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what the 2022 finance law contains

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Palazzo Chigi (generic) – Photo by Ansa Foto

The text of the new finance law will arrive on the table of the Council of Ministers on Monday 21 November. As announced by the executive, the approval will arrive quickly so that the parliamentary process can be launched quickly, which will be completed by the end of the year and avoid the provisional exercise.

There are 30 billion euros available which will be used for the tax reduction which led in 2022 to an increase in wages, and also to introduce early retirement, Quota 103.

The expensive-energy

The priority on all files remains expensive energy, for which around 21 billion euros have been allocated to counter the increase in electricity and gas bills.

There will also be a review of additional benefits. The Ministry of the Economy is working to review the tax from 2023, raising the current rate of 25% to at least 33%, as required by European regulations.

Flat fee

The measure will be limited for the moment and will mainly target the self-employed, as well as a cancellation of files below 1000 euros. For the time being, the government will limit itself to raising the threshold of 65,000 euros below which a flat-rate VAT regime may fall.

At the moment, the increase will go up to the threshold of 85,000 euros, but in the future it will be possible to reach up to 100,000 euros.

In the meantime, the additional flat rate tax for the self-employed should be introduced, as an alternative to the flat rate scheme.

Reduce the tax wedge

There will be no more salary increases for employees in 2023, nor one-off bonuses to be added to pay. For now, the government will limit itself to confirming the 2% tax relief already introduced by the Draghi government, intended for incomes below 35 thousand euros.

The government promised that over the next few years it would try to raise the threshold that currently qualifies for relief.

Disposal

A new tax peace will be financed in the 2023 finance law. On the one hand, files up to 1,000 euros will be canceled, and on the other hand, there will be a 50% discount for those between 1,000 and 3 000 euros.

The Ministry of Economy is also evaluating a system to fund the cancellation of penalties imposed by those who, despite filing their tax returns, were unable to pay due to the pandemic.

Pension reform

Quota 103 will be included in the finance law, which will allow you to retire at age 62 provided you have 41 years of contributions. At the same time, the confirmation of the social Ape is also awaited, as well as the extension of the public of the feminine option.

basic income

It will be included in the finance law, but there will be changes. The most important concerns the prohibition against refusing a single offer of employment deemed suitable.

At the moment there will be no major changes, also because, as Minister of Labor Marina Calderone said, further changes will take at least 6 months.

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