At the stewardships of finance inspectorates compartmental At the district offices of the direct taxes direct taxes For the service centers of the direct taxes of Rome - Milan - Bari - Bologna - Genoa - Pescara - Venice - Palermo - Salerno and Turin At the provincial directorates of the Treasury At Accounts Offices provincial State the General Command of the Guardia di Finanza and, for information: to the Presidency of the Council of Ministers to the Ministers At the General Accounting Office At central Accounts Offices of the national Institute of social security Ministries At the Directorate General for general affairs and personnel - At the central inspection service of the tax service inspectors at dealerships national Consortium PART ONE OBLIGATIONS oF SUBSTITUTES tAX 1. Subjects providing tax assistance. Article. 78, paragraph 10 of Law no. 413 of 1991 provides that the holders of income from employment and similar indicated in Articles 46 and 47, paragraph 1, letters a) and d) of the consolidated law on income tax can also fulfill their reporting obligations by submitting, by the end of February, a special tax return (mod. 730) persons granted the same income. Those who pay the tax assistance is, therefore, both the withholding of art. 23 of the Decree of the President of the Republic n. 600 of 1973 both administrations in art. 29 of the Decree of the President of the Republic n. 600 and that means': a) natural persons carrying on commercial companies pursuant to Art. 51 of the Income Tax Code; b) individuals engaged in agricultural enterprises; c) natural persons exercising trades and professions in accordance with art. 49 of the Income Tax Code; d) the companies 'people and associations characterless' legal formed between natural persons for the exercise in form associated of arts and professions in art. 5 of the Income Tax Code; e) institutions and the companies' indicated in the art. 87 of the Income Tax Code; f) State administrations, including those with autonomous status; g) administrations of the Chamber of Deputies, the Senate and the Constitutional Court. The subjects mentioned above lend assistance to the tax: income holders employees and retirees in art. 46 of the Income Tax Code; worker-members of cooperatives of production and labor, service, agricultural and primary processing of agricultural products and the incomes of small holders fishing in art. 47, paragraph 1, letter a) of the Income Tax Code; income priests holders in art. 47, paragraph 1, letter c) of the Income Tax Code. They can not benefit from assistance holders of income derived from employment performed abroad on an ongoing and as the exclusive object of the relationship. This' because such income is excluded from the tax base Income Tax pursuant to art. 3, paragraph 3, letter c) of the Income Tax Code. With respect to the recipients of pensions and tax assistance 'given by the subjects who provide such treatments, including those different by these institutions. Against receipt of the salaries in art. 47, letter d) of the Income Tax Code and the tax 'paid by the Central assistance for the support of the clergy who carries out the withholding tax on such income in accordance with art. 25 of Law 20 May 1985, n. 222. They can also apply for tax assistance individuals who have established a relationship with the withholding during the year covered by the tax return or in the months of January and February the following year. As for employees with fixed-term employment contract for the period less than one year assistance can ' It is paid only if the employment relationship shall cover at least the period between February and June of the year following that in which the tax return. 2. Ways' tax assistance swing. The subjects identified in the preceding paragraph are required to keep the pre-tax assistance to those wishing to request it by 15 December of that year the tax return. For the year 1993, the withholding agents right 'not to fulfill the obligations related to activities' provided for by art. 78, paragraph 13 of Law 30 December 1991 n. 413, by giving notice to their employees by 5 December 1992 using appropriate means even corporate information. In this case it remains stationary for withholding the obligation to take into account, for the purposes of the adjustment to be made within the withholding tax with the mode 'provided for by art. 78 of Law 30 December 1991 n. 413, the accounting result of the liquidation of the submitted tax returns to Tax Advice centers in art. 78, paragraph 20 of Law no. 413 of 1991 (also for the employees and pensioners who have not been made by 15 December communication to want to avail themselves of assistance CAAF). The request for assistance must be made by means of a specific notice which must disclose the data in the 730-6 model approved by the Minister of Finance. The communication may 'also contain other data necessary for the programming of assistance. The withholding agent must issue a receipt of the communications delivered to him. The substitute itself and 'exempted from service if such communications are delivered or the the are still received after the date of 15 December. The withholding agent and 'ALSO' exempted from the tax assistance, where it has formed a CAAF in art. 78, paragraph 20 of Law no. 413 of 1991, subject to the requirement to carry out the operations referred to in section 2.4. Within the same time those who wish to avail of the assistance of an authorized tax assistance center for employees and retirees must inform the withholding agent. This communication is not 'necessary in respect of government departments and institutions which provide pensions. The withholding agent must still make the proposed transactions relating to debit sums or credit emerging from the final accounting result of the mod statement. 