article 121 of legislative decree 24 February 1998 n. 58, the provisions of paragraph 4 of Article 86. Art. 83. Determination of the total income
1. The total income and 'making specific profit or loss resulting from the income statement for the year ended in the tax period, the increases or decreases resulting from the application of the criteria laid down in the subsequent provisions of this section. Art. 84. Carry forward of losses 1. The loss of a tax period, determined by the same rules valid for the determination of income, can 'be counted as a reduction of the income tax periods, but not later than the fifth for the full amount that is capacity in the taxable income of each of them. The loss and 'decreased income exempt from tax other than those referred to in Article 87, for the part of their amount in excess of the negative items not deducted in accordance with Articles 96 and 109, paragraphs 5 and 6. This difference potra 'however, be calculated down to an extent such that the total income tax corresponding to the taxable income result offset by any tax credits, withholding as an advance, payments on account, and the surplus referred to in Article 80. 2. the losses incurred in the first three tax years may, with the mode 'provided for in paragraph 1, be accounted for in a decrease in the total income of subsequent tax periods with no time limit. 3. The provisions of paragraph 1 shall not apply in the event that a majority of shareholdings with voting rights in ordinary meetings of the subject that brings the losses to be transferred or otherwise acquired by third parties, even on a temporary basis and, in addition, be modified l 'activities' main in fact exercised in the tax periods in which the losses were realized. The change of the attivita 'becomes relevant if intervenes in the tax period in progress at the time of the transfer or acquisition, or in the next two or front. The limitation does not apply if: a) the shares are acquired by companies' controlled by the same person who controls the person reporting the loss or the person who controls the parent of these; b) holdings are related to society 'than in the previous two years that the transfer had an ever smaller number of employees at ten units' and for which the income statement for the year preceding the transfer prove the amount of income and income of the attivita 'feature, and the amount of expenses for subordinate employees and related contributions, referred to in Article 2425 of the civil code, more than 40 percent of emerging from the average of the last two years prior. Art. 85. 1. Revenues Revenues are considered: a) the proceeds of the sale of the production of which goods and services or to whose trade and 'direct the activities' of the company; b) the proceeds of the sale of raw materials and auxiliaries, semi-finished and other movable property, other than instrumental, purchased or produced to be used in the production; c) the proceeds of the sale of shares or units of equity, also not represented by securities, in the capital of companies' and other entities referred to in Article 73, which are not financial assets, other than those to which the exemption applies which Article 87, although not included in the assets to which exchange and 'direct the activities' of the company. If the investments are in companies' or entities referred to in Article 73, paragraph 1, letter d) shall apply paragraph 2 of Article 44; d) the proceeds of the sale of similar financial instruments to shares in accordance with Article 44 issued by companies 'and other entities referred to in Article 73, which are not financial assets, other than those to which the exemption applies laid down' Article 87, although not included in the assets to which exchange and 'direct the activities' of the company; e) the proceeds of the sale of bonds and other securities in series or different mass than those referred to in letters c) and d) above not held as financial fixed assets, although not included in the assets to which exchange and 'direct l' activities' of the company; f) the allowances' achieved by way of compensation, even in the form of insurance, for the loss of or damage to property referred to in letters; g) contributions in cash, or the normal value of those, in
nature, payable under any denomination under contract; h) contributions payable exclusively related to income as required by law. 2. It also includes revenues between the normal value of the goods referred to in paragraph 1 assigned to shareholders, or for purposes' other than exercising enterprise. 3. For the purposes of income tax, the goods referred to in letters c), d) and e) of paragraph 1 shall not constitute financial assets if they are not registered as such in the budget. Art. 86. Capital gains 1. Gains of assets related to the company, other than those specified in paragraph 1 of Article 85, a component of the income: a) if they are made through the disposal for consideration; b) if they are made by compensation, even in the form of insurance, for the loss or damage of goods; c) if the goods are assigned to shareholders, or for purposes' other than exercising enterprise. 2. In the cases referred to in subparagraphs a) and b) of paragraph 1 the capital gain and 'be the difference between the consideration or compensation received, net of directly attributable transaction costs, and the cost is not amortized. Contribute to the formation of income also capital gains of companies, including the value of goodwill, created jointly by transfer for consideration. If the consideration for the sale and 'consisting solely of depreciable assets, although constituting a complex or business unit, and these are total budgeted at the same value at which you were enrolled assets sold, only considering capital gain on cash adjustment if necessary agreed. 3. In the case referred to in subparagraph c) of paragraph 1, the gain and 'be the difference between the normal value and the non-amortized cost of the assets. 4. Capital gains realized, other than those referred to in Article 87, determined in accordance with paragraph 2, a component of the income for the full amount in the year in which they were made or, if the goods were owned for a period not less than three years, or one year for companies' professional sports, at the option of the taxpayer, in a straight-line basis during the fiscal year and in the following, but not the fourth. The aforementioned choice must stem from the tax return; if this is not 'it presented the capital gain is included in taxable income for the full amount in the year in which' was made. For assets classified as financial assets, other than those referred to in Article 87, the provisions of the previous periods are applicable to those recognized as such in the last three budgets; They are considered sold for the first property acquired in more 'recent date. 5. The transfer of assets to creditors within the arrangement does not constitute a realization of gains and losses of assets, including those relating to inventories and goodwill. Art. 87. Capital gains exempt 1. Do not contribute to the formation of taxable income as exempt realized capital gains and determined in accordance with Article 86, paragraphs 1, 2 and 3, in respect of shares or units of shares in society 'and indicated bodies in Article 5, excluding company 'simple and bodies treated the same, and Article 73, including those not represented by securities, with the following requirements: a) uninterrupted possession from the first day of the twelfth month prior to the considering the sale sold first of the shares acquired in more 'recent date; b) classification in the financial fixed assets in the first balance sheet closed during the holding period; c) tax residence of the company 'subsidiary in a State or territory other than those in privileged tax regime set out in Ministerial Decree issued pursuant to Article 167, paragraph 4, or, alternatively, the demonstration took place, following the exercise interpellation according to the procedures', paragraph 5, letter b), of Article 167, which from investments was not achieved, since the beginning of the holding period, the effect of locating income in States or territories where they are subjected to preferential tax regimes of which the said Ministerial decree; d) exercise by the company 'owned commercial enterprise as defined in Article 55. Without possibility' of evidence to the contrary it is assumed that this requirement does not
exists with regard to holdings in companies' whose value the heritage and 'mainly consists of several real estate properties by whose production or which exchange and' actually direct the activities' of the company, from the plants and buildings used directly in ' operating business. They consider themselves directly used in the conduct of business buildings leased and the land on which the company 'subsidiary performs the attivita' agricultural. 2. The requirements referred to in paragraph 1, letters c) and d) must be fulfilled without interruption, when realized, at least the beginning of the third period of the front set to the same realization. 3. The exemption referred to in paragraph 1 shall apply, under the same conditions laid down therein, to the capital gains in accordance with Article 86, paragraphs 1 and 2, relating to similar financial instruments to shares in accordance with Article 44 and contracts referred to in Article 109, paragraph 9, letter b). 4. Fermi remaining ones in letters a), b) and c), the requirement referred to in subparagraph d) of paragraph 1 does not detect for investments in companies' whose securities are traded on regulated markets. Of capital gains realized through public offerings applies the exemption under paragraphs 1 and 3 regardless of the occurrence of the requirement referred to in that letter d). 5. For participations in societa 'whose activity' consists exclusively or primarily to acquire holdings, the requirements referred to in letters c) and d) of paragraph 1 shall relate to the company 'indirectly related and occur when such requirements exist with respect to related representing the majority of the share of the asset value of the participant. 6. In the cases referred to in Article 47, paragraph 5, the amounts and the open market value of the assets received by way of division of restrictions in force for the portion that exceeds the tax value of the investment is applied as provided in the preceding paragraphs. 7. In the cases referred to in Article 47, paragraph 7, the exemption provided for in this Article shall apply, under the same conditions as in the preceding paragraphs, the difference between the amounts or the normal value of property received as a sharing capital and reserves referred to in Article 47, paragraph 5, and the tax value of the investment. Art. 88. 1. Contingent assets are deemed contingent assets, revenues or other income from the expenses, losses or charges deducted or liabilities' in the budget in previous years and revenues or other income received for amounts exceeding what he a contribution to income in prior years, as well as 'the unexpected absence of expenses, losses or charges deducted or liabilities' in the budget in previous years. 