Tax credits for businesses to cope with rising energy and gas prices
Faced with the incisive costs that companies are incurring for the purchase of electricity and natural gas, the Government has sought to mitigate them through the provision of tax credits that can be used for compensation until 31 December 2022 (it is also provided the ability to transfer the credit, provided that it is in full).
The following contributions are therefore recognised:[1]
– For companies with energy meters with a power greater than or equal to 16.5kW, a credit equal to 12% of the expenditure incurred for the purchase of the electricity component used during the second quarter of 2022 (Article 3 DL 21/2022).
The use of the credit is subject to an increase in the cost kWh greater than 30% compared to the average price of the second quarter of 2019. For calculation purposes, the average must be calculated net of taxes and subsidies;
– For energy-intensive companies[2], a credit equal to 20% of the expenditure incurred for the purchase of the electricity component purchased and actually used in the first quarter of 2022 (Article 15 of DL 4/2022).
Eligibility for the credit is subject to an increase in the average cost per kWh in the last quarter of 2021 (net of taxes and subsidies) of more than 30% compared to the average price in the second quarter of 2019.
– For energy-intensive companies, a credit equal to 20% of the expenditure incurred for the purchase of the electricity component purchased and actually used in the second quarter of 2022 (Article 4 of DL 17/2022).
Eligibility for the credit is subject to an increase in the average cost per kWh in the first quarter of 2022 (net of taxes and subsidies) of more than 30% compared to the average price in the first quarter of 2019.
– For companies other than those with a high consumption of gas, a credit equal to 20% of the expenditure incurred for the purchase of used gas during the second quarter of 2022 (Article 4 of DL 21/2022).
Eligibility for the credit is subject to an increase in the reference prices published by the energy markets manager (GME) of more than 30% compared to the average price for the second quarter of 2019.
– For companies with a high consumption of natural gas, a credit equal to 15% of the expenditure incurred for the purchase of used gas during the second quarter of 2022 (Article 5 of DL 17/2022).
Eligibility for the credit is subject to an increase in the reference prices for the first quarter of 2022 published by the energy markets manager (GME) of more than 30% compared to the average price for the second quarter of 2019.
The credits will not contribute to the formation of business income and Irap and can be combined with other benefits.
[1] The limits set out in Article 1(53) of Law 244 of 24 December 2007 and in Article 34 of Law 388 of 23 December 2000 do not apply to the listed contributions.
[2] Energy-intensive businesses are identified by Decree of the Ministry of Economic Development dated 21/12/2017. Those operating in the sectors listed in Annex 3 and Annex 5 of the European Guidelines are eligible for the incentives.