Maneuver 2023, Parliamentary Budget Office: “Weakened fight against tax evasion”

The president of Upb Cavallari expresses doubts about the ceiling on cash transactions and the 60 euro limit for payments with the POS

In the 2023 maneuver, “two constraints that can help fight tax evasion and money laundering are loosened”. This was underlined by the president of the UPB Lilia Cavallari during a hearing in the joint Budget commissions of the House and Senate on the manoeuvre. “The maneuver raises the ceiling on cash transactions from 1,000 to 5,000 euros and the limit within which a merchant can refuse to accept payments with the POS from 30 to 60 euros without risking penalties”.

HEALTHCARE – As regards the interventions envisaged in Section II of the Budget bill which imply “a reduction in capital expenditure, it should be ensured that the planned rescheduling of the interventions – and their simultaneous definancing – is consistent with the time schedules associated with the projects” . This is what Lilia Cavallari, president of the parliamentary budget office warned during a hearing before the joint budget committees of the House and Senate. “Since 2024, the need to take into account new allocations aimed at avoiding reductions in public services in real terms offered by Regions and local authorities has been entrusted to subsequent interventions, in order to guarantee their continuity; such reductions would not be appropriate, especially in important sectors such as the health sector” remarked Cavallari.

INCOME – “It would have been more appropriate for him to abolish the RDC at the same time as the introduction of a new instrument” says Lilia Cavallari, president of the Parliamentary Budget Office on the subject of Citizenship Income, during a hearing to the joint Budget commissions of the Chamber and Senate on the maneuver. For the revision of the citizen’s income (RdC), “an ad hoc fund is set aside for an organic reform of the measures to support poverty and active inclusion, moreover de-financed for a billion. This intention, – he explains – considered the problematic aspects that have characterized the instrument since its establishment, must be judged positively; however, also in the light of the fact that the RdC constitutes an essential level of performance (Lep), its abolition would have been more appropriate”.

SAVINGS – The Parliamentary Budget Office “confirms a positive assessment of the commitment, reaffirmed with the maneuver, to reduce the public debt-to-GDP ratio, thanks also to a planned return of the deficit to 3 percent of GDP in 2025” it says the president of the Upb Lilia Cavallari. “To ensure the continuation of the decline in the debt ratio, the use of deficit financing will necessarily have to be limited”, she adds. “More attention will therefore be paid to the effects of policy interventions on economic growth, – argues Cavallari – with particular reference to the implementation of the Pnrr and the raising of resources through the implementation of an adequate spending review, the fight against tax evasion and the ‘widening of the tax bases’.

SUPERBONUS – “On the side of measures not aimed at combating high energy prices, we can glimpse the beginning of a process in which room for maneuver will be narrower, with the need for ever more accurate and prudential quantifications of both the uses and the necessary hedging, in order to avoid higher-than-expected deficit increases that have also occurred recently”. “This is the case of the superbonus for building renovation interventions, on which the decree law 176/2022 intervenes, and which should now have more prudential quantifications, as the most recent information elements are discounted” underlines Cavallari.

FLAT TAX – According to the simulations of the Parliamentary Budget Office on approximately 170,000 subjects with revenues or fees between 65,000 and 85,000 euros (5 per cent of professionals and sole proprietorships), those who meet all the legal requirements and would benefit from the around 60,000 entered the flat-rate scheme. This was underlined by the president of the UPB Lilia Cavallari in a hearing on the maneuver in the Budget commissions of the Chamber and the Senate.

“Among the subjects belonging to the business volume class concerned, 33 percent will find it convenient to join, – explains Cavallari – 47 percent will decide to stay out, while the remaining 20 percent do not meet the other legal requirements”.

“The envisaged rate of participation, however, is by no means homogeneous, being decidedly higher among professionals (58.7%) than among businesses (22.5%). The overall average benefit of new subjects adhering to the flat-rate scheme is equal to around 7,700 euros. The difference between the categories, however, is large: professionals earn an average of around 9,600 euros (and 25 percent of them obtain a benefit of more than 13,264 euros), while companies stop at 5,600 euros” he summarizes the president of the UPB.