2. If the allowances' referred to in point b) of paragraph 1 of Article 86 are raised by the amount greater than that which contributed to income in prior years, the difference in taxable income in accordance with paragraph 4 of that article. 3. They are also considered as extraordinary income: a) the allowances' achieved by way of compensation, even in the form of insurance, for damage other than referred to in subparagraph f) of paragraph 1 of Article 85 and in point b) of paragraph 1 of 'Article 86; b) income, in cash or in kind, obtained by way of contribution or liberality ', excluding contributions in points g) and h) of paragraph 1 of Article 85 and those for the purchase of depreciable assets, whatever the type of adopted funding. These revenues contribute to income in the period in which it was collected or straight-line basis in the year in which it was collected and in the following, but not beyond the fourth. Are without prejudice to the benefits arising from productive investments granted in mountain areas covered by the Act of 31 January 1994 n. 97 as well as' those granted under the Consolidated Law on interventions in the Mezzogiorno, approved by Decree of the President of the Republic March 6, 1978, n. 218, for the effect expected at the time of the grant of the same. Not considered contributions or liberality 'loans granted by the State, Regions and Autonomous Provinces for the construction, renovation and extraordinary and ordinary maintenance of properties of public housing granted to the institutes
autonomous for public housing, however denominated, as well as 'those granted to housing associations to property' undivided and living quarters for the construction, restructuring and ordinary and extraordinary maintenance of buildings for allocation in enjoyment or lease. 4. Not considering non-recurring income payments in cash or in kind made to grant or capital account to the society 'and to the institutions mentioned in Article 73, paragraph 1 a) and b), by its members and renunciation shareholders to the credits, it 'the reduction of the firm's debts at the time of bankruptcy agreement or quotation or as a result of participation in losses from the associated in participation. 5. In the event of sale of the leasing contract the normal value of the property is contingent. Art. 89. Dividends and interest 1. For the profits from the participation in societa 'simple, general partnership and limited partnership resident in the State, the provisions of Article 5. 2. Profits distributed, in any form and under any name whatsoever, even in the cases provided for in Article 47, paragraph 7, from the companies' and other entities referred to in Article 73, paragraph 1 a) and b), shall not constitute income for the year in which they are perceived as excluded from the formation of the income of the company 'or receiving unit for 95 percent of their amount. The same exclusion applies to the remuneration paid in relation to the contracts referred to in Article 109, paragraph 9, letter b), and the remuneration of the loans in excess referred to in Article 98 provided directly by the shareholder or its related parties, including in the assessment. 3. been verified the condition in Rule 44, paragraph 2, letter b), the same exclusion of paragraph 2 shall apply to profits distributed by the companies' and the entities referred to in Article 73, paragraph 1, letter d), different from those resident in the States or territories with privileged tax regime contained in the decree of the Minister of economy and Finance issued pursuant to Article 167, paragraph 4, or if residing in relation to which, following the exercise interpellation accordance with the terms' paragraph 5, letter b), Article 167, that the conditions referred to in subparagraph c) of paragraph 1 of Article 87. 4. the provisions of articles 46 and 47, where compatible. 5. If the measure is not 'given in writing are included in calculating the interest at the legal rate. 6. Interest from securities acquired under "repo" contracts which provide for the obligation to resell the securities, a component of the income of the transferee for the amount accrued during the term of the contract. The positive or negative difference between the spot and forward price, net of interest earned on the activities' in the transaction during the term of the contract, are taken to income in the amount accrued in the year. 7. For the current account contracts and banking transactions settled via current accounts, including reciprocal current accounts for services rendered entertained between companies and banks, also consider the interests accrued compensated for by law or contract. Art. 90. Property income 1. Income Realty than equity capital goods for own activities, it 'goods whose production or which exchange and' direct the activities' of the company, a component of the income in the amount determined under the provisions of Chapter II of title I for the properties located in the State and in accordance with Article 70 for those located abroad. This provision does not apply to income, dominical and agrarian, land resulting from the exercise of the attivita 'agricultural in Article 32, albeit within the limits prescribed therein. 2. The costs and other expense items related to the lands referred to in paragraph 1 shall not be allowed as a deduction. Art. 91. Income and expenses not counted in determining income 1. Do not contribute to the formation of income: a) the proceeds of the assets qualifying for tax exemption; b) income subject to withholding tax as tax or substitute tax; c) in case of reduction of share capital through cancellation of treasury shares, purchased in implementation of
relevant resolution or above, the positive or negative difference between the cost of the canceled shares and the corresponding share of net equity; d) the emission sopraprezzi of shares and equalization interest paid by subscribers of new shares. Art. 92. 1. Changes in inventories Changes in inventories of final goods referred to in Article 85, paragraph 1 a) and b), compared to the opening balance, a component of the income for the year. To this end, the final inventories, the evaluation of which is not carried out or pursuant to specific costs of Article 93 are taken to a value not less than that resulting grouping assets into categories by type and value, and attributing to each group a value not less than that determined in accordance with the following provisions. 2. In the first year in which they occur, inventories are valued by giving each units 'value obtained by dividing the total cost of the goods produced and purchased during the same for their amount'. 3. In the subsequent years, if the amount 'of inventories and' increased compared to the previous year, the largest amount ', as assessed in accordance with paragraph 2, are separate entries for training exercises. If the quantity 'and' decreased, the decrease was blamed for formats increases in previous years, from more 'recently. 4. For enterprises in the financial statements that evaluate the final inventories using the weighted average method or the 'first in, first out "or variations of that referred to in paragraph 3, the final inventories are assumed for the value resulting from' application of the method. 5. If in any year the average unit value of goods, determined in accordance with paragraphs 2, 3 and 4, and 'higher than the average normal value of them in the last month of the year, the minimum value referred to in paragraph 1, and 'it determined by multiplying the full amount' of the goods, regardless of exercise training, the normal value. For foreign currencies it is taken as the normal value the value according to the exchange at the balance sheet date. The lower value of the inventories in accordance 'with the provisions of this paragraph also applies to subsequent periods provided that the inventories do not result recorded in the balance sheet at a value higher. 6. Products in work in progress and services in progress at year-end are valued according to the expenditure incurred in the current period, except as provided in Article 93 for works, supplies and services of multi-year duration. 7. Inventories of a year in the amount specified by the taxpayer constitute the next year opening balance. 8. For merchants attivita 'of retail that evaluate the inventories of goods with the retail method is taken into account so' value determined also at variance with the provision of paragraph 1, provided that the tax return or special attachment to be disclosed to the criteria and modalities' for the application of that method, with reference to the object and the organizational structure. Art. 93. Works, supplies and services multi-year duration 1. The changes in the final inventory of the works, the agreed supplies and services such as unitary object and runtime ultrannuale, compared to the opening balance, a component of the income for the year. To this end, the final inventories, which constitute the next year opening balances, are taken for the total value determined in accordance with the following provisions for the part executed from the beginning of the contract, except as provided in paragraph 4. 2. The assessment and 'made on the basis of contractual revenues. Of the price increases required under the statutory provisions or contractual clauses are taken into account, until 'have not been definitively established, in no less than 50 percent. For that part of the works, supplies and services covered by the progress evaluation and 'made on the basis of fees paid. 3. The amount determined under paragraph 2 can 'be reduced to contractual risk, in the opinion of the taxpayer, in no more than 2 percent. For works, supplies and services performed abroad if the fees are due by non
