Important Information on Taxes in Italy

8/2/2019 Important Information on Taxes in Italy

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Agenzia delle EntrateAgenzia delle EntrateAgenzia delle EntrateAgenzia delle Entrate

IMPORTANT INFORMATION ON TAXES AND WORK

(Laws in effect as of 30/4/2003)


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Agenzia delle Entrate

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ARE YOU AN IMMIGRANT AND HAVE PROBLEMS

WITH THE ITALIAN LANGUAGE?

ARE YOU UNABLE TO FIND INFORMATION ONHOW TO COMPLY WITH ITALIAN TAX LAWS?

DO YOU WANT TO KNOW HOW TO WORK LEGALLYIN ITALY?

DO YOU WANT TO REPORT TAX AND WELFARE

CONTRIBUTION VIOLATIONS THAT CONCERN YOUDIRECTLY?

In this booklet, you will find a simple answer to all thesequestions and a guide to the services offered in your district; inparticular, the following will be explained to you:

HOW AND WHY YOU SHOULD REGULARISE YOUR POSITION WITH THEITALIAN TAX OFFICE 4TAX-PAYERS CODE NUMBER 5STARTING A BUSINESS AND YOUR VAT NUMBER 6

YOUR INCOME TAX RETURN 8BUYING OR RENTING PROPERTY 10INFORMATION BY TELEPHONE 11TAX OFFICE POLICE: WHO THEY ARE AND HOW THEY CAN HELP YOU 12HOW IMMIGRANTS CAN WORK LEGALLY IN ITALY 13REGULATIONS AND DOCUMENTS FOR FOREIGNERS WORKING IN ITALY 15


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HOW AND WHYYOU SHOULD REGULARISE YOUR POSITION

WITH THE ITALIAN TAX OFFICE

DO YOU HAVE A JOB AND RECEIVE ASALARY?

DO YOU HAVE OTHER INCOME?

YOU HAVE TO DECLARE IT TO THETAX OFFICE

(Form: Mod. 730 UNICO)

If you can demonstrate that

1.the income you have received and declared issufficient for you and your dependants living withyou;

2.you have a house or apartment that you bought(deed of sale) or rent (registered contract);

then you can

obtain a Residence Card

guarantee another foreigners entry in the country

request to have your family rejoin you

renew your residence permit


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TAX-PAYERS CODE NUMBER

The official identity card used fortax purposes and which every tax-payer must have.

WHAT IT IS FOR

to complete your income tax returnto pay taxes

identification

WHERE TO REQUEST IT

Local Internal Revenue Offices

City Hall (for new-borns)

HOW TO REQUEST IT

Go to the Offices with one of these documents:

1.valid passport with unexpired entry visa;2.valid residence permit;3.identity card issued by the Italian city you live in;4.birth certificate, or parents self-certification, for

new-borns.

You must fill out Form AA4/7, which you will find in theOffices, and submit it at the appropriate counter.

HAVE YOU LOST YOUR TAX-PAYERS CODE

CARD?

Ask the office for a duplicate, which will be sent to you

within a month.If it was stolen, report it to the police.


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STARTING A BUSINESS

AND YOUR VAT NUMBER

Starting a business means you want toproduce, sell, provide services

You can be a business, or self-employed;you can start up a company

You mustreport the start-up of a new

business within 30 days

You are immediately given a card with an

identification code, your VAT number,which in the case of a company is also thetax-payers code number

WHERE TO REQUEST IT

Local Internal Revenue Offices

Chamber of Commerce (when you register the company)

HOW TO REQUEST IT

1.sole proprietorship or self-employed person fill out Form AA7/7 (obtain from

Office)

provide personal identification; ifanother person has been delegated,he/she needs:

aproxy(written authorisation) a copy of the delegating personspersonal

identification document the delegated persons personal

identification document


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2.company fill out Form AA7/7(obtain from Office) submit registered deed of incorporation or

copy of same authenticated by a notary public provide the company signers tax-payers code

andpersonal identification document

IF INFORMATION CHANGESOR BUSINESS IS SOLD OR CLOSED

if any of the information provided in the newbusiness start-up statement changes, you must,within 30 days, submit a new statementnotifying the authorities of the information that haschanged, and enclose the above-listeddocumentation.

if your business is sold or closed, you must, within30 days, submit a statement of transfer or

closure


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YOUR INCOME TAX RETURN

If you are employedpossess a house or apartmenthave no deductible expenses (medical

expenses, etc.)

