17 Sep 2021


1. Without prejudice to Article 30 (entry into force), Article 8 (sea and air transport) shall apply to profits made during a tax period beginning on or after 1 January 1974. It is also possible that more than two countries are involved, for example. B that a national of a country may live in the United Kingdom and have foreign income from a third country. So, let`s summarize: what is this agreement about? 2. In this Article, “offshore activities” means activities carried out at sea in connection with the research or exploitation of the seabed and subsoil and their natural resources in a State Party. 2. Without prejudice to paragraph 1 of this Article, remuneration received by a resident Contracting State in respect of employment in the other Contracting State shall be taxable only if: (b) an employee established in Italy who receives dividends from a company established in the United Kingdom, subject to the provisions of point (c) of this paragraph, and if he is the beneficial owner of the dividends: To be entitled to the tax credit to which a natural person established in the United Kingdom would have been entitled if he had received those dividends and to the payment of any excess of that tax credit on his tax liability vis-à-vis United Kingdom tax. Think of a rule: each type of income has a specific tax system for each European country.

For example, corporate tax in Italy (IRES) is 24%, while it is 20% in England. In any case, today we are looking at taxes on workers` incomes. When you live in one EU country and work in another, the tax rules applicable to your income depend on national legislation and double taxation treaties between those two countries – and the rules can vary greatly from those that determine which country is responsible for social security matters. In another scenario, a double taxation treaty may provide that income that is not exempt is calculated at a reduced rate. For more information, see help sheet HS304 “Non-residents – Relief under double taxation treaties” on GOV.UK. If you live in one EU country, but earn all or almost all your income in another country and pay taxes there, the country where you earn your income should treat you as it would treat a resident – that is, it should give you the same tax breaks and exemptions and all the other tax benefits that residents have. such as personal allowances or the possibility of completing a joint declaration with your spouse. You may have to pay taxes, both in the UK and in another country, if you are resident there and have income or profits abroad, or if you are not resident and have income or profits in the UK.

This is called “double taxation”. We will explain how this may apply to you. (d) the term “person” means a natural person, a company and any other class of persons, but does not include partnerships that are not treated for tax purposes as entities in any of the States Parties; The first articles of the double taxation convention between Italy and the United Kingdom set the tax domicile of residents in order to determine where taxes are levied. . . .

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