For the Italian Tax Authority, between Italy and Switzerland, the flat-tax for new residents and the double taxation treaty provisions are not cumulative. Silvia Valente’s signature interview with Giuliano Foglia, in Milano Finanza.

According to the Internal Revenue Service, new residents who have opted for the scheme under Art. 24-bis of the TUIR cannot be considered resident in Italy for the purposes of the Double Taxation Convention with Switzerland.

The agreements, in fact, exclude the application of the treaty with respect to individuals who, with respect to income from the other Contracting State (i.e., Switzerland), are not subject in their State of residence (i.e., Italy) to taxes generally levied under the tax laws of that State.

In the article, some considerations by Giuliano Foglia on the possible impacts of the position taken by the Tax Administration, including for the purpose of the so-called “split-year” provided for in the Convention itself.