The Italian tax office clarified the regulations on the tax brakes that can be exploited by those that have a registered brand or one in the course of registration.
The Italian tax office explained that also the subject of trademarks registration proceedings not yet concluded may access the tax relief. Established by the Law of Stability 2015, the Patent Box provides for the exclusion from taxation of the income arising from the use of intellectual property, patents, trademarks, including commercial ones, designs, processes, formulas and information relating to experience acquired in the industrial, commercial or scientific legally protectable. The share of tax relief is 30% in 2015, 40% in 2016, and 50% from 2017 and it is combined with the tax credit for research and development investments. Access to the optional system is provided for income earned by corporations and commercial entities that conduct research and development activities, both when in use are derived from the grant to third parties of intangible assets.
Although the Italian football is not the best football out there, the clubs are trying to properly develop their brand globally. The big clubs of the Italian Serie A have very appealing and worldwide known brands. These brands can, therefore, be considered able to create an added value as it happens for other important Italian brands not involved in the sports sector.
As reported by Corriere della Sera (Economia) in an article written by Michelangelo Borrillo, Barilla sells more products than its competitors due to the international appealing brand that the company built over the years. In order to protect the Italian brands, back in 2014 the former Italian Prime Minister Matteo Renzi implemented the Patent Box, a normative that extends to brands the tax brakes planned for the trademarks.
Juventus and Torino already sent a request to the Italian tax office (Agenzia delle Entrate) back in 2015. They are still confidently waiting for a reply.
One of the main objectives of James Pallotta’s club is to expand the brand worldwide. The Americans are master in doing so. More than once, the Bostonian investor explained that the AS Roma must be a sustainable business and when the strategies that he is implementing will start bringing back the desired results everyone will be able to appreciate the American way of doing business.
The Patent Box and the relative tax relief that it would bring to Roma could be a great advantage for Pallotta and his group of investors. In a crucial period in which the Municipality of Rome is deciding the future of the Stadio della Roma and the club of Trigoria is implementing marketing strategies to increase the commercial revenues of the club, James Pallotta could benefit from a substantial tax break that would definitely relieve the overall expenses of the club.