Tax Pills

Only a few more weeks remain to submit the 730/2023 tax return form. In fact, the deadline is set for Monday, Oct. 2. By this date, taxpayers can access, possibly enrich and/or modify and lastly submit their own fiscal declaration online. There are more than 1.3 billion data just processed by the Agency to pre-fill this year's tax forms to simplify compliance for citizens. For instance, already "in" are the expenses incurred by millions of taxpayers for the purchase of medicines and medical visits, income data transmitted with the unique certifications by employers, interest paid on the "first home" mortgage, school expenses and many other amounts.

A valuable aid for the elderly and those unfamiliar with the Internet - Those who are unskilled with the web application, or do not have the opportunity to use it themselves, can still delegate a family member or trusted person to manage their prepopulated tax returns (view, accept or modify it and send it in their own interest).

From access to submission in a few steps - To access the income declaration, simply enter your reserved area at www.agenziaentrate.gov.it with your Spid (Public Digital Identity System), Cie (Electronic Identity Card) or Cns (National Service Card) credentials. Once inside the dedicated web application, one can view the tax form and consult the data already pre-loaded in detail to confirm or possibly supplement them. With the "assisted compilation" function, it is possible to edit the data showed or enter new ones in a guided mode. A video-tutorial, online on the Agency's YouTube channel, explains in a few minutes the basic steps for submission, while a dedicated website "info730," gathers all useful information and answers to frequently asked questions. Also online on the Revenue website taxpayers can consult a free guide on The Precompiled Declaration 2023. Yet, it is important to bear in mind that the Pre-filled 730 tax form must be submitted by Oct. 2, 2023, while for the Redditi fiscal form (and the 730 corrective Redditi) there is time until Nov. 30, 2023.

What is in the forms - The basket of information pre-loaded by the Agency exceeds 1.3 billion this year: more than one billion data on health care expenses, 99 million insurance premiums, 73 million unique certifications with the yearly incomes of employees and self-employed, 11 million remodelling transfers, 8.5 million data on mortgage interest expense, and 6.5 million on school expenses. Are also included in the 2023 prepopulated tax returns rental expenses and brokerage expenses for the purchase of property used as a "first home". All these newly added information have been supplemented to those already loaded in previous years (social security and welfare contributions, those paid for domestic workers, university and day-care expenses, etc.).
 

Stefano Latini

With today Circular letter no. 25/2023, the Italian Revenue Agency reviews the most recent developments in the legislation and practice on both the taxation of jobs performed by remote working (smart working), with specific reference to the impact of agile work on tax residence and the related taxation of income received, and on cross-border workers in the light of the innovations introduced by the latest Italy-Switzerland agreement recently translated into law (Law no. 83/2023).

On smart working - Particularly, the practice document repeats that in the absence of specific regulatory changes, the ordinary criteria to value physical presence in a given State for tax purposes apply also to smart working, both at the domestic and at the conventional level. Therefore, the only exceptions to this rule are represented by the so-called "COVID Agreements" signed during the pandemic period with border States, whose legal effects, indeed, have already expired, for both the Agreements with Austria and France, on 30 June 2022, and, for the Agreement with Switzerland, on 31 January 2023.

On the new measures of the renewed agreement with Switzerland - In addition, the Circular letter illustrates the fiscal changes brought about by the provisions contained in the new Agreement between Italy and Switzerland on the taxation of cross-border workers, which amends the one of 2020. These novelties, introduced by Law No. 83 of 13 June 2023 in the domestic system, mainly concern Article 4, which raises, but only as of 2024, the no-tax area for employment income received by Italian frontier workers from euro 7,500 to euro 10,000. This increase applies to all frontier workers and not only to those working in Switzerland. And again, Article 5 provides for the deductibility from the total income, for the amount resulting from appropriate documentation, of the social security contributions for early retirement contractually payable by frontier workers to the social security institutions of the state in which they work. This novelty also only takes effect from 2024 and affects all frontier workers. And finally, it is reiterated that the decree of the Minister of Economy and Finance signed on 20 July 2023 and published in the Official Gazette no. 175 of 28 July 2023 has definitely stated Switzerland's exit from the list of privileged states for IRPEF purposes set forth in the ministerial decree of 4 May 1999 (the so-called 'black list for natural persons').

Stefano Latini