Budget law: what's new from January 1, 2020
- Jan. 7, 2020
- Reading time: 9 min
On December 30, 2019, Law No. 160 of December 27, 2019 (the so-called "2020 Budget Law") was published and came into force on January 1, 2020. Below are the provisions that we consider to be of most interest.
Fund for reducing the tax burden on employees
(Article 1, paragraph 7)
In order to reduce the tax burden on individuals, a fund called the "Fund for the reduction of the tax burden on employees" is established in the MEF's budget forecast, with an allocation amounting to
3 billion euros for 2020;
5 billion euros for 2021.
The measures aimed at achieving the above reduction will be implemented through specific future regulatory provisions, within the limits of the resources allocated.
Incentives for hiring first-level (or dual) apprentices
(Article 1, paragraph 8)
For first-level apprenticeship contracts for professional qualifications and diplomas, the upper secondary school diploma and the higher technical specialization certificate, if:
entered into during the year 2020
by employers who employ a number of employees equal to or less than 9 (nine)
In order to promote youth employment, a contribution relief equal to 100% of contributions is recognized, limited to the first three years of the contract.
For apprenticeship periods after the third, the rate remains at 10%.
Revision of INAIL rates