Abolition of the Imu on first homes and repayment of that paid in 2012. Zeroing of Irap in five years and maintenance of at least 75% of tax revenue in the regions that produced it. Shock plan on public debt to reduce it in relation to GDP from the current 126% to 100% by the end of the term. Market opening of sectors such as schools, universities, post offices, energy and local public services. Tax relief on permanent contracts for the first five years of the employment relationship. These are the guidelines of the centre-right electoral programme, at least as regards the economic side (chapters apart from those dedicated to institutional and judicial reforms).
In anticipation of the elections of 24 and 25 February, let's take a closer look at the proposals put forward by the coalition led by the PDL-Lega duo, which also includes La Destra, Fratelli d'Italia, Grande Sud, Mpa, Mir, Pensionati and Free from Equitalia.
TREASURY
The main measure among those announced by the centre-right during the electoral campaign is certainly the abolition of the Imu on first homes, which Silvio Berlusconi has repeatedly said he considers "sacred". Not only that: the PDL also intends refund to the Italians the money paid last year for the tax on the principal residence.
“Italian families will be reimbursed, it will be compensation for a wrong imposition – announced Berlusconi -. It will be me, as Minister of the Economy, who will give the Italians back the money from the IMU, the tax that started this crisis. No taxes can be imposed on first homes, which represent security for families". The reimbursement will take place “on the current account, or, especially for pensioners, in cash, through the post office counters”.
The five billion needed for the operation will be recovered “by closing the agreement with Switzerland for the taxation of financial assets held in that country by Italian citizens. The revenue is a one-off of 25-30 billion, and then 5 billion a year”, said the Knight again.
But that's not all: Berlusconi claims he can eliminate within five years "the Irap, a tax that weighs on businesses, a hateful tax that must be paid by companies even if they don't close their balance sheets with a profit. Then there will be no increase in VAT and obviously no assets”. All this will be achieved with an "increase in excise duties on games, bets, lotto and tobacco".
These measures should come within the overall framework of a reduction of the tax burden equal to one point per year for the next five years. Also on the agenda is a 3% annual cut in tax expenditures. The funding will also come from part of the operations planned to reduce the debt.
Furthermore, under pressure from the League, the program provides that at least 75% of the tax revenue produced in the individual regions remains available to the territory from which it comes.
Other fiscal measures envisage the detaxation of profits reinvested in the company, the preventive tax agreement, the reduction of Equitalia's powers, the revision of the income meter, the compensation between receivables from the PA and tax debts and the general simplification of the fiscal obligations of SMEs, artisans and self-employed workers, with no structure or with a small structure. Finally, the Knight announced that “the grave pardon it can only be done after a profound reform of the tax system”.
BALANCED BUDGET AND PUBLIC DEBT
The Pdl argues that the balanced budget should be pursued "as soon as possible" (even if the agreement with Europe to fix the deadline in 2013 was signed by the last Berlusconi government), with sustainable parameters and without recessive interventions.
In terms of public finances, the workhorse of the centre-right is certainly the shock plan on the state debt. The ambition is to reduce the debt-to-GDP ratio from the current 126% to 100% by the end of the next legislature. The tools to be used will be real estate disposals, a series of interventions on government concessions and a new agreement with Switzerland for the return of capital.
The PDL also undertakes to abolish public funding for political parties, as part of an overall halving of the costs of politics. In general, the goal is cut public spending to obtain savings of at least 16 billion a year.
GROWTH
The center right means fight austerity policies imposed by Europe, thus relaunching policies for growth, above all thanks to the resources recovered with the public debt plan. As for businesses, in addition to reducing taxes (with the cancellation of Irap by the end of the term), the goal is to abolish transfers by transforming them into tax credits.
The PDL also aims to use the Cassa Depositi e Prestiti to finance innovation and guarantee export credits. The opening to the market of sectors such as schools, universities, post offices, energy and local public services is also foreseen.
WORK
Like the centre-left coalition, the front led by Cavaliere also wants to correct Elsa Fornero's labor reform, but in a diametrically opposite direction: according to the centre-right, the latest provision would have kept outgoing flexibility too low.
The main proposal to increase youth employment is to zero taxes and social security contributions for the first five years of the employment relationship in the case of permanent employment. Also on the agenda are three-year tax benefits for entrepreneurs under 35 and the tax relief on productivity wages.