residents, the maximum extent of the reduction and 'high at 4 percent. 4. The fees paid outright by the customer will include between revenues and evaluation among inventories, in the case of partial liquidation, and 'limited to the part not yet liquidated. Any subsequent change of fees and 'charged to income for the year in which' was definitely established. 5. Notwithstanding the provisions of paragraphs 1 to 4 companies and booked in the financial statements the works, supplies and services valuing the inventory at cost and by charging fees period over which services and supplies delivered or the works are completed can be authorized by the tax office to apply the same method for the determination of income; The license takes effect from the current year to the date on which and 'released. 6. In the tax return must be attached separately for each work, supply or service, a schedule containing the indication of the details of the contract, the generality 'and the residence of the customer, the deadline, the elements required to base for evaluation and placement of these items in the accounts. 7. For contracts referred to in this article sums agreed in foreign currency not yet collected are treated as credits himself 'not recorded in the financial statements. Art. 94. Evaluation of qualifications 1. The securities referred to in Article 85, paragraph 1, letter c), d) and e), existing at the end of a financial year, are valued by applying the provisions of Article 92, paragraphs 1 , 2, 3, 4, 5 and 7 except as provided in the following paragraphs. 2. The sale of securities arising from repurchase agreements or "repos," which provide for the assignee the obligation to resell the securities, determine changes in the holdings of securities. 3. For the purpose of grouping into categories does not take into account the value and consider the very nature of the securities issued by the same person and having the same characteristics. 4. The provisions of Article 92, paragraph 5, apply only to the assessment of the securities referred to in Article 85, paragraph 1, letter e); for this purpose the minimum and 'certain value: a) for securities traded on regulated markets, according to the price during the last day of the period or on the basis of the arithmetic mean of December prices. It does not apply, however, Article 109, paragraph 4, letter b), second sentence; b) for other securities, according to the provisions of Article 9, paragraph 4, letter c). 5. In the event of a capital increase of the company 'issuing body by passage of reserves in the capital, the number of shares received free of charge is added to the number of those already' held in proportion to the amount 'of the individual items of the same category and the unit value is determined for each item, by dividing the total cost of the actions already 'held for the total number of shares. 6. The amount of the grant made payments or capital account to society 'by its members or of the waiver of claims against the company' by the same partners, adds to the cost of securities and the allowances referred to in Article 85 , paragraph 1, letter c), in proportion to the amount 'of the individual items of the corresponding category; the same shall apply in relation to contributions made for securities holders assimilated to shares. 7. Nothing in the preceding paragraphs shall also apply to the valuation of shares in companies' and organizations not represented by securities specified in Article 85, paragraph 1, letter c). Art. 95. Expenses for work performance 1. Costs for subordinate employees deductible in the determination of income include those incurred in cash or in kind by way of liberality 'to workers, without prejudice to Article 100, paragraph 1. 2. No deductible rents also financial, and costs relating to the operation of facilities for receiving, except those relating to canteen services for generality 'of employees or housing services for employees on temporary secondment. Rents also financial and maintenance costs of the buildings licensed for use to employees are deductible for an amount not exceeding that which constitutes income for employees, according to Article 51, paragraph 4,
point c). If the buildings in the first period are rented to employees who have transferred their registered residence for business needs in the municipality in which they serve the activities', for the tax period in which the transfer occurred, and in the two subsequent periods, the above fees and expenses are fully deductible. 3. Accommodation and subsistence costs incurred for travel carried out by the municipality by employees and by the holders of coordinated and continuous collaboration relations are allowed as deductions for a daily amount does not exceed € 180.76; the above limit, and 'higher to EUR 258.23 for travel abroad. If the employee or the holder of the aforementioned relationships have been authorized to use a vehicle of his proprieta 'or rented in order to be used for a specific business, the deductible and' limited spending, respectively, to travel costs or rental fees relating to power cars not more than 17 fiscal horsepower, or 20 if with diesel engine. 4. Undertakings authorized the carriage of goods, in lieu of the deduction, even analytic, of the costs incurred in relation to the transfers made by its employees outside the municipal area, they can deduct an amount equal to € 59.65 per day, high in € 95.80 for travel abroad, net of costs of travel and transport. 5. The fees of the administrators of the company 'and other entities referred to in Article 72, paragraph 1, they are deductible in the year they are paid; those paid in the form of profit sharing, also due to the promoters and founders, are deductible even if not charged to the income statement. 6. Notwithstanding the provisions of Article 109, paragraph 9, letter b) interests in profits due to employees, and to participating associates are accounted for in a decrease in the income year in question, regardless of profit or loss. Art. 96. Interest expense 1. The share of interest expense remaining after the application of the provisions of Articles 97 and 1998 'deductible for the portion corresponding to the ratio between the amount of revenues and other revenues that contribute to form the income and the total amount of all revenue and income. 2. For the purposes of the report referred to in paragraph 1: a) does not take into account the accrued contingent assets in accordance with Article 88 of the income subject to withholding tax as tax or substitute tax and monetary revaluation balances that provision of special law shall not constitute income; b) revenues from the sale of securities and foreign currencies shall be reckoned for the part that exceeds the related costs and without taking account of inventories; c) the gains realized are included in calculating the amount that according to Article 86 in taxable income for the year; d) the reserves referred to in Article 87, shall be reckoned for their full amount; e) foreign-sourced interest and dividends shall be reckoned for the full amount regardless of their contribution to the formation of income; f) income from real estate referred to in Article 90 are included in calculating the extent therein established; g) inventories set out in Articles 92 and 93 are included in calculating the extent of formats increases during the year. 3. If during the year were achieved interest or any income exempt from tax arising from public or private bonds subscribed, acquired or received in usufruct or pledge as from 28 November 1984 or coupons purchased separately from licenses as from the same date, interest expenses are not allowed as a deduction up to the total amount of the interest or income exempt. Interest expenses that exceed this amount are deductible pursuant to paragraphs 1 and 2 and without taking into account for the purposes of the report referred to therein, the amount of interest and income exempt corresponding to interest expense not allowed as deductions. Art. 97. Pro rata asset 1. In the event that the end of the tax year the book value of the investments referred to in Article 87 exceeds the amount of shareholders' equity, the share of interest expense remaining after application the provisions of Article 98, to
net of interest income, and 'non-deductible for the part corresponding to the ratio of the surplus and the total assets reduced by the same shareholders' equity and trade payables. The non-deductible portion determined in accordance with the previous period and 'reduced to an extent corresponding to the taxable portion of the dividends relating to the investments referred to in Article 87. 2. For the calculation of the excess referred to in the first paragraph: a) the assets net accounting, including profit for the year, and 'adjusted downwards by the same criteria laid down in Article 98, paragraph 3, letter c), number 1) and 3); b) are not relevant: 1) holdings in companies' whose income concurs with that of training participant taxable group laid down in Sections II and III of this Chapter, except as provided by Articles 124, paragraph 1, letter a), and 138, paragraph 1, of the said sections; 2) those in societa 'whose income and' attributed to shareholders for effect as referred to in Article 115. However, in the event that by the third year following the purchase takes place the sale of these investments, income taxable and 'adjusted upwards by the amount corresponding to that of interest expense deducted in previous years due to the forecast of the first period. Art. 98. Contrast the use tax of underfunding 1. The remuneration of the loans in excess referred to in paragraph 4, directly or indirectly paid or guaranteed by a qualified shareholder or its related party, computed net of the amount of non-deductible interest Article 3, paragraph 115 of the law of 28 December 1995, n. 549, and 'non-deductible from taxable income if the ratio between the average number during the tax period of the loans referred to in paragraph 4 and the share of equity attributable to the same shareholder and its related parties, increased the contributions of capital placed by the same shareholder or its related parties under the contracts referred to in Article 109, paragraph 9, letter b), is higher than four to one. 2. Paragraph 1 shall not apply if: a) the total amount of the loans referred to in paragraph 4 does not exceed four times the net book value determined by the criteria referred to in subparagraph e) of paragraph 3; b) the debtor taxpayer provides the proof that the amount of financing provided for in paragraph 4 and 'justified by its sole capacity' credit and that consequently the same would also be provided by independent third parties with the sole guarantee of the company's assets. 3. For the purposes of paragraph 1: a) are considered in excess of the funds referred to in paragraph 4 for the part in excess of their average consistency the report referred to in paragraph 1; b) are considered related parties to the member qualified the companies' by these subsidiaries pursuant to article 2359 of the civil code and if an individual even family members referred to in Article 5, paragraph 5; c) the partner and 'qualified when: 1. directly or indirectly controls pursuant to Article 2359 of the Civil Code the debtor; 2. participate in the share capital of the same debtor with a percentage equal to or greater than 25 percent, the determination of which contribute the equity interests held by its related parties. They do not consider themselves qualified members the persons referred to in Article 74; d) loans made or guaranteed by the member trained plus those granted or guaranteed by its related parties; e) for the calculation of the qualifying shareholder's interest and its related parties will consider the shareholders 'equity, so' as reported in the financial statements for the previous financial year, inclusive of that year not distributed, adjusted downwards to take into account: 1) of claims in the assets relating to contribution obligations not yet executed; 2) the book value of own shares; 3) the losses incurred to the extent that by the date of approval of the financial statements for the second financial year following that to which they refer is not done the reconstitution of shareholders' equity through the appropriation of profits or the execution of contributions in cash or in the nature; 4) the book value or, if lower the relative net assets of equity investments in companies' subsidiaries and
