NEWS » Tax evasion blitz gathers pace in Italy

Tax evasion blitz gathers pace in Italy

The Italian anti tax evasion plan

Tax evasion has always been a plague for Italy. In such difficult times, while the government is asking for sacrifices and collaboration, the tax evasion problem stands out as a central subject for social equality.

The new government is carrying out a new anti tax evasion plan. The Inland Revenue has developed a new system called “redditometro”, which will be effective by June, to compare the income declared by taxpayers with the actual standard of living measured by their actual expenditures. The transactions under control will regard the ownership of boats, powerful cars, race horses, but also holidays, private schools fees, life insurances.

The “redditometro” will be applied only to professionals, traders, artisans, entrepreneurs, employees and pensioners but not to companies.

The inland revenue thanks to the new software (Redditometro) will be able to compare the expenditures of the taxpayers with their declared income.

Moreover, from December the 6th, any payment in cash for a value equal or above 1000 Euro is prohibited.

Any payment above 1000 euro can be made only using traceable means of payment: non-transferable checks, bank transfers, credit cards. The payment can’t also be split in order to avoid the 1000 Euro threshold.

The minimum penalty is 3000 Euro and it ranges from 1 to 40 percent of the amount transferred; or 5 to 40 percent of the amount transferred in the case of amounts exceeding Euro 50,000.

The penalty is applicable not only to the person who made the transfer but also to those who received the money in cash above the threshold of 1000 Euro.

Tax control operations have already been carried out in Cortina, Roma, Milano and Perugia.

Acording to Attilio Befera, Director of revenue, as reported by “”, the government has already recovered 11.5 billion of tax evasion. As a consequence of the more severe anti tax evasion policy 70 acts of intimidation have already been made against “Equitalia” and an increase in the capital flight to Switzerland has been registered.

The Inland Revenue has provided data of a Saturday night’s blitz in Milan. During the checks the tax collections have grown by 44 percent compared to a week before when shops and restaurants were not being controlled and they could avoid releasing receipts. Emblematic in this sense, was the case of an exercise in which revenues have increased by over 200 percent. In 55 business activities were found various irregularities relating to failure to update the records of payments, the emission of tax receipts and inconsistencies with the statements submitted for the purposes of sector studies. Moreover, In 33 businesses 116 workers were found to be working without a regular contract.

The operation involved 405 inspectors, of which 280 of the Revenue, 125 INPS, in addition to local police, who carried out inspections of 358 luxury cars. The inspections covered 115 companies (including restaurants, nightclubs and bars) located in the more frequented areas of the city on Saturday evening.

This is only the beginning, the fight against tax evasion and illegality has only just started!


Giulia Lombardo

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