2008/400/EC: Commission Decision of 11 March 2008 concerning State aid C 28/07 (ex NN 33/07) where Italy Intends the prolongation of eligible investment expenditure until 2008 (notified under document number C(2008) 831) (Text with EEA relevance)
Date: 2008-03-11
Institutions: European Commission
Subjects: Italy, State aid, control of State aid, investment aid, less-favoured region, regional aid, repeal

30.5.2008

EN

Official Journal of the European Union

L 140/19

(Acts adopted under the EC Treaty/Euratom Treaty whose publication is not obligatory)

II

DECISIONS

COMMISSION

COMMISSION DECISION

of 11 March 2008

concerning State aid C 28/07 (ex NN 33/07) where Italy Intends the prolongation of eligible
investment expenditure until 2008

(notified under document number C(2008) 831)

(Only the Italian text is authentic)

(Text with EEA relevance)

(2008/400/EC)

THE COMMISSION OF THE EUROPEAN COMMUNITIES,

(2)

Having regard to the Treaty
Community,
and in particular
Article 88(2) thereof,

establishing the European
subparagraph of
the

first

Having regard to the Agreement on the European Economic
Area, and in particular Article 62(1)(a) thereof,

(3)

Having called on interested parties to submit their comments
to those provisions (1) and having regard to their
pursuant
comments,

Whereas:

I. PROCEDURE

(1)

On 26 February 2007 Italy adopted the Law No
17/2007 (2), including Article 4-bis which prolongs the
application of a regional aid scheme providing automatic
tax credits for new investments in the assisted areas of
Italy, which had been approved in 2001 and 2002 by
the Commission (3) and which expired on 31 December
2006.

(1) OJ C 187, 10.8.2007, p. 13.
(2) Gazzetta Ufficiale n. 47 of 26.2.2007.
(3) State aid N 646/A/00 Crediti di imposta per gli investimenti nelle
aree svantaggiate (OJ C 149, 19.5.2001, p. 11) and State aid N
324/02 Credito d'imposta per gli investimenti nelle regioni ammis-
sibili alla deroga di cui all'articolo 87(3)(a) del trattato e delle zone
dell'Abruzzo e del Molise ammissibili alla deroga di cui all'articolo
87(3)(c) (OJ C 239, 4.10.2002, p. 2).

letter

dated 7 March 2007 (D/50987)

By
the
Commission requested the Italian authorities to submit
information on Article 4-bis of the Law No 17/2007.
The Italian authorities replied by letter, registered at the
Commission on 19 March 2007 (A/32387).

By letter of 10 July 2007 (4), the Commission informed
Italy of its decision to initiate the formal
investigation
procedure laid down in Article 88(2) of the EC Treaty in
respect of the measure created by Article 4-bis of the
Law No 17/2007.

The Commission Decision to initiate the procedure was
published in the Official Journal of the European Union (5).
The Commission invited interested parties to submit their
comments on the aid.

The Commission received no comments from interested
parties.

letter dated 24 July 2007,

registered at
the
By
Commission on 25 July 2007,
the Commission was
informed of the intention of the Italian authorities to
repeal the measure. By e-mail of 9 October 2007, the
Italian
and
submitted a draft legal provision repealing the measure.

authorities

confirmed

intention

their

(4)

(5)

(6)

(4) Letter of the Commission C (2007) 3260 def.
(5) OJ C 187, 10.8.2007, p. 13.

L 140/20

EN

Official Journal of the European Union

30.5.2008

On 23 November 2007 the Commission asked the
Italian authorities
legal
the adopted final
to submit
provision, which repealed the measure in question.

Finanziaria 2008), approved by the Council of Ministers
on 28 September 2007.

The Italian authorities submitted the adopted final legal
provision to repeal Article 4-bis of Law No 17/2007 by
letter registered at the Commission on 15 January 2008.

(15)

request

to submit

Following the Commission's
the
adopted definite legal provision repealing the measure,
the Italian authorities submitted to the Commission the
text of Article 1, comma 65 of the Budget Law 2008 (2)
(Legge finanziaria) on 15 January 2008 which includes
the relevant legal provisions which repeal Article 4-bis of
the law No 17 of 26 February 2007.