linked in Article 73, paragraph 1, letter a) and in Article 5, other than those referred to in paragraph 5; f) the average number of loans referred to in paragraph 4 is determined by adding its existing total amount at the end of each day of the tax period and dividing that sum by the number of days of the period. Not contribute to the determination of the amount of the non-interest bearing loans made or guaranteed by qualified members or its related parties provided that the average remuneration referred to in subparagraph g) does not exceed the official reference rate plus one percentage point; g) the remuneration of the funding excess and 'calculated by applying the same rate that is the ratio of the total remuneration of the loans referred to in paragraph 4 accrued during the tax period and the average number of the same. 4. For the purposes of determining the ratio referred to paragraph 1 letter a) identify the loans made or guaranteed by the qualified shareholder or its related parties intending to those ones derived from loans, from money deposits, and any other kind of relationship financial. 5. For the purposes of determining the ratio referred to in paragraph 1 can not find loans granted in the exercise of 'banking or business activities' carried out by the persons specified in Article 1 of Legislative Decree 27 January 1992 n. 87, with the exclusion of the company 'whose activity is exclusively or predominantly the attivita' of assumption of participations. 6. We intend guaranteed by the shareholder or its related parties debts secured by collateral, personal and actually provided by these parties also through behavior and legal acts which, although not formally qualify as warranty services, they get the same economic effect. 7. This Article does not apply to taxpayers whose volume of sales does not exceed the thresholds for the application of the studies sector. It applies, in any case, the company 'engaged in the activities' of equity in hiring exclusively or primarily. Art. 99. tax and social charges 1. Taxes on income and those for which and 'foreseen the revenge, also optional, are not allowed as deductions. Other taxes are deductible in the year of payment. 2. The provisions for not yet been finally assessed taxes are deductible within the limits of the amount corresponding to declarations, the findings or rulings and decisions of the offices of the tax commission. 3. Contributions to trade unions and trade associations are deductible in the year they are paid, if and to the extent that they are due, according to the formal resolution of the association. Art. 100. utility 'social expenses 1. Expenses related to works or services to be usable by the generality' of employees or classes of employees voluntarily incurred for specific purposes' education, education, recreation, health and social care or worship, are deductible for a total amount not exceeding 5 per thousand of expenses and salary paid to employees resulting from the tax return. 2. They are also deductible: a) donations made in favor of legal persons who only pursue purposes 'ranging from those indicated in paragraph 1 or purposes' scientific research as well as 'contributions, donations and the payments referred to in' Article 10, paragraph 1, letter g), for an amount totaling no more than 2 percent of business income declared; b) donations made in favor of legal persons established in the South who pursue exclusively finalita 'of scientific research, for an amount totaling no more than 2 percent of business income declared; c) donations made in favor of universities' and university institutes, for an amount totaling no more than 2 percent of business income declared; d) donations in favor of private licensees for radio broadcasting of a community for a total amount not exceeding 1 per cent of the individual's taxable income that makes the same provision; e) the costs incurred by the parties responsible for the maintenance, protection or restoration of the things bound under Decree
Legislative October 29, 1999, n. 490 and the Decree of the President of the Republic September 30, 1963, n. 1409, in fact remained dependent measure. The need 'expenses when they are not required by law, it must be by a certificate issued by the competent supervision of the Ministry of Heritage and Activities' cultural, upon verification of their consistency' carried out in agreement with the competent office of the Agency of the territory. The deduction is not up when the destination of the goods without the prior administration permission change for Assets and Activities' cultural, of non-compliance with legal obligations to allow the exercise of the State's pre-emptive right over immovable property and unauthorized mobile bound and attempted export of the latter. The Administration for Assets and Activities' cultural from 'immediately notify the competent office of the revenue of violations involving the non-deductibility' and the date of receipt of notice starts on the deadline for the correction of the tax return; f) cash donations in favor of the State, organizations or public institutions, foundations and associations legally recognized non-profit play or promote attivita 'of study, research and relevant cultural and artistic documentation, made for the purchase, maintenance, protection or restoration of the things mentioned in Article 2 of legislative decree 29 October 1999, n. 490, and in the Decree of the President of the Republic September 30, 1963, n. 1409, including donations made to the organization of exhibitions and expositions, which are of significant scientific or cultural interest, of the aforesaid things, and for the studies and research necessary to that effect. Exhibitions, exhibitions, studies and research have to be authorized, after consulting the competent sector committee of the National Council for Cultural and Environmental Heritage, the Ministry of Heritage and Activities 'cultural, which must' approve the provision of spending and the final balance. The Ministry for Cultural Heritage and the Environment shall establish the necessary time so that 'the payments made in favor of legally recognized associations, institutions and foundations are used for preindicati purposes, and monitors the use of such disbursements. These may, for reasons not attributable to the donee, be extended only once. Donations not fully utilized within the period prescribed, or used not in compliance 'to the destination, flow, in their totality', the entrance of the State; g) cash donations, for an amount not exceeding 2 per cent of the business income declared in favor of entities and public institutions, foundations and associations legally recognized non-profit activities carried out solely 'in the show, made for the creation of new structures, for the restoration and strengthening of existing structures as well as' for the production in the various sectors of the show. Disbursements are not used for such purposes 'by the recipient within a period of two years from the date of receipt flock, in their totality', the entrance of the State; h) cash donations, for an amount not exceeding € 2,065.83 or 2 percent of business income declared in favor of NPIs as well as' humanitarian initiatives, religious or secular, managed by foundations, associations, committees and bodies recognized by decree of the President of the Council of Ministers under Article 15, paragraph 1, letter i-bis), in the non-OECD countries; i) charges for the use of employees, hired for an indefinite time, used for services carried out in favor of ONLUS, in the limit of five per thousand of the total amount of expenses for subordinate employees, so 'as they appear from income tax; l) cash donations, for an amount not exceeding € 1,549.37 or 2 percent of the declared corporate income, in favor of social promotion associations registered in the registers provided by the current legislation; m) cash donations in favor of the state, the regions, local authorities, agencies or public institutions, foundations and associations legally recognized,
for the performance of their institutional tasks and for the realization of cultural programs in the fields of cultural heritage and entertainment. The Minister for Heritage and Activities' cultural identifies a decree periodically, on the basis of criteria to be defined heard the unified Conference referred to in Article 8 of the Legislative Decree 28 August 1997, n. 281, subjects and categories of persons who may benefit from the aforesaid donations; determines, out on the sum for the purpose indicated, the shares assigned to each institution or beneficiary; It defines the information requirements on the part of providers and beneficiaries; monitors on the use of grants and communicates, by March 31 of the year following the reference to the Revenue Agency, the list of providers and the amount of donations by them. In the event that, in a given year, the total sums paid have exceeded the sum for the purpose indicated or determined, the individual beneficiaries who have received the largest amount of sums quota allocated by the Ministry of Heritage and Activities 'cultural to pay' entry of the State an amount equal to 37 percent of the difference; n) the cash donations in favor of management bodies of natural parks and reserves, land and sea, state and regional, and all other special protection area landscape and environment as identified in applicable law, state and regional, nonche ' managed by associations and private foundations set out in Article 154, paragraph 4, letter a), carried out to support activities 'conservation, enhancement, study, research and direct development to the attainment of the purposes' of general interest which correspond to these protected areas. The Minister of Environment and Protection of Land identifies by decree, periodically, the subjects and categories of persons who may benefit from the aforesaid donations; determines, out on the sum for the purpose indicated, the shares assigned to each institution or beneficiary. In the event that in any year the total sums paid have exceeded the sum for the purpose indicated or determined individual beneficiaries who have received sums of greater amount of the quota allocated by the Ministry of Environment and Protection of Natural Resources, pay the entrance of State an amount equal to 37 percent of the difference; o) cash donations in favor of the state, the regions, local authorities, agencies or public institutions, foundations and associations legally recognized, for the realization of scientific research programs in the field of health 'authorized by the Minister of health by special decree which identifies annually, on the basis of criteria to be defined after consultation with the Joint Conference referred to in Article 8 of the legislative decree 28 August 1997, n. 281, subjects who may benefit from the aforesaid donations. The said decree determines altresi ', to the extent of the amounts indicated for the purpose, the amount of donations deductible for each subject dispenser as well as' defining the information requirements on the part of providers and beneficiaries. The Ministry of Health monitors on the use of grants and communicate, by 31 March of the year following the reference year, the Inland Revenue, the list of providers and the amount of donations deductible by them. 3. At cash donations to organizations or public institutions, foundations or associations legally recognized, made for the payment of defense costs of the parties admitted to legal aid, it does not apply the limit referred to in paragraph 1 even when the donor does not have the purpose 'institutional bylaws referred to in that paragraph 1. 4. donations other than those considered in the preceding paragraphs and in paragraph 1 of Article 95 are not allowed as deductions. Art. 101. capital losses, extraordinary losses and losses 1. Losses of assets related to the company, other than those mentioned in articles 85, paragraph 1, and 87, determined by the same criteria established for the determination of capital gains, are deductible if they are made in accordance with Article 86, paragraph 1, letter a), b) and c), and 2. 2. For the evaluation of the assets listed in Article 85, paragraph 1,
