now i have gotten the writing from the ministry of finance. unfortunately the original in italian language is of very bad quality (fax). if anyone is interested i will try to get a better copy and post the whole thing. i´ll try to translate the german version from the tax lawyer. note:the german trader also told them that he is a student and trading is his second job. "according to ascertainment Nr. 165 (24.06.98) and Nr. 207 (26.10.97) the earnings of mr ......... will be treated as miscellaneous income (capital gains), but according to Art.67 TUIR - c, ter, quater, quinquies - they must not come from the exertion of art, a profession or a commercial corporation. if mr .......... earns miscellaneous income his capital gains will be taxed at a rate of 12,5%. if his trading activities have a continuous character (investment transactions) it could be a commercial activity (according to art. 2195 c.c). in this case the income from mr....... will be taxed at the normal rate (aprox 45%) as supposition for the taxation as a commercial activity it is sufficient if your trading activities are done with regularity and it does not make a difference if trading is only your second job." i showed the writing from the ministry of finance to my tax consultant and he said that it is still not clear and that the inquiry was badly composed and that´s the reason the german trader got no clear answer. regards ck9
What if you set up a company and trade through that and pay yourself a yearly dividend? Must be quite difficult to argue that is business income. I am quite certain if you spend some money on an accountant this can be overdone. Another thing: I thought the authorities in Italy was lax with income from abroad (in other words: noone really declared it.) Or are those times long gone?