Public finances in order and debt cut with an extensive divestment programme. Reduction of expenditure and progressive reduction of taxes, in particular of Imu, Irpef and Irap. Support for investments and new measures (above all fiscal ones) to favor the employment of young people and women. Finally, it fights tirelessly against tax evasion and corruption. These are the fundamental points contained in the Monti Agenda, the program of the forces that support the candidacy of the outgoing Premier in the political elections at the end of the month (in addition to "Scelta civica", the movement led by the Professor and made up of exponents of civil society, Udc and Fli are also members). Let's see in detail what it is.
BALANCED BUDGET AND PUBLIC DEBT
The rigor of the accounts is certainly the polar star in the sky of the Montiani: "Healthy public finances, at all levels", this is the slogan of the coalition led by the outgoing Premier. So no doubt about the balanced budget at a structural level, which must be achieved without fail by 2013, in compliance with European commitments.
As for the debt, the program envisages that it be reduced by one twentieth every year starting from 2015 for the part exceeding 60% of GDP. The fundamental tool along this path will be a 130 billion euro disposal plan over the term, divided into 30 billion euro of disposals of movable assets (starting, for example, from Bancoposta) and 100 of real estate assets.
TREASURY
With the drop in the spread and the consequent decrease in the interest payable on the debt, the Monti list deems it possible to progressively reduce the tax burden. The plan envisages cutting Imu, Irpef and Irap.
In addition to the savings guaranteed by the drop in the differential, the operation will be financed with the "freeze on public spending current, net of interest – Monti explained during the electoral campaign -. The State will not spend one euro more than in 2012. It means -4,5% over the five years”. Cutting the costs of politics will be among the first objectives in the process of containing expenditure. A rationalization of health expenditure and an increase of that for education equal to about eight billion euros are also foreseen during the legislature.
In this way we aim to reduce theIMU already this year, "increasing the deduction on the first home from 200 to 400 euros - the Professor specified again -, doubling the deductions for dependent children from 50 to 100 euros per child and introducing a deduction of 100 euros for the elderly alone and people with disabilities, all up to a maximum of 800 euros. The cost will be 2,5 billion. On the other hand, any other form of patrimonial and amnesty did nothing.
As far as the 'IRAP, Monti has promised that from 2014 it will be “reduced and favorable to work: the total wages removed from the tax base. The total Irap reduction at the end of the term will be equal to a halving of the current tax burden on the private sector. There are 11,5 billion less tax in five years on companies, with priority given to small and medium-sized enterprises". In 2017, Irap revenue will therefore be approximately 11,2 billion less than the current level. On the other hand, no changes are envisaged for the Ires rates.
Also since 2014, the outgoing Premier has guaranteed “less Personal income tax: we want to significantly reduce it starting from medium-low incomes, with an increase in deductions for family members and a decrease in rates starting from the lowest ones. Overall, in the legislature, it is 15 and a half billion less, corresponding to a reduction in the ratio between revenue and GDP of 2%”.
Finally, no increase in theVAT, but "after 2013": the increase of one point on the third rate starting from July will therefore be inevitable.
As for the possibility of a new intervention on the public finances, Monti believes that, "even if in 2013 the GDP went worse than expected some time ago and if it were negative, this would not in itself lead to the need for a maneuver, because the budgetary target is in structural terms, not per cycle. So I exclude the maneuver, but I do not exclude anything in certain cases of the outcome of the vote".
GROWTH
In addition to cutting the tax burden, the Monti list's strategy to reactivate growth is based on two other pillars: on the one hand, support for research and innovation, on the other, the intensification of investments (+0,8% during the term) and the structural tax credit. A new round of liberalizations and simplifications is also planned, above all to reduce the bureaucratic burden on citizens and businesses.
The aim is also to encourage the development of "business angel" networks that financially support the creation of start-ups, also introducing measures that help companies find financing. On the export side, the goal is to create an Export Bank that provides trade insurance, resources and financial services to businesses.
WORK
Thus we arrive at the labor chapter, on which the Montianis set three fundamental objectives to go beyond the results obtained with the Fornero reform: regulatory simplification, tax relief on productivity complete with the shift of collective bargaining towards the workplace and overcoming the dualism between workers protected (dependent) and unprotected.
In particular, it is proposed to experiment (on the basis of regional framework agreements) of a new permanent employment contract with lower social security and tax costs and more flexibility (job protection should grow over time).
On the front of young, Monti's list proposes tax relief for companies that hire under 30s, while the idea in favor of women consists of selectively detaxing women's labor income, increasing parental leave for men and increasing the availability of childcare and elderly care services.
As for the social shock absorbers, the Montianis want to allow companies that fire workers to replace the employment contract with a relocation contract, which would include an assistance service for finding new employment. Three quarters of the cost would be covered by contributions from the European Social Fund, combined with a supplementary unemployment benefit paid by the company.
EVASION AND CORRUPTION
In the Monti Agenda we read that "the action to contrast theevasion ?stairs it must be continued through interventions ?aimed at identifying first of all the large areas of illegality. It is also essential to introduce traceability mechanisms of payments”, mainly encouraging electronic money.
The entire amount thus obtained will flow into the Fund for the recovery of tax evasion (active since 2014) and will be used to reduce taxes on businesses and workers. The Montiani predict that these measures could bring the increase in recovery to a rate of 8% per year.
To fight the corruption, instead, "a coherent regulation of false accounting needs to be introduced - the agenda continues - and the legislation on anti-corruption, anti-money laundering and self-laundering must be completed". Finally, “the reduction of statute of limitations needs to be reviewed to guarantee in a more adequate way the action of prevention and contrast of various serious crimes”.