e), as financial fixed assets, the provisions of Article 94; However, for securities traded on regulated Italian or foreign markets, capital losses are deductible not to exceed the difference between the taxable value and the value determined based on the average price for the last six months. 3. For financial assets include equity investments in subsidiaries or associated companies, recorded in the accounts pursuant to Article 2426, n. 4) of the Civil Code or special laws, not 'deductible, even by way of depreciation, the portion of the excess purchase cost value corresponding to the portion of shareholders' equity resulting from the subsidiary budget. 4. they consider contingent liabilities failure to achieve revenue or other revenues that are allocated to income in prior years, incurring expenses, losses or expenses against revenue or other revenues that are allocated to income in prior years and it ceases the activity 'budgeted in previous exercises different from those referred to in Article 87. 5. the losses in property referred to in paragraph 1, is not commensurate with the amortized cost of them, and credit losses are deductible if they are to be certain and precise, and in any case, for losses on loans, if the debtor and 'subject to bankruptcy proceedings. For the purposes of this paragraph, the debtor is considered subject to bankruptcy proceedings from the date of the decision declaring bankruptcy or measure ordering the compulsory liquidation or the decree acknowledging the procedure of the courts or decree ordering the special administration procedure of large firms in crisis. 6. For losses resulting from participation in society 'general partnership and limited partnership shall apply the provisions of subparagraph 2 of Article 8. 7. Payments in cash or in kind made to grant or capital account to the company' indicated in paragraph 6 by its members and the renunciation of the same members to the credits are not allowed as a deduction and the related amount is added to the cost of the investment. Art. 102. Depreciation of tangible assets 1. The cost of depreciation of tangible assets used in the enterprise for the period are deductible as from the entry into operation of the asset. 2. Deduction and 'extent permitted no more than that resulting from the cost of the assets of the factors established by the Minister of Economy and Finance published in the Official Journal, reduced to' destination for the first exercise. The coefficients are established for groups of homogeneous goods according to the normal period of decay and consumption in the various productive sectors. 3. The maximum amount indicated in paragraph 2 may 'be exceeded in proportion to the more' intense use of the goods than the average in the sector. The same measure can 'be increased up to two times, for accelerated depreciation in the year in which the goods were put into operation for the first time, and within two; assuming gia 'assets used by other entities, it accelerated depreciation can' only be run by the new user in the year in which the goods were put into operation. By the Minister of Economy and Finance, the specified maximum can 'measure be varied, increasing or decreasing, the extent of a quarter, in relation to the period of usability' of goods in special production processes. 4. In the case of elimination of assets not yet fully amortized by the production complex, the remaining cost and 'allowed as deductions. 5. For assets whose unit cost is not 'more than EUR 516.46 and' allowed a full deduction of acquisition costs in the year they were incurred. 6. The costs of maintenance, repair, modernization and transformation, which do not result from the financial statements attributed to increase in cost of goods to which they relate, are deductible in the limit of 5 per cent of the total cost of all assets depreciable materials which is to 'beginning of the year from the register of depreciable assets; for start-ups the percentage threshold shall be calculated, for the first year, the total cost which is the end
year; on goods sold during the year the deduction is up in proportion to the duration of the possession and is' commensurate to the transferee, at acquisition cost. The surplus and 'deductible in constant installments over the next five years. For specific manufacturing sectors may be decided by the Minister of Economy and Finance, different criteria and methods' deduction. Retains the deductibility 'in the exercise of jurisdiction of the periodic payments due under contract shall be for the maintenance of certain assets, the cost of which is not taken into account in determining the proportion aforesaid limit. 7. For assets held under the depreciation under finance leases are calculated in each year to the extent resulting from the relative level of amortization and not 'allowed accelerated depreciation; the deduction of fees by the user undertaking and 'permitted, provided that the duration of the contract is not less than eight years, if this relates to real estate, and the goal' of the amortization period corresponds to the coefficient determined in accordance with the paragraph 2, in relation to the attivita 'exercised by the same, if the contract concerns movable property. The decree provided for in paragraph 3, the Minister of Economy and Finance will increase or decrease, in the meta 'limit, the aforementioned minimum duration of contracts for the purposes of deductibility' of fees, if it is decreased or increased, respectively, maximum amortization measure referred to in the second sentence of the same paragraph 3. 8. For companies leased or in usufruct the amortization charges are deductible in the determination of the renter or usufructuary income. 9. The amortization, rents also financial or rental, usage and maintenance costs related to terminal equipment for the terrestrial public mobile radio communications services subject to the tax on government concessions referred to in Article 21 of the attached rate decree of the President of 26 October 1972, n. 641, as replaced by the Decree of the Minister of Finance of 28 December 1995 published in the Official Gazette no. 303 of 30 December 1995, are deductible to the extent of 50 percent. The percentage referred to in the previous period and 'high at 100 per cent for charges related to telephone systems of the vehicles used for the transport of goods by trucking companies limited to one plant for each vehicle. Art. 103. Amortization of intangible assets 1. The amortization of the cost of the use of intellectual property rights, industrial patents, processes, formulas and information relating to experience acquired in the industrial, commercial or scientific experience are deductible in measuring not more than a third of the cost; those relating to the cost of trade marks are deductible for an amount not exceeding one tenth of the cost. 2. The amortization of the cost of concession rights and other rights recognized in the assets are deductible for an amount corresponding to the period of use specified in the contract or by law. 3. The amortization of the goodwill recorded in the balance sheet are deductible for an amount not exceeding one-tenth of the value itself. 4. You apply the provision of paragraph 8 of Article 102. Art. 104. Financial Depreciation of freely transferable assets 1. To freely transferable assets following the expiration of a concession and 'permitted, based on depreciation place referred to in Articles 102 and 103, the deduction of straight-line method of amortization. 2. The share of amortization deductible and 'determined by dividing the cost of goods, minus any contributions of the grantor, for the number of years of the concession term, considering also such fractions. In case of modification of the duration of the concession, the deductible portion and 'proportionally reduced or increased from the year in which the change and' was agreed. 3. In case of increase or decrease in the cost of goods for substitution effect at higher or lower costs, expansion, modernization, or transformation, of loss and of any other cause, the share of amortization deductible and '