730 communicated by the CAAF, also for employees and retirees who have not made the communication of wanting assistance to exercise the CAAF. The withholding agent in the performance of the obligations of assistance may 'avail themselves of professional or external to the organization. In such cases it remains firm the responsibility 'of withholding subsequent assistance given. The tax assistance may 'also be paid by means of an agreement with an authorized tax assistance center referred to in paragraphs 1 and 2 of art. 78 of the law of 30 December 1991 referred to in paragraphs 1 and 2 of art. 78 of Law 30 December 1991 n. 413. In this case, the mod tax returns. 730 must be received by the withholding agent that transmits the CAAF. The Centre, after having compiled and reviewed those statements, submit to substitute, for delivery to taxpayers, in duplicate copy of the same statement also containing the payment schedule. The tax assistance must be carried out according to the procedures' provided for in Title I of the Regulation approved by Decree of the President of the Republic September 4, 1992, n. 395, published in the Journal Ufficiaile n. 231 - general series - 1 October 1992. In this Circular are provided clarification in relation to particular matters concerning the formalities to be carried out at various stages of the support process. 2.1 Certification of income and deductions as a down payment. In order to allow filling in the tax return that the employee must submit to tax benefit from assistance, the withholding agents must provide interested parties, unless they have already 'released the prescribed certifications, early communications containing only the elements (related to all income subject to withholding tax as an advance) required for the compilation of 730. model statements Even if released in prepaid communications the withholding agents are still obliged to provide the certifications within the period referred to in Article. 16 of the Law of 13 April 1977 n. 114. In order to allow for withholding the preparation of advance notices to be delivered by the end of February, the parties concerned must make timely request (if it is not submitted the communication to want to avail themselves of the assistance CAAF). This request does not relate to income paid out by the same person to whom and 'was not sought assistance. The income elements that must be indicated in the advance notices are those identified with the ministerial order approving the forms concerning the tax assistance. Certificates and prepaid communications relating to employee compensation should also contain the amount of the salary or pension for the month of January or, failing that, that of February. Such remuneration or basic pension must be shown net of all deductions also not central government; it must therefore have regard to the sum which remains effectively provide the employee or retiree. In case of pay periods other than monthly for the purpose of identification of the reference pay shall be taken of wages for the month. To the detection of the reference pay for persons recruited during the month of February, for which is not paid a full monthly payments ', it can' be made the ragguaglio per month. Please note that pursuant to art. 14, paragraph 2, of the Regulation bodies (including government departments) that provide pensions must deliver to their citizens associated certificates or prepaid communications within the month of January; to that end, not 'necessary that individuals requesting it. In respect of government departments the request should not be made either for income from employment other than pensions in respect of which they will still be provided by February its antic- Ipate communications (ie certification). The signing of certifications and communications antic- Ipate can 'be effected also by means of automatic processing systems by the entities that transmit the mods statements. 770 Financial Administration on magnetic media. 2.2. Receipt of appropriate tax returns (mod. 730). Persons intending tax be assisted discharge their obligation to tax redditii presenting to the persons indicated in paragraph 1 of the appropriate tax return within the month of February of the year following that to which the declaration itself refers. The declarations shall be made, under penalty of nullity ', on printed in accordance with the model approved by the Minister of Finance (mod. 730). The declaration must be signed, under penalty of nullity ', by the taxpayer or by whoever has the legal or contractual representative, who assumes responsibility'. The statement of income mod. 730 and the envelope containing the mod. 730-1 should be delivered, also through third party, to the person providing the assistance, which, although not required, it must issue a receipt to be drawn on printed in accordance with the mod. 730-2 approved by the Minister of Finance. Upon delivery and before the issuance of the receipt the person who pays the tax assistance must ensure that the declaration proves duly signed. 2.3. Statement of liquidation of the declaration. Within the month of April, the entity providing the assistance must be delivered to copy registrants in duplicate of the mod tax return. 730, controlled and processed, also containing data on income paid directly by the withholding agent as well as' the identity of the replacement itself and the tax payment schedule and any contribution to the National Health Service. The signing of the settlement prospects can 'be effected also by means of automatic processing systems, by parties which transmit the mods statements. 