The Treasury's ax fell on a rain of amendments to the decree unblock Italy approved by the Environment commission of the Chamber. In particular, a negative opinion was given on two tax rebates that have been the focus of attention in recent days.
1) VAT ON RENOVATIONS AND ENERGY EFFICIENCY
The General Accounting Office has rejected the VAT discount from 10 to 4% provided for building renovations and interventions to improve the energy efficiency of buildings. To cover the intervention, the commission had foreseen a specular increase in VAT from 4 to 10% on new construction of first homes sold directly by companies. The funding was deemed insufficient by the Treasury. Furthermore, according to the Accounting Office, the 4% VAT would also cause Italy to be referred to the European Court of Justice for violating tax directives.
2) DISCOUNTS ON HIGHWAYS
The Ministry of the Economy has also given a negative opinion on the extension of tax exemptions to motorways under concession already in operation, because "it would result in a loss of revenue with negative effects for public finances", reads the opinion of the Accounting Office.
TRUST ON THE DECREE
The findings of the Treasury should be endorsed by the Budget Commission, also forcing the Environment Commission to re-approve the text with the changes imposed by the MEF. The Government has already made it known that it intends to raise the question of confidence in the final version of the provision.