increased or decreased, respectively, from the year in which you and 'verified the increase or decrease by an amount equal to the relevant amount divided by the number of remaining years of the concession. 4. For concessions for the construction and operation of public works are allowed as deductions from the financial depreciation differentiated to calculate the total investment made. The depreciation rates are determined in each case by the Minister of Economy and Finance in relation to the proportional quota within the business plan of the concession, including the cost of depreciable interest expense also notwithstanding the provisions of paragraph 1 of ' Article 110. Art. 105. provisions for pensions and pension 1. provisions for allowances' severance pay and provident funds of the employees established pursuant to Article 2117 of the civil code, as it consists in individual accounts of individual employees, are deductible within the limits of the amounts accrued in the year in accordance 'with the legal and contractual provisions governing the employment relationship of the employees. 2. The higher provisions necessary to adapt the funds arisen regarding rules and pay changes are deductible in the year from which the amendments take effect or to straight-line basis during the fiscal year and the next two. 3. It 'a deductible amount not exceeding 3 per cent of annual accruals of TFR destined to supplementary pension schemes. 4. The provisions of paragraphs 1 and 2 shall also apply to provisions relating to allowances' severance pay provided for in Article 17, paragraph 1, letter c), d) and f). Art. 106. Write-downs of loans and provisions for credit risk 1. The write-downs of claims in the financial statements, for the amount not covered by insurance, which are derived from the supply of goods and the services specified in paragraph 1 of ' Article 85, are deductible for each year within the limit of 0.50 per cent of the nominal value or acquisition of receivables. In the limit calculation takes into account the provisions for bad loans. The deduction is not 'more' admitted when the total amount of write-downs and provisions reached 5 percent of the nominal value or acquisition of claims in the balance sheet at year-end. 2. Losses on claims referred to in paragraph 1, determined by reference to the claims Nominal value or acquisition thereof, they shall be deductible in accordance with Article 101, only for the part that exceeds the total amount of write-downs and provisions deducted in previous years. If in any year the total amount of write-downs and provisions deducted exceed 5 percent of the nominal value or acquisition of the credits, the difference in taxable income for the same. 3. For credit and financial institutions referred to in Legislative Decree 27 January 1992 n. 87, write-downs of claims in the financial statements, for the amount not covered by insurance, resulting from the provision of credit to the customer transactions, including financial credits granted to States, central banks or foreign government entities used for financing Italian exports or activities' linked to them, are deductible for each year within the limit of 0.60 percent of the value of claims in the financial statements, increased the amount of impairment charges. The total amount of write-downs exceeding the 0.60 per cent and 'deductible in equal installments over the following nine years. For the purposes of this paragraph writedowns assume net of reversals of claims in the financial statements. If in any year the total amount of write-downs and 'below the limit of 0.60 percent, are allowed as deductions, until the above limit, provisions for doubtful receivables. Provisions are no longer 'deductible when their total amount reached 5 percent of the value of claims in the balance sheet at year-end. 4. For credit and financial institutions in the amount of credits also include those implicit in financial leasing contracts as well as' the revaluation of the «off
budget 'recorded as under the criteria laid down in Article 112. 5. The losses on claims referred to in paragraph 3, determined by reference to the value of loans, shall, in accordance with Article 101, limited to the extent that it exceeds the amount of the provision for doubtful accounts deducted in previous years. If in any year the amount of the aforesaid provision exceeds 5 percent of the value of claims in the financial statements, the surplus in taxable income for the same. Art. 107. Other provisions 1. The allocations of expenses for cyclical maintenance and overhaul of ships and aircraft are deductible to the extent of 5 percent of the cost of each vessel or aircraft which results from the beginning of the year register of depreciable assets. The difference between the total amount deducted and the expenses paid in taxable income, or and 'deductible if negative, the year in which ends the cycle. 2. For the concessionaires of the construction and operation of public works and subconcessionarie of these companies are deductible provisions against the cost of restoration or replacement of freely transferable assets at the expiration of the concession and other expenses referred to in subsection Article 6 102. the deduction and 'allowed for each asset, up to a maximum of five percent of the cost, and not' more 'admitted when the fund has reached the total amount of expenditure on the item itself incurred in the past two fiscal years. If the expenses incurred in a financial year are higher than the amount of the fund and the surplus' deductible in the current period and in the following but not later than the fifth. The amount of unused provisions in taxable income for the year in which the devolution takes place. 3. Provisions for liabilities arising from options trading and sweepstakes are deductible by no more than, respectively, 30 percent and 70 percent of the amount of the commitments made during the year, provided they are distinguished for training exercise. Use to cover the expenses for each financial year must be made at the expense of corresponding provisions on the basis of the unit value of education of the same and any differences from this value are active or passive income. The amount of funds not used at the end of the third year following the year of training in taxable income for the same. 4. deductions are not allowed for different provisions than those expressly considered by the provisions of this Chapter. Art. 108. Expenditure related to more 'exercises 1. The costs related to studies and research are deductible in the year they are incurred or in equal installments in the current period and in the following, but not beyond the fourth. The amortization of assets acquired as a result of the studies and researches are calculated on the cost of the same amount decreased already 'inferred. For contributions paid according to law by the State or other public bodies in the face of such costs it applies to Article 88, paragraph 3. 2. The costs of advertising 'and propaganda are deductible in the year they were incurred or straight-line basis during the fiscal year and the following four. Representation expenses are allowed as deductions in the amount of one third of their amount and are deductible in equal amounts in the year in which they were incurred and the following four. Are considered entertainment expenses those incurred for goods distributed free, lthough bear emblems, names or other references to distinguish acts as company products, and the contribution made to the organization of conferences and the like. The above restrictions do not apply if the costs of representation are related to goods referred to in the previous period with a unit value not exceeding EUR 25.82. 3. Other expenditure relating to more 'exercises, other than those referred to in paragraphs 1 and 2 are deductible within the limits of the share attributable to each period. 4. The costs referred to in this Article supported by the newly established enterprises, including installation costs, are deductible in accordance with the provisions of paragraphs 1, 2 and 3 from the year they are earned its first revenues.
Art. 109. General rules on the components of business income 1. Revenues, expenses and other positive and negative components, for which the previous provisions of this Section do not provide otherwise, a component of the income of the year competence; However, revenues, expenses, and other components of which the exercise of jurisdiction is not yet known to exist or can be objectively determined the amount combine to form it in the year when these conditions are met. 2. For the purposes of determining the exercise of competence: a) the proceeds of disposals is considered earned, and acquisition costs of assets are considered incurred at the date of delivery or shipment for mobile goods and the stipulation of the act for real estate and for companies, or, if different, and after, the date of occurrence of the effect of translating or incorporation of the property 'or other property rights. No account is taken of the properties' retention of title clauses. The lease with the properties' transfer clause binding on both parties and 'assimilated to a reserve of property'; b) the proceeds of supply of services is considered earned, and the acquisition costs of the services are considered paid on the date on which the services are provided or for those addicted to the leases, mortgage, insurance and other contracts that resulting periodic payments, the date of maturity of the fees; c) for companies' and institutions that have issued bonds or similar securities the difference between the amounts due at maturity and those received in the issue and dependence 'deductible in each tax year for a certain quota in conformity' to the plan amortization of the loan. 3. The income, other income of all kinds and inventories a component of the income even if they are not charged to the income statement. 4. The costs and other expense items are not allowed as a deduction if and to the extent that they are not recognized in income for the year of expertise. However deductible: a) those charged to the statement of an earlier period, if the deduction and 'was postponed in accordance' with the previous provisions of this Section which have, or allow the postponement; b) those which, although not attributable to income, are deductible by law. Depreciation of tangible and intangible assets, other write-downs and provisions are deductible if in a schedule of the tax return and 'indicated their total amount, civil and tax values ​​of assets and those of the funds. In case of distribution, the shareholders' equity reserves and net incomes, even if achieved subsequent to the tax period covered by the deduction, a component of the income if and to the extent that the amount of remaining reserves equity, other than the legal reserve, and the remaining retained earnings is less than the excess depreciation, amortization, value adjustments and provisions deducted compared with those recognized in the income statement, net of deferred tax liabilities to the amounts deducted. The amount of the surplus and 'reduced by depreciation of capital gains or losses, the value adjustments relating to the same goods and provisions, as well as' the equity reserves and the annual surplus, which contributed to the formation of income. The costs and expenses specifically related revenues and other income, which although not resulting expensed in a component of the income is allowed as a deduction if and to the extent that they result from certain and precise evidence. 5. Expenses and other various negative components of interest expense, except for taxes, contributions and utility 'office, are deductible if and to the extent that they relate to activities' or assets from which they derive revenue or other income that contribute to income or who they do not contribute as excluded. If refer indiscriminately to attivita 'productive assets or income of computable and to attivita' or productive assets of ineligible proceeds as exempt in determining income are deductible for the portion corresponding to the ratio referred to in paragraphs 1, 2, and 3 of 'Article 96. the reserves referred to in Article 87 are not relevant to the application of the previous period.
