Share with your friends

Italy: Tax exemptions granted to ports, EC investigation

Italy: Tax exemptions granted to ports

The European Commission today announced it has opened an in-depth investigation to assess whether tax exemptions granted under Italian law to ports are in line with EU state aid rules.


Related content

According to an EC release, a corporate tax exemption for ports that earn profits from economic activities provides them with a competitive advantage when they operate on the internal market and therefore involves state aid, which may not be compatible with EU rules. In Italy, port authorities are fully exempt from corporate income tax.

Italy has not agreed to change its corporate tax legislation as the EC proposed in January 2019. The EC thus has now opened an in-depth investigation to assess whether or not its initial concerns as regards the compatibility of the tax exemptions for Italian ports with EU state aid rules are confirmed. If they are, the corporate tax exemption for ports in Italy would also amount to “existing aid” because they already existed before the accession of Italy to the EU and the EC would not be able to ask Italy to recover any aid already granted.

The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.

Connect with us


Want to do business with KPMG?


loading image Request for proposal