Tax decree at the end of May: here is what it provides for travel expenses and VAT on works of art
In the measure under study also corrective measures on the disposal of professional firms
by Marco Mobili and Giovanni Parente
4' min read
4' min read
A tax decree-law that, on the one hand, would make it possible to speed up the entry into force of certain corrective measures to the last budget law or tax reform, and in particular the new rules on IRPEF and IRES, and, on the other hand, would provide for the postponement of certain tax deadlines, first and foremost the entry into force of the sugar tax set for 1 July next year and destined, at least in the intentions of the MEF, to be postponed to 1 January 2026. The new urgent measure is expected to arrive in the last week of May so as to bring into effect some corrective measures to the taxation of corporate and personal income that have an immediate impact with this year's tax returns and thus with the 2024 tax year.
Traceable travel expenses
.Among the most controversial rules, at least in terms of application for businesses, of the latest budget law is the traceability of travel expenses. In response to requests from professionals and businesses, a clearer perimeter of the new obligation to trace travel expenses introduced as of 1 January 2025 is on the way. On the payment of transport costs (essentially taxis) or meal expenses, a double tax axe will in fact fall on the employee and the company.
In the first case, in fact, the reimbursement of expenses incurred is subject to taxation. While on the employer's side, the penalty is the non-deductibility of costs reimbursed to employees. A new rule that, as mentioned, has created many problems for businesses, especially since under the current wording there are no territorial borders and it applies to expenses incurred both domestically and abroad. This is an obvious nonsense given that the measure was created for anti-evasion purposes to hit the recipients of payments and bring to light taxable income from those who perhaps collect in cash and then do not declare.
This is why the course correction destined to enter into the tax decree law (and thus ensure its immediate effectiveness) would limit the traceability obligation to only travel expenses incurred within the national territory. Moreover, the rewriting of the rule is necessary to coordinate it with the new taxation rules for self-employment introduced with the tax reform and, in particular, with the Irpef-Ires decree law.
Reduced VAT on works of art
.Always with an eye abroad, the Government is accelerating on the dossier of reducing the VAT rate on the sale of works of art. France and Germany have already moved in the direction of reducing the VAT levy (to 5.5% and 7% respectively) thus giving a greater boost to the trade in paintings and other important works. In Italy, the tax delegation (Law 111/2023) had established a principle that was to lead towards a reduction of the ordinary VAT rate to 22 per cent.