6. If during the year the interest and proceeds referred to in paragraph 3 of Article 1996 exceed the amount of interest expense, up to the amount of such excess is not deductible expenses and other expense items have been achieved under second sentence of the preceding paragraph and for the purpose of the report provided by the said Article 96, does not take into account an amount equal to that not allowed as deductions. 7. Notwithstanding paragraph 1, default interest in the formation of income in the year they are received or paid. 8. Notwithstanding paragraph 5 is not 'deductible the cost incurred for the acquisition of the right of use or other similar right in respect of a shareholding which result in useful excluded under Article 89. 9. It is not' deductible any type of remuneration due: a) on securities, however denominated financial instruments, in Article 44, for the portion of it that directly or indirectly involves the participation to the economic results of the company 'issuer or of other societa' of the same group of the deal or in relation to which the securities were issued; b) relating to contracts of association in participation and to those referred to in Article 2554 of the WHERE 'Civil Code providing for a contribution other than that of works and services. Art. 110. General norms on evaluations 1. For the purposes of the provisions of this Chapter which refer to the goods without the cost dispose otherwise: a) the cost and 'hired before depreciation already' deducted; b) they include the cost of the accessories directly attributable costs, excluding interest expenses and overheads. However for material and instrumental intangible assets for own activities are included in the cost, up to the time of their entry into operation and for the reasonably attributable to such assets, interest expense related to their manufacture, internal or third parties as well as' interest expense on borrowings to acquire them, provided they are recognized in the balance sheet as an increase in labor costs. The manufacturing cost can be added with that same standard the costs other than those directly attributable to the product; for buildings whose production and 'direct the activities' of the undertaking will include the cost of the interest on loans taken for their construction or renovation; c) the cost of the revalued assets, other than those referred to in Article 85 a) and b) shall not be deemed to include the capital gains recognized except those which by law shall not constitute income; d) the cost of the shares, capital and similar financial instruments to shares means not including any higher or lower values ​​recorded which consequently do not contribute to the formation of income, it 'the determination of the tax base of the inventories of such actions, shares or instruments; e) for fixed-income securities held as financial fixed assets and are recognized as such in the balance sheet, the positive or negative difference between the acquisition cost and redemption value are taken to income in the amount accruing during the year. 2. For the determination of normal value of goods and services and, with reference to the date on which it considered earned or incurred and for the assessment of fees, income in kind or in foreign currency costs and expenses, shall apply when no and 'otherwise provided, the provisions of Article 9; However the fees, income, expenses and charges in foreign currency, received or incurred in a previous date, they are assessed with reference to that date. The conversion into euro of the account balances of foreign businesses is done according to the exchange rate at the balance sheet date and the differences compared to the previous year account balances do not form part of the income. For businesses that maintain systematically in foreign currency and 'allowed bookkeeping' multi-currency by applying the year end exchange rate to the balances of the relevant accounts. 3. The evaluation according to the exchange rate at the balance sheet date of receivables and payables in foreign currencies, including in the form of bonds, securities to which the regulations apply the
obligations under the Civil Code or other laws or other similar securities not recorded in fixed assets should cover the totality 'of them. No account is taken of receivables and payables for which the exchange rate risk and 'covered if the hedging contracts are also valued in the same way according to the change of year end. 4. The losses on individual loans and individual debts in foreign currencies, including in the form of bonds, the securities covered by the discipline of the obligations under the Civil Code or other laws or other similar securities to bonds, recorded in fixed assets they are deductible for an amount not exceeding the difference between the valuation of each loan and each debt according to the exchange rate at the balance sheet date and the evaluation of the same debit or credit according to the exchange of the day and 'born or the day before more 'neighbor and failing at the exchange rate of the month in which' arose. No deductible capital losses on receivables or payables for which there is exchange risk coverage, unless the hedging contract is not measured consistently. The capital loss deducted contribute towards taxable income when for two consecutive financial years the average exchange rate is more 'favorable than that used for the determination of the loss deducted. For the purposes of determining the amount to be taxed account is taken of the less favorable exchange rate recorded at the end of the two years. 5. The determined income in accordance with Article 90 and the negative components referred to in paragraphs 1 and 6 of Article 102, in Articles 104 and 106 and in paragraphs 1 and 2 of Article 107 are briefed the financial year if that and 'less than or greater than twelve months. 6. In case of total or partial change of the accounting policies adopted in previous years the taxpayer must notify the Agency of revenue in the tax return or in an attachment. 7. The components of income arising from transactions with companies 'non-resident in the State, that directly or indirectly control the company, are controlled or are controlled by the same company' that controls the company, they are valued based on the value normal of the property sold, the services provided and the goods and services received, as determined in accordance with paragraph 2, if it results in increased income; the same provision applies even if it results in a decrease in the income, but only in compliance with the agreements concluded with the authorities' competent authorities of foreign states in following the special "mutual agreement procedures" provided for by international agreements against double taxation on income. This provision also applies to goods sold and services provided by companies 'non-resident in the territory of the State on behalf of which the company carries out activities' sales and placement of raw materials or goods or manufacturing or processing of products. 8. The adjustment by the office of the assessments made by the taxpayer in a year shall also effect for subsequent years. The office takes account of adjustments directly and must proceed to rectify also to subsequent years relative valuations. 9. For the purposes of the provisions of this title that make reference to the exchange rates of foreign currencies in a month and 'ascertained, about conforming opinion Italian Foreign Exchange Office, by order of the Revenue, published in the Official Journal within the month next. 10. not allowed as deductions expenses and other expense items arising from transactions between resident companies and firms domiciled for tax purposes in countries or territories outside the European Union tax havens. They consider themselves privileged tax regimes of states or territories identified by decree of the Minister of Economy and Finance to be published in the Official Gazette, on account of the level of taxation substantially lower than that applied in Italy, namely the lack of an adequate exchange of information, or other similar criteria. 11. The provisions of paragraph 10 shall not apply when companies established in Italy provide evidence that foreign firms mainly active activity 'actual trade, or that the transactions carried out responding to a real economic interest, and that themselves have had concrete execution.