YOU DO NOT HAVE TO SUBMIT A RETURN

If you have income from employed workother incomeincurred costs that you can deduct

IT IS A GOOD IDEA TO SUBMIT A RETURN

using Form 730

ADVANTAGES

it is easy to fill out; you can get helpfrom the CAF (Tax assistance)

centres or the Local Tax Offices;

no need to queue to submit the 730or to pay;

any refund is paid directly into your pay packet.HOW TO SUBMIT IT

to your employer, by the end of April; to a CAF centre, by June 15th (free of charge).


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If you have a business or are self-employed

YOU MUST SUBMIT

THE "ALL-IN-ONE" TAX FORM

(including your VAT information) no later thanJuly 31st, at your bank or at the post office; by

October 31st, if submitted electronically.

Any payment can be made at your bank,using Form F24.

You can get help in filling out and submittingyour tax return from the Office.


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BUYING OR RENTING PROPERTY

When you buy a property

A.If the seller is the company that built it, you pay VATo When you buy your first home, VAT is 4% of the

priceo When you buy another home, VAT is 10%o When you buy other properties, VAT is 20%

B.If the seller is different from A., you pay a registrationtaxo When you buy your first home, the rate is 3% of the

valueo When you buy another home, the rate is 7%

You will also be asked to pay mortgage and cadastral taxes.A notary public, however, will guide you through the paymentof these taxes.

Remember! You must pay: VAT when you receive the purchase invoice the registration tax when the purchase is registered.

When you rent a home

the contract must beregistered

the registration tax is 2%


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INFORMATION BY TELEPHONE

Automated

Service

848-800333

TelephoneReservations

199-126003

You can request tax information and

assistance by telephone, Monday to Friday

from 9 AM to 5 PM,

and Saturday from 9 AM to 1 PM, calling

this number


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TAX OFFICE POLICE: WHO THEY ARE

AND HOW THEY CAN HELP YOU

Who they are

A special police force, assigned the task ofcombating:

tax evasion currency offences organised crime

illegal immigration smuggling

When you can ask for help

to report tax and welfare contribution violations to report what you believe to be offences

What you can ask

You can telephone .

To talk to someone immediately.

You will receive prompt information and assistance 24 hoursa day, 365 days a year.


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HOW IMMIGRANTS CAN WORK LEGALLY

IN ITALY

(Law 286/98 and successive modifications and additions)

ENTRY IN ITALIAN TERRITORY

Foreigners with a valid passport or equivalentdocument and an entry visa may enter Italian

territory.

Foreigners may enter Italian territory, exceptin cases of force majeure, only at official bordercrossings.

WHO NEEDS A VISA TO ENTER ITALY

citizens of some non-European countries (as set

out in the Schengen Agreement) stateless persons

WHO IS REFUSED A VISA

foreign citizens who have previously been expelledfrom Italy or by a country in the Schengen Area

foreign citizens considered dangerous to publicsafety and order in Italy or in other EuropeanUnion countries


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WHO TO ASK FOR A VISA

The Italian embassy orconsulate in your country oforigin or where you are a

permanent resident.

