- The Italian tax agency, Agenzia delle Entrate, has clarified the application of the registration tax for the transfer of a business branch.
- The registration tax is applied proportionally based on the nature of the assets that make up the business, as long as separate consideration is identified.
- The agency considers a business as a complex entity of assets, relationships, and rights, and the territoriality of its transfer for VAT purposes cannot be governed by provisions related to service provision.
- This is because the business branch is primarily composed of intangible assets.
- The clarification was provided in response to an inquiry from September 28, 2023.
Source: ipsoa.it
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
