Italy MOF Posts Tax Court Judgment Clarifying Tax Residence, Employment Income Under DTA With France

The Italian Ministry of Economy and Finance June 1 posted online Tax Court Judgment No. 950/1, clarifying tax residence determination and taxation of foreign employment income under the 1989 DTA and protocol with France. The taxpayer, an Italian national, earned employment income in France in 2016 but was subject to taxation in Italy due to registry status and non-filing of a return. On appeal, the Second Instance Tax Court of Piedmont found that: 1) registration in the Italian resident registry is only a rebuttable presumption of tax residence, which can be overridden by factual evidence; 2) the taxpayer’s habitual stay, ...