Global Tax Alert | 12 July 2013

Italy approves new nonresident forms for mitigation of withholding taxes

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On 10 July 2013, the Italian Revenue Agency (Revenue) approved a set of new forms to be filed by nonresidents claiming an exemption, refund or reduction of Italian taxes on dividends, interest, royalties and other income sourced in Italy.1

The Revenue also approved a specific tax residence certificate to be used by Italian residents when applying for foreign tax mitigation under bilateral treaties.

The forms are specifically aimed at the application of the favorable regimes provided under:

  • Bilateral tax treaties for the avoidance of double taxation;
  • EU Directive n. 90/435/EEC of 23 July 1990 (Parents-Subsidiary Directive); and
  • EU Directive n. 2003/49/EC of 3 June 2003 (Interest and Royalties Directive).

The release of the new forms responds to the need of harmonizing the formalities to claim the application of double tax treaties and the EU Directives. More generally, this initiative is part of a wider project aimed at simplifying tax procedures and enhancing transparency in the relationship between taxpayers and tax authorities.2

The relevant documentation is also available in English and French.3

The new forms

The Revenue approved the following list of forms:

  • Form A – Dividends
  • Form B – Interest
  • Form C – Royalties
  • Form D – Other Income

The above forms are required to request exemption, refund or tax reduction under a bilateral tax treaty.

  • Form E – Parent-Subsidiary Regime 90/435/EEC Directive
  • Form F – Interest and Royalties Regime 2003/49/EC Directive

The above forms are required to request exemption or refund under the relevant EU Directives.

  • Request of certificate of tax residence for individuals, corporations and other entities

This form shall be used by Italian residents to obtain a tax residence certificate for the application of the provisions contained in bilateral tax treaties.

Endnotes

1. Regulation n. 2013/84404 by the Director of the Revenue.

2. See also EY Global Tax Alert, Italy launches pilot project for tax Co-operative Compliance Program, applications required by 31 July 2013, dated 1 July 2013.

3. Forms are available in the Revenue website www.agenziaentrate.gov.it.

For additional information with respect to this Alert, please contact the following:

Studio Legale Tributario in association with Ernst & Young, Milan, Italy
  • Domenico Borzumato
    +39 02 8514 503
    domenico.borzumato@it.ey.com
  • Marco Magenta
    +39 02 8514 529
    marco.magenta@it.ey.com
Studio Legale Tributario in association with Ernst & Young, Bologna, Italy
  • Mario Ferrol
    +39 335 122 9904
    mario.ferrol@it.ey.com
Ernst & Young, LLP, Italy Tax Desk, New York
  • Emiliano Zanotti
    +1 212 773 6911
    emiliano.zanotti@ey.com
  • Andrea De Nigris
    +1 212 773 0478
    andrea.denigris@ey.com
  • Aldo Bono
    +1 212 773 3216
    baldassare.bono@ey.com

EYG no. CM3643