The tax settlement for distressed companies represents a particular composition procedure between the Tax Authorities and taxpayers that can be applied only within arrangement with creditors insolvency procedures and debt restructuring agreements.
This procedure allows taxpayers to reduce and/or defer the payment of their tax debt, in case of both ordinary and privileged credit.
The introduction of the tax settlement procedure represents an innovation in the tax regulation, since, going beyond the general principle of inalienability of the tax credit (i.e., no taxes, duties and contributions due can be in any way exempted from payment), it allows institutions to accept partial or deferred payment proposals.
By Alessia Diblio - Manager Bernoni Grant Thornton
The tax settlement for distressed businesses represents a particular settlement procedure between the Tax Authorities and taxpayers, which can be applied only within arrangement with creditors insolvency [...]
By Fabrizio Garofoli - Head of Insolvency Bernoni Grant Thornton
The possibility to “negotiate” with the Tax Authorities and social security institutions is certainly a considerable advantage for distressed entrepreneurs and businesses. As already mentioned, those persons that apply for insolvency procedures [...]
By Gabriele Felici - Partner Bernoni Grant Thornton
The business crisis and insolvency code (Legislative Decree no. 14/2019) entered into force on 15 July 2022, replacing insolvency law of 1942, following a long regulatory process and many delays due to the pandemic [...]