The Administration, before the issuance of the notice of tax or increasing the tax assessment, the person must notify an appropriate notice with which it is granted the same the possibility 'to provide, within ninety days, the aforementioned tests. If the Administration does not consider appropriate the evidence, must 'give specific reasons in the assessment notice. The deduction of expenses and other negative components referred to in paragraph 10 and 'still subject to separate disclosure in the tax return of the related amounts deducted. 12. The provisions of paragraphs 10 and 11 do not apply for transactions with non-residents which is applicable to Articles 167 or 168, concerning provisions relating to foreign subsidiaries companies. Art. 111. Insurance companies 1. In determining the income of the company 'and the entities carrying on activities' insurance included in taxable income for the change of mandatory technical reserves up to the maximum amount established by law, except as established in the following paragraphs. 2. The change in the technical reserves recorded in the financial statements in accordance with Article 38 of Legislative Decree 26 May 1997 n. 173, relating to insurance contracts of Life business where 'the investment risk and' borne by policyholders, and 'decreased or increased major or minor amounts recorded for the actions, to the quotas of participation and financial instruments referred to in 'Article 85, paragraph 1, letters c) and d) as well as' capital gains and capital losses, whether relating to the investments referred to in Article 87, and profits referred to in Article 89 excluded from the formation of income. 3. The change in the provision for outstanding claims related to non-life insurance contracts, the portion corresponding to the component of long-term and 'deductible in the year in an amount equal to 90 percent of the amount budgeted; the surplus and 'deductible in equal installments over the following nine years. And 'considered long-term component 50 percent of the same claims. 4. The commissions related to the acquisition of multi-year duration insurance contracts concluded during the tax year are deductible in equal installments during the same period and in the next two; However, for life insurance contracts they can be deducted for the full amount in that period. The same commission, if included among the assets of covering the technical reserves, are deductible in the corresponding premium loadings limits and for a period equal to the duration of each contract and not exceeding ten years. Art. 112. off-balance sheet operations 1. At the formation of the income of the credit and financial institutions referred to in Article 1 of Legislative Decree 27 January 1992 n. 87 they combine the positive and negative components that result from the evaluation of operations "off balance sheet", in progress at the balance sheet date, other than: a) those put into effect only with finalita 'of the change in value risk coverage of the shares, capital and financial instruments referred to in Article 85, paragraph 1, letters c) and d); b) those whose risk of changes in value are only covered by the same stocks, shares or financial instruments. 2. The positive and negative components related to the operations referred to in letters other than those resulting from the assessment contribute to the formation of income in accordance with Article 109. 3. In the formation of the income of the persons referred to in paragraph 1 shall not contribute the positive and negative components of the off-balance sheet transactions also be non-exclusively with finalita 'to cover the risks of changes in value of the shares, the shares and financial instruments with the requirements of Article 87 and those whose risks changes in value are also covered not only by the same shares, units or securities. 4. For the purposes of this Article are considered off-balance sheet operations: a) contracts that have not yet settled, spot or forward, securities and currencies; b) derivative contracts with underlying securities; c) Foreign currency derivatives; d) derivative contracts without underlying security linked to
interest rates, indices or other activities'. 5. The assessment referred to in paragraph 1 and 'carried out according to the criteria laid down in Articles 15, paragraph 1, letter c), 18, paragraph 3, 20, paragraph 3, and 21, paragraphs 2 and 3, of Legislative Decree 27 January 1992 n. 87. To this end, the negative components may not exceed the difference between the value of the contract or the performance to date of signing or that of previous year and the corresponding value at the balance sheet date. For the determination of this value, it is assumed: a) uniforms for futures traded on Italian or foreign regulated markets, the latest selling rate recorded before the year end; b) for contracts for the sale of securities, the value determined pursuant to subparagraphs a) and b) of paragraph 4 of Article 94; c) for contracts for the sale of currencies, the value determined pursuant to subparagraphs a) and b) of paragraph 2 of Article 21 of Legislative Decree 27 January 1992 n. 87; d) in all other cases, the value determined by the criteria referred to in subparagraph c) of paragraph 4 of Article 9. 6. Where the operations referred to in paragraph 1 are carried out with finalita 'risk hedging related to attivita 'and liabilities' include interest, its positive and negative components of a component of the income, according to the same criterion of the interest charges if the transactions have purposes' to cover risks related to specific activities' and liabilities', ie according to the duration of the contract, if the operations have purposes' of risks related to sets of activities' and liabilities' coverage. 7. For the purposes of this Article, the operation is considered with finalita 'coverage, it is intended to protect against the risk of adverse changes in interest rates, exchange rates or market prices the value of individual activities' or liabilities 'on- or "off balance sheet" or sets of activities' or liabilities' in the balance sheet or "off balance sheet". 8. The provisions of this Article shall also apply to entities other than credit and financial institutions when assessing the annual accounts balance-sheet items referred to in paragraph 4, without prejudice, in any case, the application of paragraphs 2 and 3 . Art. 113. Investments acquired for the recovery of bank loans 1. credit institutions may apply to the revenue Agency, in accordance with the procedure referred to in Article 11 of law 27 July 2000, n. 212 laying down the statute of taxpayers' rights, that the regime provided for in Article 87 does not apply to investments acquired as part of measures aimed at recovery of claims or arising from the conversion into new shares of loans to firms in temporary difficulties' financial, in Article 4, paragraph 3 of the decree of the Minister of treasury June 22, 1993, n. 242632. 2. The petition to the Revenue Agency must contain: a) in the case of acquisitions of equity investments for the recovery of debts, an indication of the reasons of convenience of this procedure compared to other forms of debt recovery, the mode 'and the time horizon of the recovery and, in the case of direct investments in the company' debtor, the clarification that the operability 'of the latter will be' limited to acts connected with the realization and enhancement of the heritage; b) in the case of the conversion of loans, an indication of the elements that suggest the situation of temporary difficulty 'financial debtor, reasonable prospects for economic and financial rebalancing conversion compared to alternative forms of recovery in the medium term, cost-effective of debts; It must also be given the characteristics of the recovery plan, to be developed by more 'credit or financial institutions representing a high proportion of the undertaking's debt exposure in trouble'; c) the waiver, if the application is accepted, to rely, in regard of society 'in which the participation is acquired, the options provided for in Sections II and III of this Chapter and the faculty' provided for in Article 115 to the year in which maintains possession of the investments above. 3. The acceptance of the request referred to in paragraph 1 shall include, for the purposes of Articles 101, paragraph 5, and 106, by the original creditors, equating to loans repaid or converted the shareholdings and quotas investments
then subscribed through the exercise of its right of option, provided that the value of the converted loans to be transferred to the shares received. Art. 114. Bank of Italy and the Italian Exchange Office 1. In determining the income of the Bank of Italy and Italian Office of exchange rates are not taken into account: a) the profits and proceeds to be paid to the state in compliance with laws, regulations, Articles of Association, to the deliberations of the interministerial Committee for credit and savings or agreements with the Ministry of economy and Finance; b) capital gains and gains related to foreign currencies, securities, receivables and payables in foreign currencies recorded in the financial statements according to exchange rate movements and accrued in a specific liabilities. 2. The provisions of Articles 110, paragraph 2, third sentence, 106, paragraph 2, and 112. Art. 115. Option to tax transparency 1. By exercising the option provided for in paragraph 4, the taxable income the persons referred to in Article 73, paragraph 1, letter a), the share capital of which only involved parties referred to in that Article 73, paragraph 1, letter a), each with a share of voting rights exercisable at general meetings invoked Article 2346 of the civil code and profit not less than 10 percent and not more than 50 per cent, and 'charged to each member, regardless of the actual perception, in proportion to his share of profit. The requirements of the preceding sentence must be fulfilled from the first day of the tax year of the investee company in which you exercise the option and remain uninterrupted until the end of the option period. The exercise of the option is not 'allowed in case the company' subsidiary: a) has issued equity instruments provided for in Article 2346, last paragraph, of the Italian Civil Code; b) exercise the option provided for in Articles 117 and 130. 2. In the event that the shareholders with the requirements of paragraph 1 are not resident in the State exercising the option and 'permitted provided it does not there is no obligation of withholding tax on distributed profits. 3. The imputation of income occurs during the tax years of the company 'participants in progress at year end of the company' subsidiary. The withheld taxes to the title on the income of that company ', the related tax credits and payments on account is scomputano from the tax due by the individual members according to the percentage of participation in the profits of each. The tax losses of the company 'subsidiary relating to periods in which' effective option are allocated to shareholders in proportion to their share of participation and within the limit of its share of the net equity of the company 'subsidiary. 4. The option and 'irrevocable for three financial years of the company' participatory and must be exercised by all companies 'and communicated to the financial, within the first of the three aforementioned financial years, according to the procedures' set out in a measure director of the revenue. 5. Exercise of the option referred to in paragraph 4 does not change the tax treatment by the members of that distributed by the company 'participatory using reserves established with retained earnings and reserves referred to in Article 47, paragraph 5. In purposes of this paragraph, during periods of validity 'option, unless a different explicit will' shareholders, considering primarily distributed profits attributed to its shareholders pursuant to paragraph 1. In the case of cover losses, are considered primarily used the profits attributed to its shareholders pursuant to paragraph 1. 6. in the case are not the conditions for exercising the option, the effectiveness of the social ceases beginning of the current year the company 'subsidiary. The impacts are not less in the case of change in the business of the company 'owned team through the entry of new members with the requirements referred to in paragraph 1 or 2. 7. In the first exercise of the option effectiveness obligations payment remain even for subsidiaries. For the determination of payment obligations of the investee company and its shareholders in case it is not the option's effectiveness, apply the provisions of article 124, paragraph 2. In the case of
Failure to renew the option, the payment obligations are determined without considering the effects of the option for both companies' subsidiary, is for Members. 8. The company 'participatory and' jointly and severally liable with each member for the tax, penalties and interest resulting from the obligation in income imputation. 9. The procedures for application of this standard shall be established by the Ministerial Decree referred to in Article 129. 10. For the persons referred to in paragraph 1 shall apply the provisions referred to in Article 40, second paragraph, of the Decree of the President of the Republic September 29, 1973, n. 600. 11. The socio restates the taxable income subject to allocation by adjusting the assets of the company 'owned accordance with the terms' provided for in Article 128, up to the amount of determinatesi write-downs due to impairment losses and unrecognized tax provisions, to net of reversals subject to taxation, derived from the same partner in the tax year preceding the one from which affects the option referred to in paragraph 4 and the previous nine. 12. For investments in companies 'indicated in paragraph 1 and the relative cost' increased or decreased, respectively, of income and losses attributed to its shareholders, and and 'altresi' decreased, up to the amount of imputed income, profits distributed to shareholders .