770 Financial Administration on magnetic media. 2.4. Carrying out the adjustment of withholding taxes and taxes and the contribution to the NHS Article. 3, paragraph 5 of the Regulation lays down that the amounts that the statement of liquidation are in debt, taken from salary or pension paid in May, they are paid in the following month of June in addition to the withholding of the declarant payment made in May. Where the total amount of taxes due, any contribution to the NHS and raw withholding rate, resulting from line 36 of the payment schedule (the algebraic sum of the amounts debit and credit for taxes, the contribution to the NHS and the first installment of the advance payments referred to in lines 33, 34 and 35 of the prospectus), exceeds the amount of a payment or installment of the basic pension is the withholding agent shall inform the registrant, using the settlement statement, which the same must carry out before the normal deadline, payments of taxes and / or contributions resulting in debt while the amounts that are on credit (also as a result of adjustments permitted by law) will be reimbursed by the substitute according to the procedure laid down in Article . 3, paragraph 5, of the Regulation. In the event that the amount of withholding payments to be made in November proves, however, less than the amount of the reference pay, the withholding agent shall at the same prospectus that will provide 'to pay the amount of' down payment in addition to withholding of November. If the execution of the withholding adjustments occur that, despite having been found to accommodate the salary or the installment of basic pension, the sums to be paid to this matter in May and / or November are inferior to ' amount of taxes and / or contributions due, refrains from adjustment operations for the month for which it and 'checked said sums being insufficient. In this case, the substitute must promptly provide written notice to the parties concerned the amount of debts to be paid directly by taxpayers. The debit or credit as a result the tax settlement and 'respectively added or deducted to pay the withholding tax even when it is worth less than L. 20,000. Please note that the amounts that are receivable from line 37 of the payment schedule shall be reimbursed by the deputy through the reduction of withholding taxes in May related to the employee or retiree, or by using, if necessary, the total amount of withholdings same month to all employees. Therefore, the substitute for this purpose will use 'only the total amount of withholding tax and not the taxes added to withholding same in relation to assistance paid in respect of other employees. PART TWO OBLIGATIONS OF CENTERS AUTHORIZED SERVICE TAX FOR EMPLOYEES AND RETIREES (CAAF / dip) 1. Persons entitled to the constitution of the CAAF / dip. According to the provisions of art. 78, paragraph 20 of Law no. 413 of 1991 may be the CAAF / dip .: a) the labor movement for various employees and pensioners who: 1) are represented in the National Council for Economy and Labour (CNEL); 2) have a total of at least fifty thousand members. They fall into the category of persons entitled also the geographical locations and category of the aforementioned trade union organizations after the delegation of the latter. Can constitute the CAAF / dip. even the trade union associations of entrepreneurs in the CNEL that even associate it with pensioners as well as 'pensioners' organizations are members of them (and their geographic locations), after the association delegation present in the CNEL. In the cases mentioned above the requirement of point a / 2 must exist in relation to the number of members to the territorial organization ie the number of only income from pension holders associated with entering the category of entrepreneurs. For the purpose of verification of the requirement of paragraph 2) employees and / or retirees counted among those enrolled in two or more 'of the territorial divisions or category of member unions of the CAAF / dip. They are counted only once; b) one or more 'withholding of art. 23 of the Decree of the President of the Republic n. 600 of 1973 with at least fifty employees altogether. They can not exercise this right 'government administration and other administrations in art. 29 of the Decree of the President of the Republic n. 600 of 1973. The legal representative of the CAAF / dip. must submit to central management for the assessment and planning of the Department of Revenue of the Ministry of Finance appropriate for authorization to carry out the activities 'of assistance, which should be attached certified copy of incorporation and articles of association as well as' the documents proving the that the requirements and conditions set out in Article. 78, paragraph 20 of Law no. 413 of 1991. The application must be in compliance with the rules on stamp duty. Received the request to the competent department verifies and demands of art. 9, paragraphs 1 and 2 of the Regulation. 2. Ways' tax assistance swing. The individuals identified in paragraph 1 shall be required to pay the tax assistance in respect of the interested parties who so request even if the latter have not submitted to the employer the communication of its intention to invoke the assistance of the CAAF / dip. The tax assistance must be carried out according to the procedures' laid down in Regulation approved by Decree of the President of the Republic September 4, 1992, n. 395, published in the Official Gazette no. 231 - general series - 1 October 1992. Following are provided clarification in relation to particular matters concerning the formalities to be carried out in the various stages of the support process provided by the CAAF / dip., Other than those who have already 'object format exam Part I in respect of assistance given by the withholding agents. 