Implementation of the new incentives to invest in the share capital of startups and innovative SMEs envisaged by the "Relaunch Decree"

Tech Alert | February.18.2021

italiano: Attuazione dei nuovi incentivi all'investimento nel capitale di startup e PMI innovative previsti Decreto Rilancio

By: Attilio Mazzilli, Flavio Notari and Aniello Veneri

The Minister of Economic Development in agreement with the Minister of Economy and Finance published the Decree  December 28, 2020 which implements the incentives provided for by Article 38, paragraphs 7, 8 and 9 of Legislative Decree No. 34 of May 19, 2020 (the "Relaunch Decree") for those who invest in eligible startups and innovative SMEs.

The measures of the Relaunch Decree integrate the facilitation regulations provided for investments in eligible startups and innovative SMEs, introducing a new Article 29-bis to the Growth Decree 2.0, which includes a new facilitated tax regime in compliance with the de minimis regime.

In particular, they provide for a deduction from personal income tax for an amount equal to 50% of the sum invested by the taxpayer (natural person or partnership) in the capital of eligible startups or innovative SMEs:

  • for all investments in innovative startups, the limit of the eligible investment is equal to € 100,000 per tax period; for any excess amount, the pre-existing deduction of 30% may be applied (Article 29 of the Growth Decree 2.0);
  • for all investments in innovative SMEs, the limit of the investment limit is instead equal to EUR 300,000 per tax period; for any excess amount, the pre-existing deduction of 30% may be applied (Article 29 of the Growth Decree 2.0, referred to in paragraph 9, Article 4 of the Investment Compact).

The provisions in question apply, pursuant to Article 9 of the Decree, in relation to investments made after January 1, 2020 and starting from the tax period following the one in progress at December 31, 2019.