Tax Update – 01.03.2014: Legal Interest Rate Decrease To 1% From 2014 Fiscal And Contribution Effects

Summary

1. Decrease to 1% of the legal interest rate
2. Effective date
3. Fiscal effects
   
   
   3.1 Self regularization
   
   3.2 Instalment plans for amounts due on the base of assessments
   
   3.3 Measure of interests not agreed in writings
   
   3.4 Payment into instalments of the substitutive tax due for re-evaluation of participations and land properties
   
   3.5 Adjustment of rations on usufructs and life rents for indirect taxation
4. Effects on contribution

1. INTRODUCTION

With Ministry Decree dated 12.12.2013, published on the Official Gazette on 13.12.2013 nr. 292, the legal interest rate set by article 1284 of the Italian Civil Code has been decreased from 2,5% to 1% on a year basis.