Facilitated regime for capital gains on shares in innovative companies

Important news from 2021

Innovative companies are one of the cornerstones of current industrial policy and a fundamental tool for the economic growth of our country.

Would you like to invest in one of these companies?

Now is the right time: beginning this year, you have the option of exemption of taxation on capital gains deriving from the sale of shares in innovative companies.

What are the facilitating measures?

A.      Transfer of a shareholding in an innovative company

The Italian government, with the aim of incentivising investments in innovative companies, has introduced, through DL n. 73 of 25 May 2021 (the “Sostegni bis” decree), an exemption regime for capital gains, both qualified (?) and not, made by individuals following:

  • Disposal of shareholdings in the capital of an innovative startup, acquired during the period between 1 June 2021 and 31 December 2025 and held for at least three years.
  • Disposal of shareholdings in an innovative small and medium-sized enterprise, also acquired during the period between 1 June 2021 and 31 December 2025 and held for at least three years.

This incentive allows exemption from the Capital Gain tax regime, which provides for the application of a substitute tax of 26% (rate raised by DL n. 66 of 24/04/2014) on financial gains; in this way there is a tax saving of 26% percentage calculated on the amount of the capital gain.

B.      Disposal of shareholdings in companies and reinvestment in innovative enterprises

In addition, Article 14(3) of the Sostegni bis Decree provides for the exemption from taxation of capital gains deriving from the transfer of shareholdings in companies and partnerships (with the exception of partnership companies), provided that, within one year from the achievement of the capital gains, this amount is reinvested in the share capital of an innovative start-up or SME.

The purpose of this provision is to encourage individuals to invest in innovative companies by exempting from income tax the capital gains deriving from the sale of shareholdings, whether qualified or not, in any company (with the exception of partnership companies).

This benefit operates once the following requirements are met:

  • The shares or quotas of the company, whether resident or non-resident in Italy, must have been acquired by an individual through the subscription of share capital.
  • The capital gains earned from the sale must be reinvested in the share capital of an innovative start-up or SME.
  • This reinvestment must take place within one year of achieving the gain.

What we can do for you

MGI Vannucci & Associati is specialised in innovative start-ups and SMEs and, thanks to their collaboration with a certified incubator, can provide you with assistance both on the choice of the innovative company in which to invest and on the tax implications of the this investment.