Switzerland: finally in the Italian white list

Switzerland is officially on the italian "white list" from August 22, 2016, which is the list of states with which it is possible to implement the exchange of information to prevent double taxation.

Along with the Swiss country, even countries like Liechtenstein, San Marino and Hong Kong, have entered the list, as stated in the decree of the Italian Minister of Finance published in the "Official Gazette".

Decree 239/1996, which in fact is now integrated with the new list, determines the withholding tax on interest, premiums and other income from bonds and similar securities, public and private, received by persons resident in countries that allow an adequate exchange of information. Thanks to the entry in the "white list", financial operators will invest in Italy with less tax obstacles.

The ministry, however, has reserved the right to check the effectiveness of information exchange agreements with all the countries belonging to the new list. In fact, in the event of repeated violations of the obligation of administrative cooperation between competent authorities, where this is not ensured in the operational practice the adequacy of the information exchange, Italy will be able to delete them from the list.

The measure has two immediate effects. The first consists in the enlargement of the group of countries to which residents will be allowed to invest in government and corporate bonds without being subject to the substitute tax on the interest provided for in Decree 239/1996.

The second effect involves the expansion of the market of capital for public and private entities, not limited to bonds, but also to other forms of funding: this is thanks to references to this list present tax law, incorporated in the years more and to exempt residents in these jurisdictions by the withholding tax on capital income.

What do you think about this article? Leave your point of view on Facebook