Yes to the ad hoc decree on the Superbonus and on to the new Irpef from 4 to 3 brackets. Ok to the milleproroghe: here’s what it is

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By John

Green light from the Council of Ministers for an ad hoc decree with the new intervention on Super bonus, on the basis of the agreement signed before the start of the meeting. Before the Council of Ministers the two deputy prime ministers would meet, Antonio Tajani And Matteo Salvinithe Minister of Economy Giancarlo Giorgetti and the Undersecretary to the Presidency Alfredo Mantovano.

With the ad hoc decree law on the Superbonusaccording to what we learn, a bottom in favor of taxpayers with an income of up to 15 thousand euros who will be able to benefit from a contribution on expenses incurred from 1 January until 31 October 2024. The methods of access to this fund will be established by decree of the Mef. The Council of Ministers has approved some interventions in the field of building bonuses, bringing the relevant regulations, as Palazzo Chigi sources explain, “to common sense and its correct purposes”: “no extension” is foreseen, but the works are encouraged by “limiting improper uses and distortions”. In particular, the same sources specify, action was taken on the superbonus, the earthquake bonus and the incentives for the removal of architectural barriers.

The cut remains at deductions for donations to political parties: in the latest version of the legislative decree implementing the fiscal delegation definitively approved by the Council of Ministers, according to what we learn, donations to parties remain among the items that will suffer a reduction of 260 euros. Save those for non-profit organizations and third sector bodies.

The Irpef reform begins, with the merging of the first two income brackets. The legislative decree approved by the Council of Ministers modifies the current 4-rate system. In 2024 there will be only three income brackets, with the elimination of the 25% rate and the consolidation of incomes up to 28 thousand euros at 23%. A change that involves a total of around 25 million taxpayers and costs 4.3 billion. Here’s how the brackets change:

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IRPEF 2023 AT 4 RATES
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up to 15,000 euros 23%
from 15,000 to 28,000 euros 25%
from 28,000 and 50,000 euros 35%
over 50,000 euros 43%
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IRPEF 2024 AT 3 RATES
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up to 28,000 euros 23%
from 28,000 and 50,000 euros 35%
over 50,000 euros 43%
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For incomes above 50,000 euros, however, the benefit deriving from the revision of the rates is neutralized by providing a deductible of 260 euros on deductions at 19%, excluding those relating to healthcare expenses. «The Government – underline sources from Palazzo Chigi – proceeds quickly with the implementation of the Delegation and closes 2023 respecting all the objectives it had set. In 2024, the fiscal revolution that Italy has been waiting for for more than 50 years will be completed.”

There are a total of four implementing legislative decrees approved by the Council of Ministers. The rules cover collaborative compliance, tax litigation, taxpayer statute of rights and, most importantly, income tax review. The reduction in the number of brackets also involves the reorganization of the rates of regional and municipal surtaxes and is accompanied by redistributive interventions on deductions. The Deputy Minister of Economy, Maurizio Leodefined the four implementing decrees as «very important measures, which will contribute to simplifying the tax system, making it more fair and dynamic» and lead to «greater tax savings for the medium-low income groups, more exposed to the continuous changes in the international economic-financial”.

The savings

The changes affect a total of 25 million taxpayers. The Parliamentary Budget Office has estimated an average benefit of 190 euros per year for the reduction in rates. For fiscally eligible incomes of up to 15 thousand euros, the savings are equal to 75 euros, it decreases in the range immediately above this threshold and grows again up to a maximum of 260 euros for incomes of 28 thousand euros and above. Over half of the total Irpef benefits, again according to the PBO, are intended for taxpayers with an income exceeding 28,000 euros, even if these are 25%. Furthermore, the legislative decree provides for theexpansion of the no tax area: the threshold for employee income is raised to 8,500 euros, like the one already in force for pensioners. AND increases the deduction for employed work for incomes up to 15,000 euros it is increased from 1,880 to 1,955 euros. The intervention on Irpef is currently financed by the stability law only for the first year, in 2024, then new resources will have to be found. This is the first “module” of a reform that could lead, within the legislature – new European stability pact permitting – to a two-rate system, as proposed by Deputy Minister Leo, in Atreju, and then see if it can be achieved to the flat tax also for employees and pensioners. The Irpef reform decree also provides for an increase in the deduction on new hires for 2024 accompanied by the repeal of ACE, the relief for capital increases of Ace companies, aid for economic growth. Among the main innovations of the other decrees, the one on the taxpayer’s statute provides that, in the new preventive cross-examination, the Revenue Agency must justify any rejection of the taxpayer’s observations. Another change concerns the involvement of labor consultants in cooperative compliance, the new collaborative compliance for companies.

A thousand extensions

The Irpef reform is only one of the measures launched by the Council of Ministers which met without President Meloni still indisposed. Some decrees implementing the fiscal delegation and the Milleproroghe are on the table. But the topic that took center stage was that of the Superbonus. There are two controversial points: the 110% extension and the extraordinary intervention to register all the works for 2023 with the maximum possible incentive. The representatives of Forza Italia led by the vice-premier discussed each other at the table Antonio Tajani and by the owner of the Economy Giancarlo Giorgietti who yesterday, at the hearing in the Commission, had defined the impact of the maxi-benefit on public finances as “radioactive”. The agreement, reached before the CDM meeting, provides that 110% remains for families with low ISEE (15,000 euros for a single person), who will be able to continue and complete the work in 2024. However, the intervention that extended the advantageous tax regime for athletes is skipped, including footballers arriving from abroad, initially contained in the Growth decree. In the Milleproroghe a large portion of the provisions concerns the hiring and referral for electronic invoicing of doctors and healthcare workers. The non-applicability of the Istat update for PA rentals of properties for institutional purposes is extended to 2024. The same extension concerns rental contracts stipulated by state administrations for which market rent reductions do not apply. The possibility for the Customs and Monopolies Agency to establish additional weekly Lotto and Superenalotto draws has been extended until 2024. The increased revenue is allocated to the National Emergency Fund. The possibility of temporary use of staff in service at the Department of Public Function has been extended to 31 December 2024 in order to guarantee the strengthening of the simplification activities of the administrative rules and procedures and monitoring of the services provided by the public administration.

The decree extends both the extraordinary measures for 2024 assignment of six-monthly self-employed work assignments to medical specialists and to the personnel of the health professions of the positions already assigned, and the validity of the self-employment assignments to graduates in medicine and surgery, qualified and registered with the orders even if they do not have the specialization. For university buildings, CDP will also be able to provide loans next year. The deadline for establishing the methods for carrying out state exams for the qualification to practice professions and professional and curricular internships has been postponed to the end of 2024. Another year to announce the procedures for awarding research grants. The Government also gives itself the whole of next year for the definition of the “Essential levels of performance”, the standards called upon to measure the minimum financing to be guaranteed throughout Italy to protect the “civil and social rights” provided for by the Constitution before transferring the functions additional to the Regions that request it.