Italy confirms tax cuts

Following a Cabinet meeting on April 8, 2014, the Italian Government has issued a three-year Economic and Financial Document (DEF), which includes Premier Matteo Renzi’s pledge to pass both individual and corporate income tax cuts.

The tax reductions are to be provided, not only as a first decrease in Italy’s high tax burdens, but also as a means of provoking a boost to the country’s economy. In addition, it was emphasized that the measures are to be fully funded, either by public spending decreases or by other sources of revenue, and that the Government will therefore still deliver on its deficit-reduction commitment to the European Commission. Read more

Chile – President presents tax reform bill to Congress

Chilean President Michelle Bachelet has submitted her “signature” tax reform bill to Congress, in a bid to improve tax equality, reduce tax evasion and help fund social spending.

The reforms also aim to lift tax revenue by USD 8.2 billion to get rid of the fiscal deficit by 2018.

The President is proposing to cut the top tax rate for individuals from 40 percent to 35 percent, while raising the corporate tax rate from 20 to 25 percent by 2017. Read more