Italy’s Revenue Agency has ruled that a Delaware trust — irrevocable, run by an independent professional trustee, with no other strings attached to the settlor or main beneficiary — is nonetheless fiscally “interposed,” triggering full income tax, RW monitoring, IVIE
Marco Q. Rossi & Associati Blogs
Latest from Marco Q. Rossi & Associati
Italy Changes Course on Bonus Tax Deferment for Inbound Employees
I’m pleased to share my latest commentary, “Italy Changes Course on Bonus Tax Deferment for Inbound Employees,” published in Tax Notes International (2025tni37-5).
The article examines the Italian Revenue Agency’s surprising reversal in Ruling No. 199/2025, which abandons
Taxation of Outbound Dividends and Free Movement of Capital: Developments in Italian and European Case Law
Introduction
The taxation of outbound dividends has been the subject of intense litigation in Italy and across Europe, particularly where non-E.U. entities are treated less favorably than similarly situated EU-based or domestic recipients operating in similar circumstances. Recent rulings by
Italian Tax Agency Confirms Entity Status of Foreign Fiscally Opaque Trust, Grants Capital Gains Exemption but Denies Reduced Dividend Withholding in Ruling No. 144/2025
In Ruling No. 144/2025, the Italian tax authorities confirmed that a foreign, fiscally opaque trust can be treated as a separate non-resident taxpayer — and can benefit from the Italian capital gains exemption on sales of non-qualified shares. However, the
Italy’s New Look-Through Rule Bites: Trust’s Sale of Foreign Italian-Real Estate- Holding Company’s Shares Taxable in Italy (Ruling 175/2025)
Italy’s New Look-Through Rule Hits Trust’s Share Sale
In Ruling No. 175/2025, the Italian Revenue Agency confirmed that the “immovable-property-rich” look-through rule under Article 23(1-bis) TUIR—introduced in the 2023 budget law—applies in full force to indirect share sales. A non-resident
When Is a Trust “Resident”? Comparing U.S. and Italian Approaches to Trust Tax Residency
Italy and Trusts: A Contractual Fiduciary Relationship, Characterized as an Entity for Tax Purposes
While Italy does not have its own domestic trust law, it recognizes trusts that are validly established under the law of a jurisdiction that is a
Italy’s Tax Agency Rules that Beneficiary’s Power to Appoint, Revoke, and Replace Trustee Makes Trust Fiscally Interposed
Italy’s Tax Agency Rules on U.S. Trusts: The Risks of Beneficiary Control
In a recent ruling (n. 258, December 16), the Italian Tax Agency examined the tax treatment of three U.S.-based trusts with an Italian-resident beneficiary. The decision reinforces a
Italy’s Individual Tax Residency Rules: A Review After the Reform
In Italy, the legislation on the determination of tax residency for natural persons (individual taxpayers) changed in 2024. The most significant changes concern the new definition of “domicile”, which is one of the four alternative criteria used to determine personal
Trust termination by mutual consent triggers no tax, settlor regains title to trust assets, Italian Tax Agency rules
With Ruling n. 165 issued on August 8, 2024, the Italian Tax Administration ruled on a matter in which a trust was terminated by mutual agreement of the settlor, trustees, and current beneficiaries. The trust had been organized under the
Italys’ Register of Trusts In Effect, First Filing Due By December 11, 2023
On October 9, 2023, the last Ministerial Decree required for the final implementation of Italy’s Register of Trusts was published, and the Register of Trusts is now in effect. The initial filing deadline is December 11, 2023. The filing in