ROME (ITALPRESS) – “Today, in the Council of Ministers, we passed the budget law, an intervention that focuses on citizens, families and the revitalization of our nation. As we promised, there will be no new taxes for citizens. In addition, we are making the tax cut on workers structural, and 3.5 billion from banks and insurance companies will be allocated to Healthcare and the most fragile to ensure better services that are closer to everyone’s needs. With this government, Italy looks to the future with a budget law that puts the work and welfare of Italians first.” This was written on X by Prime Minister Giorgia Meloni at the end of the CoM that passed the budget law for 2025.
The budget bill, in line with the serious and responsible approach of the economic measures approved by the government so far, provides for interventions with effects amounting, in gross terms, to about 30 billion in 2025, plus 35 billion in 2026 and more than 40 billion in 2027. This was announced by the Ministry of Economy and Finance. Taking into account the new framework of European rules and the economic environment, which is negatively affected by global uncertainty related to the continuation of the Russian-Ukrainian conflict and the worsening crisis in the Middle East, the measures contained in the measure focus on reducing the tax burden and supporting the lower and middle incomes of employees and pensioners. Resources are also provided for renewing public administration contracts, refinancing the national health fund and supporting large families and encouraging the birth rate.
Extension of effects of tax reform and tax wedge cut – The effects of the wedge cut and the amalgamation of IRPEF rates divided into three brackets already in effect this year are made structural. Renewal of contracts – the government immediately puts resources allocated to finance the procedures for the renewal of civil service contracts, with particular reference to the three-year period 2025-2027.
Healthcare – resources have also been increased to finance the renewal of contracts. Specifically in the next biennium, the allocation is in line with nominal GDP growth.
Family support and birth bonus – Measures on parental leave confirmed and enhanced. Also introduced is a “Newborn Card” that grants 1,000 euros to parents within the Isee threshold of 40,000 euros to meet the many first expenses for each new baby.
The maneuver strengthens the bonus intended to support the attendance of kindergartens, including by providing for the exclusion of amounts related to the universal single allowance from the ISEE calculation. Among the social measures, the “dedicated to you” card is refinanced for 2025 to the extent of 500 million. In making deductions, the number of dependents will be taken into account. The larger the number of family members, the more room for tax deductions. Labor and businesses – Especially in the South, incentives aimed at the employment of young people and female workers are confirmed, which will also be recognized for employment relationships activated in the two-year period 2026-2027. Also confirmed are the decontribution in favor of companies located in the SEZ and incentives for self-employment in strategic sectors for the development of new technologies and the digital and ecological transition.
In addition to the confirmation of fringe benefits for all claimants, the amounts are increased for new hires who agree to move residence more than 100 kilometers.
Among the tax measures, the 5 percent preferential taxation of productivity bonuses paid by companies to workers is confirmed for the three-year period 2025-2027
Pensions: last year’s measures are confirmed and those aimed at public and private workers who reach retirement age but remain at work are strengthened.
Public investment-The budget bill also allocates resources to ensure that, after the end of the NRP, the trend in public investment spending is consistent with the requirements of the new European governance. In particular, the strengthening of defense investment is also envisaged.
Measures to revise and make government spending more efficient. Other relevant coverage includes contributions from the banking and insurance sectors.
photo: Photogram Agency
(ITALPRESS).
