Law Decree 176/2022, commonly referred to as the "Decreto
Aiuti Quater", has implemented an additional facilitation
pertaining the tax credits deriving from investments in
buildings' renovations. In particular, the new law provides the
possibility to benefit from a split allocation over a period of ten
years of tax credits recognized for the options such as discounts
on consideration or credit transfers, as outlined in Article 121,
paragraph 1, of Law Decree 34/2020.
In particular, Article 9 of Law Decree 176/2022 enables the
extension for the aforementioned tax credits from five to ten
annual instalments. The new measure refers to tax credits which
have been subject to subsequent transfers, provided that they stem
from communications of credit assignment or invoice discounts
submitted to the Italian Revenue Agency (hereinafter also the
"IRA") by March 31, 2023, and have not
yet been disposed or offset.
In addition, the supplier or tax credit assignee must
electronically file a communication to the IRA, directly or through
an intermediary, as outlined in paragraph 3 of Article 3
of the regulation specified in Presidential Decree July 22, 1998,
No. 322.
From an substantial condition standpoint, the optional extension
applies to tax credits related to deductible expenses
concerning:
- Superbonus - concerning renovation works in general, as referred to in Article 119 of Law Decree 34/2020;
- Bonus for the elimination of architectural barriers, as outlined in Article 119-ter of Law Decree 34/2020;
- Sismabonus - concerning renovation works in the scope of seismic protection, as stipulated in Articles 16, paragraphs 1-bis to 1-septies, of Law Decree 63/2013,
Theoretically, the aforementioned tax credits can be offset by
renovation works suppliers and assignees through the F24 form under
the following timelines:
- in four equal annual installments, for superbonus tax credits arising from deductible expenses incurred from 2022 onwards.
- In five equal annual installments, for:
- sismabonus tax credits,
- tax credits resulting from the 75% bonus for the elimination of architectural barriers,
- superbonus tax credits arising from deductible expenses incurred until the end of 2021.
The operating guidelines of the above regulation have been provided
by the IRA both through Provision No. 132123 dated April 18, 2023,
and the publication of an operational manual on May 3,
2023.
Among the key clarifications provided, the following are worth
being mentioned.
1. Divisible Deduction Installments
The "optional extension" can be applied to the
remaining unused portion of the credit installments from 2023
onwards. However, with specific reference to tax credits resulting
from expenses eligible for the superbonus, it is also
possible to spread out installments arisen from communications of
options for the initial credit transfer or invoice
discount sent to the IRA until October 31st, 2022.
This includes the remaining unused portion of the 2022
installment.
In summary, the ten-year allocation can applied to the remaining
portion of tax credit installments related to:
- FY 2022 and onwards, for credits resulting from interventions eligible for the superbonus if the option communications have been sent to the IRA until October 31, 2022 (identified with tax codes 6921, 7701, and 7711).
- FY 2023 and onwards, for:
- renovation works eligible for the superbonus in case the option communication has been sent from November 1, 2022, to March 31, 2023 (tax codes 7708 and 7718),
- sismabonus works (tax codes 6923, 7703, 7713) or the 75% bonus for the elimination of architectural barriers (tax codes 7707 and 7717), in case option communication has been sent until March 31, 2023.
It is also possible to exercise the option for only a portion of
the available credit installment at the time of transmission. In
this case, the "installment amount" field in the platform
should be adjusted. The remaining portion of the installment, as
well as any additional acquired credits, can be divided into
subsequent communications, even in multiple solutions.
2. How to apply
The communication can be submitted starting from July 3, 2023, through the web service called "Credit Assignment Platform," provided by the IRA from May 2, 2023 onwards. The option can also be submitted through an intermediary - as mentioned before – provided with the authorization to access the taxpayer's tax profile.
3. Effects and consequences
Once communicated to the IRA, the option for spreading out the installments:
- cannot be revoked;
- is immediately effective;
- cannot be rectified nor cancelled;
- does not allow for further transferring of the "extended" installments to third parties. Consequently, these installments remain accessible for offsetting exclusively by the supplier or tax credit assignee who has opted for the extension, for disposal through the F24 form within the new ten-year timeframe.
4. Operational Procedures
Upon confirming the intention to divide the selected annual
portion of the tax credit into 10 installments, the web-platform
generates a recap statement showing the new ten installments into
which the original amount has been divided. The statement also
includes, for each installment: (i) the reference FY, (ii) the
amount, (iii) the deadline for offsetting, and (iv) the tax code
that identifies it.
Once the operation is definitively confirmed, the division into ten
installments becomes immediately effective, and the original tax
credit amount is deducted from the available floor (for the amounts
of the installments) and replaced by the resulting new
installments.
Each installment can be offset from January 1st to
December 31st of the reference year.
Furthermore, it is worth noting that the IRA, through Ruling No.
19/E/2023, has established specific tax codes for the installments
resulting from the ten-year division, namely:
- "7711" for superbonus credits (both resulting from option communications under Article 121 of Law Decree 34/2020 sent until October 31, 2022, and related to communications transmitted by March 31, 2023),
- "7772" for sismabonus credits,
- "7773" for 75% bonus for the elimination of architectural barriers credits.
The resolution has also established additional tax codes to
identify the tax credits resulting from the communications under
Article 121 of Law Decree 34/2020 submitted after April 1, 2023
(for which the division into ten equal annual installments under
Article 9, paragraph 4, of Law Decree 176/2022 is not
allowed). These codes are:
- superbonus credits: "7709" for credit transfer option, and "7719" for invoice discount option;
- sismabonus credits: "7738" and "7739";
- 75% bonus for the elimination of architectural barriers tax credits: "7710" and "7740".
Originally published 25 July 2023.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.