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OECD: Italy's wealth is (almost) just a matter of legacy.  Inheritance tax is much lower than the average

OECD: Italy’s wealth is (almost) just a matter of legacy. Inheritance tax is much lower than the average

Five years ago, a study was conducted by two economists at Bank of Italy For families Richest than Florence, Enough to win a title on the front page of Wall Street Journal. CWhat was unusual about that? fact that In Tuscan, the rich have been the same for 600 years. A legacy inherited for centuries, generation after generation, irresistible with conquest, annexation, wars, crises and social changes. It is undoubtedly a certificate of appreciation for the management skills of distinguished families but it is also a symbolic sign of what is in Italy It is complicated to build a wealth of genetic and familial dynamics. “Great fortunes are not created But they marry me. “The French joke, as evidence that the phenomenon is not the prerogative of our country, but here it is certainly very strong and not much is being done to correct it.

A way to bring back the scales they weigh on Advantages and luck, Exists and is called Inheritance tax. The tax was also viewed positively by historical figures in liberal thought, starting with the former president of the republic Luigi Einaudi. But in Italy this tax actually is Does not exist. The thousandth confirmation comes from detailed confirmation Link Published today by the Organization for Economic Cooperation and Development On the tax that is applied to the inheritance in 28 From 36 member states. The study first indicates how inheritance and gift taxes are generally subject to one Gradual reduction in Member States. In 1970 she helped collect donations and inheritance About 1% Of the total revenues of the Organization for Economic Cooperation and Development. Today we are About 0.5%. It’s easy to understand who has benefited the most. He who has a lot to give and pass it onThat is, he who is really rich. Dynamic it fits In the broader decline in the tax burden For the wealthiest groups with higher rates that have more than halved from 1980 to today.

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In the report, Italy stands out as one of the countries in which it is located Inheritance tax and less (4%) And in what aspect they are The higher the exemption threshold, Only lower than the United States, which applies a rate of 40%. For children In Germany the tax ranges from 20 to 40% France from 5 to 45%, In Spain it is from 5 to 35%, and in Japan it is close to 50%. By crossing the rates, the exemption thresholds for the degree of kinship show how Italy earns from this tax a share of its revenue that tends to be zeroLess than 0.2%, the OECD average figure of 0.5%. In countries like France or Belgium close to 1.5% Of total revenue in Great Britain increased by 0.7%. The United States, Germany, and Spain are about 0.5%.

Italy’s inheritance tax revenue has always been modest, but it is Almost zero in 2006, When Silvio Berlusconi’s government Hugely raised The exemption limit is up to one million euros And simplify the degrees of kinship. Reform benefited above all the wealthiest strata of the population Smaller wills have an exemption It was already planned. Even when it applies, Withdrawal has been fixed And extremely low. As the former Finance Minister explained, Vincenzo Visco a The 4% rate was determined for purely practical reasons. It is equivalent, to some extent, to the cost one would have to bear Transferring wealth abroad To be transferred as an inheritance by subtracting it from the Italian tax authorities.

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Along with Spain and Austria, Italy stands out So is the country in which the wealth that individuals possess is more identical to what is inherited. It is also the country in which it is located The percentage of people belonging to the poorest quintile is lower Of the population who received inheritance goods. Less than 5% versus 10% in Spain or 15% in France. And finally, it is one of the countries that are received by those belonging to the richest 20% of the population: on average 400 thousand eurosCompared to 300,000 in Germany or 200,000 in France.

Who is the The petition From For a fortune tax of more than 50 million euros for the Covid emergency