May 29, 2024


Passion For Business

Card payment refund scheme aims to wean tax-dodging Italians off cash

Millions of Italians have signed up for a authorities scheme presenting a 10pc refund for card payments in suppliers in just two weeks in an try by Rome to slash tax evasion and boost vendors strike by coronavirus restrictions.

The roaring start to the scheme, which calls for downloading an app adopted by a lengthy registration system, comes in stark contrast to Italians’ lukewarm response to the less complicated Immuni app introduced in June to trace Covid infections.

The so-known as “cashback” prepare will formally kick off upcoming month but the pilot programme from Dec 8 to the close of the close, which allows financial savings of up to €150, has already captivated a tenth of the adult population.

“Over 5m subscriptions is no little feat,” claimed Leonzio Rizzo, a professor of public finance at the University of Ferrara, explained to Reuters.

Key Minister Giuseppe Conte’s authorities believes that weaning Italians off dollars can minimize rampant tax evasion, approximated by the Treasury at about €110bn a year.

Digital payments, contrary to notes and cash, are more challenging to hide from the taxman.

However the programme has its critics, together with the European Central Bank, which claimed final 7 days that governments should choose a neutral approach to indicates of payments and complained it experienced not been consulted.