Insights

The Court of Milan, with the sentence of 23rd June 2010, confirmed its previous guideline of December 2005 stating that the variable compensation has not to be considered part of the so called “substantial salary” of employees, executives and freelancers.

The Tax Committee of the Chamber of Deputies answered to an official request specifying that the payments to the member of the board of directors are tax-deductible from the business income if concerning the business itself, aspect to be evaluated each time.

Many legal regulations concerning the collection of social security contributions have been issue in the recent period.

Article 31 of the so called “Labour Attachment”, approved on 29th September 2010 by the Senate, includes significant amendments regarding settlement and arbitration.

The Tax Administration, with memorandum no. 48/2010, provided important and expected clarifications with reference to the recovery of the higher taxes paid by the employees on the amount earned for overtime worked and for night-work.