Cristiano Fasanari - 31/01/2025
The 2025 Budget Law introduced, limited to year 2025, the so-called “IRES Premium”, reducing the IRES rate from 24% to 20% for companies that allocate at least 80% of their 2024 profit to reserves, invest part of it in 4.0 and 5.0 assets and hire new staff. This Taxnews provides a summary of the relevant regulations.
IRES Premium at 20%: conditions to be met
Article 1, paragraphs 436-444 of the 2025 Budget Law introduces the so-called “IRES Premium”. Under specific conditions, this measure entails the reduction, limited to year 2025, of the IRES rate from 24% to 20% on the income declared by IRES taxpayers. The benefit is not available to companies and entities subject to liquidation procedures in the tax period following the one ending on December 31, 2024 (i.e., 2025 for ‘solar’ entities), nor to those determining their taxable income, even partially, based on flat-rate regimes.
In order to benefit from the reduced IRES rate, those affected will have to:
The regulation requires, in fact, the need to make investments amounting to the greater of 24% of the 2024 profit (i.e., 30% of 80%, which is the minimum set aside for reserves) and 24% of the 2023 profit.
In detail:
In addition to the above, the following must be met to benefit from the reduced IRES tax rate for the tax period following the one ending on December 31, 2024 (i.e., the 2025 tax period for ‘solar’ entities):
Finally, the regulation provides for the forfeiture of the benefit (with the subsequent recovery of the benefit previously received) in the event that:
The tax benefit provision also includes specific rules in the case of tax consolidation and taxation by transparency. In particular:
Finally, the regulation does not include any specific provisions regarding the compatibility with other tax benefits; however, the adoption of implementing regulations (also to introduce coordination with other rules and to regulate the recovery of the benefit in the event of forfeiture) is deferred to a decree of the Minister of Economy and Finance is envisaged.