For stays up to 3 months, a visa issued, as perspecific agreements, by Embassies or Consolates of

other states may be used in place of theaforementioned visa

TO OBTAIN A VISA

FOR EMPLOYMENT The employer asks the District Labour Office for an

work permit for foreign citizens (subordinate work,including seasonal work, within the limits of

immigration quotas) or for an employmentauthorisation permit (for special worker categories)

The Provincial Labour Office, conditions permitting,issues the permit to the employer within 40 days

Once an entry visa is obtained, the foreigner must,within 8 days from his/her arrival in Italy, go to theProvincial Labour Office and sign the RESIDENCECONTRACT

FOR SELF-EMPLOYMENT Self-employment is permitted for those business

activities not reserved by law for Italian citizens orE.U. citizens

The entry visa is issued with the expressdescription of the business activity to be carriedout


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REGULATIONS AND DOCUMENTS

FOR FOREIGNERS WORKING IN ITALY

RESIDENCE PERMIT

The document authorising foreign citizens toreside in Italy.

Foreigners who request a residence permit(or its renewal) will be photographed

WHERE AND HOW TO REQUEST IT

at the nearest provincial Police Headquarters, within 8business days from the foreigner's date of entry

fill out the required form at police stations submit passport or equivalent document and entry visa

LENGTH OF VALIDITY FOR DIFFERENT REASONS:

up to 3 months (visits, business, tourism); up to 1 year (to attend school/training courses); not beyond specifically documented need (special

cases)

FOR WORK: a total of 9 months (one or more seasonal work

contracts);

up to 1 year (short-term subordinate employmentcontract);

up to 2 years (long-term subordinate employmentcontract);

up to 3 years (for repetitive seasonal work, forpersons who demonstrate they have come to Italy forat least 2 consecutive years), with annual validity;

up to 2 years (for self-employment)


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HOW TO RENEW IT Apply at the District Police Headquarters:

at least 90 days before the permit expires (long-termsubordinate employmentcontract);

at least 60 days before thepermit expires (short-termsubordinate employmentcontract);

at least 30 days before thepermit expires (all other cases)

RESIDENCE CARD

The document authorising foreign citizens to reside inItaly indefinitely (does not expire)

Requested at District Police Headquarters (also forspouses and dependent children under 18 years of age)

Isssued to foreigners who have been legal residents forat least 6 years

Card holders may: enter Italy without a visa; carry out any legal business activity in Italy, except

for those expressly prohibited for foreigners by law or

those reserved for Italian citizens;

access all services provided by the PublicAdministration;

take part in local public life, INCLUDING VOTING,WHERE ALLOWED BY LAW


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RIGHT OF PRECEDENCE

The foreigner who enters Italy as a seasonal worker has aright of precedence, in the following year, over other citizensfrom his/her country who have never entered Italy.

The right of precedence must be documented:

by the previous seasonal work permit; by a return ticket upon expiry of the return contract; the worker may, should conditions apply, convert

his/her residence permit for seasonal work into aresidence permit for short-term or long-termsubordinate employment

MISCELLANEOUS:

The loss of one's job does not constitute grounds forrevocation of one's residence permit, including legally

resident family members; Foreign workers (holders of residence permits for study

or training) may, within the period in which the permit isvalid, perform subordinate employment work for up to 20hours a week;

A residence permit issued forsubordinate employment, self-employment and family reasons

may also be used for otherpermitted activities.

A study/training residence permitmay be converted into a work andresidence permit, entry flowspermitting

A non-employment residencepermit may be converted into a residence permit for self-

employment.


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Competent Body for subordinateemployment:

DISTRICT LABOUR OFFICE

Issue work permits and employmentauthorisation permits for new arrivals:

LABOUR POLICIES OFFICE Labour Policies and Work Authorisation office

For information and to reportinfractions:

LABOUR INSPECTION OFFICE Inspectors office

Public Aid institutions offering freeassistance

For legal and welfare assistance, foreign workers maycontact the Public Aid institutions.


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Si ringrazia per la realizzazione di questa guida lUfficio localedellAgenzia delle Entrate di Milano, e la Camera di Commercio di Milano.

Documents

Important Information on Taxes in Italy