Law No. 162 of October 28, 2024, introduced new provisions to promote and develop innovative start-ups and small and medium-sized enterprises (SMEs) in Italy, facilitating access to tax incentives for investments. Specifically, the law modifies the tax relief system and introduces the possibility of obtaining a tax credit for excess deductions, aiming to prevent the loss of previous benefits.
Law No. 162/2024 is part of a broader context of previous legislation, such as Decree-Law No. 179/2012 and Decree-Law No. 3/2015, which already provided a range of incentives for investors in venture capital for start-ups and innovative SMEs. Among the main incentives were IRPEF and IRES deductions, exemption from stamp duties and registration fees, and the tax exemption of capital gains derived from the sale of shares in innovative start-ups.
Modifications and Innovations Introduced by Law No. 162/2024
- Exemption from Capital Gains Tax: The new law changes the tax treatment of capital gains resulting from the sale of shares in innovative start-ups and SMEs. Capital gains from the sale of shares or stakes in innovative start-ups purchased between June 1, 2021, and December 31, 2025, and held for at least three years, are no longer subject to tax. However, this benefit applies only to investments that enjoy the tax deductions provided under Article 29 of Decree-Law No. 179/2012, excluding those under the de minimis regime (50% deductions). The same exemption applies to innovative SMEs, provided they meet the criteria set by the EU Regulation.
- Tax Credit for Excess Deductions: Law No. 162/2024 introduces a significant modification regarding the excess deductions in the case of insufficient tax liability. If the amount of deductions exceeds the tax owed, the taxpayer can receive a tax credit that can be used to offset other taxes or as compensation through the F24 form. This new provision allows the credit to be used without any time limits for recovery, unlike previous regulations, which limited the duration to three years.
- Resolution of Issues with the 2025 Budget Law: A potential coordination issue with the 2025 Budget Law, particularly with the new Article 16-ter of the Consolidated Income Tax Law (T.U.I.R.), which limited some tax deductions for taxpayers with an overall income over €75,000, has been resolved. The incentive for investments in innovative start-ups and SMEs was excluded from the calculation of the amounts subject to limitation, allowing full access to the incentives.
- Tax Credit for Incubators and Accelerators: Another important innovation concerns certified incubators and accelerators, which, starting in 2025, can benefit from a tax credit equal to 8% of the investment made in the share capital of innovative start-ups. The maximum investment on which the credit is calculated is €500,000, and it must be held for at least three years. The contribution is subject to an overall spending cap of €1.8 million per year. The tax credit will be regulated by a ministerial decree, which will establish the criteria and methods of application.
- Management of Excess Deductions under the De Minimis Regime: Law No. 162/2024 introduced significant changes to the use of IRPEF deductions for investments made in start-ups and innovative SMEs under the de minimis regime. Until 2023, if the investment was lower than the tax owed, the excess could be recovered in subsequent tax periods. Under the new law, the excess, if greater than the tax, is converted into a tax credit, which can be used for compensation or in the tax return.
In conclusion, Law No. 162/2024 represents an important step in supporting innovative start-ups and SMEs, introducing measures that enhance the effectiveness of tax incentives and simplify the enjoyment of benefits for investors. Despite some challenges related to timing and conditions for accessing the benefits, the changes are generally favorable, expanding growth opportunities for innovative businesses in Italy.