(7)

(8)

(9)

II. DESCRIPTION OF THE MEASURE

The measure aimed at prolonging the period during
which the investment expenditure under an approved
regional aid scheme, which expired on 31 December
2006, could have been incurred.

(10) Under the regional aid scheme (N 646/A/2000), which
aimed at promoting regional development in the Italian
regions eligible for regional aid under the regional aid
map 2000-2006 (1) and which expired on 31 December
2006, a beneficiary obtained the legal right to a tax
credit by carrying out a positive net
that
was established on the basis of an accountancy/balance
sheet approach for eligible expenses to be incurred before
2007. The original scheme was amended in 2002 with
the introduction of a budgetary-cap mechanism requiring
the beneficiary to apply for a reservation of funds to the
fiscal authorities. The amendment did not change the
expiry date for the scheme, nor its limitation to expen-
diture incurred before 2007.

investment

V. ASSESSMENT

(16) Article 1, comma 65 of the Budget Law 2008 stipulates
that the amendment to the original legal scheme adopted
by Article 4-bis of Law No 17/2007, i.e. the possibility to
prolong the eligible investment expenditure until 2008,
is repealed. Further, Article 2, comma 65 of the Budget
Law 2008 also foresees the reallocation of the budgetary
appropriations of the measure (3).

(17)

Since the tax credit accrued with reference to the eligible
costs incurred in 2007 can only be claimed definitively at
the moment of the 2007 fiscal declaration, in 2008, at
the time this tax declaration has to be submitted to the
fiscal agency, no legal basis or budget for the tax credit
exist.

(11)

By adopting Article 4-bis of
law No 17 of
26 February 2007, the Italian authorities extended the
period during which expenditure
could have been
incurred until 2008.

the

(18)

The measure has therefore become nil and void, and no
tax credits can be granted for expenditure incurred after
2006 on the basis of the legal provision adopted by
Article 4-bis of L. 17/2007.

III. GROUNDS FOR INITIATING THE PROCEDURE

(12)

The Commission refers to sections 4.1 and 4.2 of its
Decision to open the formal investigation procedure.

IV. COMMENTS FROM ITALY

(13) On 24 July 2007 the Italian authorities informed the

Commission of their intention to repeal the measure.

(14) On 9 October 2007 the Italian authorities reassured the
the measure would be repealed by
(d.d.l.

Commission that
Article 3, comma 18 of the 2008 Finance Bill

(1) Letter of the Commission of 13.3.2000 (OJ C 175, 24.6.2000,
p. 11) and letter of the Commission of 20.9.2000 (OJ C 105,
20.4.2002).

VI. CONCLUSION

In view of the foregoing, the Commission considers that the
formal investigation procedure initiated under Article 88(2) of
the Treaty as regards the prolongation of the eligible investment
expenditures until 2008 is without object,

(2) Art. 1, comma 65 Legge n. 244 del 24 Dicembre 2007 — Dispo-
sizioni per la formazione del bilancio annuale e pluriennale dello
Stato (legge finanziaria 2008), G.U. n. 300 del 28 Dicembre 2007
(suppl.ord.) Testo ripubblicato nella G.U. n. 10 del 12 Gennaio 2008
(suppl.ord.).

(3) Art. 1, comma 65:

‘Il quinto periodo del comma 1 dell'articolo 8 della
legge 23 dicembre 2000, n. 388, convertito, con modificazioni, dalla legge
26 Febbraio 2007, è soppresso. In relazione a quanto previsto dal primo
periodo del presente comma e in considerazione dell'effettivo utilizzo dei
crediti d'imposta previsti dagli articoli 7 e 8 della legge 23 dicembre
2000, n. 388,
fine preordinate, esistenti
presso la contabilità speciale 1778 — Fondi di bilancio, sono ridotte di
1 500 milioni di euro. Le predette risorse sono versate al bilancio dello
Stato nella misura di 450 milioni di euro per l'anno 2008 e di 525
milioni di euro per ciascuno degli anni 2009 e 2010’.

le risorse finanziarie a tal

30.5.2008

EN

Official Journal of the European Union

L 140/21

HAS ADOPTED THIS DECISION:

Article 1

Due to the repeal of the measure by Italy, the present procedure has become without object and is hereby
closed.

This Decision is addressed to the Italian Republic.

Article 2

Done at Brussels, 11 March 2008.

For the Commission

Neelie KROES
Member of the Commission