2.1. Receipt of appropriate tax returns (mod. 730). Persons intending tax be assisted discharge their obligation to the tax return by submitting to the CAAF / dip. the appropriate mod statement. 730 within the month of February of the year following that to which the declaration itself refers if they are holders of employment income derived from pensions, ie by the end of March if they are holders of income from employment other than retirement. In the case where the taxpayer is a holder of both types of income mod. 730 must be presented in March. The declarations shall be made, under penalty of nullity ', on printed in accordance with the mod. 730 approved by the Minister of Finance. The declaration must be signed, under penalty of nullity ', by the taxpayer or by whoever has the legal or contractual representative, who assumes responsibility'. The statement of income mod. 730 and the sealed envelope containing the mod. 730-1 should be delivered directly to the CAAF / dip., Who, although not required, it must issue a receipt to be drawn on printed in accordance with the model approved by the Minister of Finance. In the said envelope to be submitted with the mod. 730 relative to income for the year 1992 should be, altresi ', including the model declaration to the local tax on real estate. Upon delivery and before the issuance of the receipt CAAF / dip. must verify that the mod statement. 730 proves duly signed. 2.2. Statement of liquidation of the declaration and its communication to the withholding agent. By April the CAAF / dip. Registrants must deliver the copy in duplicate of the mod tax return. 730 controlled and processed also containing the identification data of the service center and of the tax payment schedule and any contribution to the National Health Service. The signing of the settlement prospects can 'be carried out by means of automatic processing systems. CAAF / dip. communicate the final accounting result of the tax return to the withholding agent whose data was designated by the taxpayer in the mod. 730. Article. 15, paragraph 2 of the Regulation provides that the delivery of communications is via magnetic media with regard to the employer, the Ministry of Treasury and other government departments. These authorities may, however, require at least thirty days before the expiry of the deadline within which the CAAF / dip. must deliver communications, these are being sent by hard copy if the authorities themselves are not in a position to use magnetic media. The taxpayer other than those mentioned above, as a result of specific agreements with the CAAF / dip., Can get from the last delivery of communications by means of magnetic media. Magnetic media must be prepared in accordance 'with the technical provisions in an annex to the Ministerial Decree of mod approval. 730. PART THREE SANCTIONS If taxpayers choose to fulfill their reporting obligations with the assistance of withholding or of CAAF / dip., Configuring, pertaining to the parties concerned, distinct responsibilities', which they are related separate administrative sanctions. In particular art. 78, paragraph 17 of Law no. 413 of 1991, provides that, in respect of the taxpayer, the penalties provided for under Title V of the decree n. 600 of 1973 for violations committed during the presentation of the statement of income to substitute or center, such as, for example, those for the infidelity 'or incompleteness of the declaration. Nothing 'was expected, however, in that article about the interests and surcharges, referred to in Articles 9 and 92 of the Decree of the President of the Republic n. 602 of 1973, imposed following the payment of taxes due on the basis of the tax return made under Art. 36- bis of that decree n. 600 of 1973. However, it should be considered that surcharges and interests can only be charged to the taxpayer, if the irregularities' have been committed by him. It is, in practice, of irregularities' related to the lack or irregularity 'documentation of deductible expenses, withholding and any other documentation required by law, that should not be shown to alternates and to the centers, but rather' kept at the domicile tax of the taxpayer. In respect of withholding and the aforementioned paragraph 17 art centers. 78, provides an innovative way, the imposition of monetary penalty from one to two times the lowest tax paid, if, at the time of the employee or retired employees tax returns control by the tax authorities, emerge irregularities' relating to the obligations provided to such persons. It must be considered that such a penalty is applicable in the case of unfaithful, incomplete or omitted details, in model 770 or in the declarations of taxpayers sent by the Financial Administration centers, exposed in the statements of income received by taxpayers well 'in case of failure or inaccurate indication , by the taxpayer, the income provided by these to employees or pensioners who benefit assistance. As regards, instead, the violations arising on liquidation, pursuant to Art. 36-bis, of the taxes due according to the statements of withholding or the statements of income received from the centers, and ascribed to them, the surcharges should be imposed in respect of such entities, provided that the taxes and interest are due by taxpayers. * * * The stewardships of finance and departmental inspectorates direct tax issue acknowledgments of this circular to the Directorate General of direct taxes; District offices of direct taxes and service centers to their stewardships of finance. Minister: GORIA