Expenses for hospitality: clarity on their deductibility

It often happens that a company incurs expenses for the hospitality of customers, suppliers, self-employed workers and other categories of guests. The rules that apply to the deduction of these costs depend on the category of subject and the purpose of hospitality. Expenses have the characteristic of gratuity and, nevertheless, respect the inherence if sustained with reasonableness or according to the industry practice. They are qualified by the tax law as representation expenses , if they are addressed to subjects other than customers, for promotional purposes or public relations. These charges, if addressed to customers during promotional events of presentation of the products or on the occasion of visits to their offices, are entirely deductible. In the different cases, the other categories of the TUIR must be applied . Particular importance assumes hospitality to suppliers, professionals, agents and representatives, as well as unpaid guests.

According to the best doctrine ( AIDC 177/2010) the hospitality costs incurred to accommodate suppliers and their staff must be admitted as a deduction, when the aim is to improve the economic efficiency of the business. Think of the employees of the auditing firm, hosted for free at the company canteen, also to avoid going to the external restaurant (whose costs are reversed to the client) with a waste of money and time. In this context, it is quite clear that the greatest perplexities concern the treatment of hospitality costs of self-employed workers, not only for the question of withholding tax , but also for the deduction ceiling to which the category is subject.

The question has finally been resolved for self-employed workers. The expenses incurred by the client related to the execution of an assignment do not constitute compensation in kind, based on art. 54 c. 5 of the TUIR , so they are not subject to withholding tax, nor to limits of deductibility.

Expenditures related to unrelated subjects from self-employment are still to be analyzed. A classic example based on practice concerns speakers, particularly qualified subjects linked to similar research institutes ( Resolution 11.07.2013, No. 49 / E ). Other examples may include the accompanying works of art sent by the lending museums, the invited candidates for company interviews, etc.

Even in these cases, the deductibility of the cost in the context of business income seems obvious. However, a question arises concerning the possible application of the withholding tax on an occasional self-employment income ( articles 67 and 71 TUIR ) in kind. In determining these incomes it is not, in fact, reproduced the exclusion for expenses related to the execution of the job we find in professional income.

Resolution no. 49 / E / 2013, with which the Inland Revenue has allowed to avoid the withholding in the case of reimbursement of expenses (or direct support of expenses) and absence of compensation, on the assumption that, in the absence of income, the expenses would be deductible and the withholding tax would therefore be repayable.

What is the right legal form for your business

Have you decided to start your own business and challenge a labor market that struggles to get back on your feet? Despite the ISTAT – the National Research Institute – tells us that the future prospects of the country are good , many decide to obtain funding , open an entrepreneurial activity and counter the adverse effects of a stagnant crisis.

At this point, you just have to choose the most appropriate legal form for your business. It is an important choice because the subsequent implications of legal , economic and economic nature depend on itorganizational . And if wrong, it could also prove uneconomical. From individual enterprise to society, here are all the forms to choose from.


You are alone and you do not want other members, unless they are employees and collaborators: the right form for you is the individual enterprise . It is the simplest and least expensive form . In the individual company, the entrepreneur will be the sole owner and can avail himself of the collaboration of employees , even family members . The responsibility for theexercise of the activity will fall in an unlimited way all on him and on his personal patrimony . Starting an individual business is simple: just open the VAT number and register with the Business Register. No public deed is required and no minimum share capital is to be paid.
Starting the individual activity requires the submission, by electronic means, of the Single Communication to the Business Register .


When two or more people work together, they must establish a partnership . All the subjects in a company respond in equal measure (with the exception of a limited partnership) with their personal assets. In the Italian legal system we find three types of partnerships :

– simple company ;
– a company in the collective name ;
– limited partnership .

In order to constitute a partnership, once the type has been chosen, a deed of incorporation must be signed as a result of which it is necessaryto present the Single Communication electronically to the Register of Companies of the competent Chamber of Commerce. With the Unica Communication it is possible to fulfill a series of obligations with a single act :

– opening of the VAT code and assignment of the Tax Code ;
– registration in the Register of Companies ;
– INPS obligations for social security purposes;
– INAIL fulfilments for insurance purposes:
– Certified Start of Activity Report (SCIA) for the Single Desk of Productive Activities (SUAP).


capital company is defined when more people come together to conduct business. The responsibility , in this case, is limited to the social patrimony : the shareholders, in fact, have patrimonial autonomy and they answer for the social obligations with the patrimony of the society.
Depending on the form chosen, the shareholders participate in the share capital through shares or shares . Joint-stock companies are divided into:

– joint-stock company ;
– joint stock company with sole shareholder ;
– limited partnership for shares ;
limited liability company ;
– limited liability company with sole shareholder .


Finally, there are cooperative societies (to be divided into co-operatives with prevalent and non-prevalent mutuality) and consortia . The main aims of cooperatives are identified in values ​​such as assistance , solidarity and democracy . They are companies that are not intended for private speculation , but to protect members and their work by providing better conditions than those that would come from the free market. A cooperative must be established through a public deed by a notary . Subsequently, the company must register with the Business Registerto acquire legal personality. After the constitution, it is necessary to register with the National Register of Cooperative Companies

Contribution waiver Budget Law 2018, as Inps spoke

We all know: the Budget Law 2018 (100 and fc) introduced a contribution exemption for new hires with permanent employment contracts made starting from January 1, 2018. The main rules in this regard have already been illustrated previously . Today we focus on the operational and accounting instructions on the measure announced by the Inps with circular on 02.03.2018 n. 40 .

The Institute incorporates all the relevant legislation, reporting step by step what was introduced by law, the nature of the exemption , the beneficiary employers , the incentivized employment relationships and the conditions for the right to exemption from the same contribution.

In short, it is recalled that for a maximum of 36 months , the exemption from the payment of 50% of social security contributions by the employer is payable, with the exclusion of premiums due to Inail, up to a maximum of 3 thousand euros per year . to be repaired on a monthly basis, to companies that from 1 January 2018 employ young people who have not reached 30 years of age (high limit to 35 years only for 2018) with a permanent employment contract . The young people in question must never have been employed indefinitely, neither with the employer who is hiring them, nor with others.

There is a waiver that entitles the waiver in case of failure to confirm in the service of previous apprenticeships and the exemption is recognized for one year even in the case of confirmation of apprentices in force in the same company that accesses the exemption. In the case in which for the worker has been used only partially this facilitation from a previous employer, the new subject who hires him indefinitely can access the benefit for the remaining period useful for full use. Attention is also drawn to the verification of possible dismissals for justified objective reasons carried out in the previous six months or to be requested in the months following the recruitment. The reports ofdomestic work and with managers do not give the right to exemption .

The exemption is brought to 100% of the contributions paid by the company , in the event that the worker has carried out a period of school-work alternation or apprenticeship of first or third level with the same employer. The INPS, in addition to reporting the application rules provided for by the law, enter into the merits of some particularities, specifying the applicability in cases such as employment relationships abroad , part-time , contract assignment, recruitment following inspection access, administration and intermittent use. Specific instructions are also provided for the calculation of the incentive and for the cumulability with other forms of relief, exemptions and incentives.

In addition, the Institute announces that it has made available an application for the verification of the existence of previous permanent contracts , accessible from its website (path ” All services – service to verify the existence of permanent relationships “). Not having a declarative value, however, it is advisable to have a declaration signed by the worker.

Finally, providing the instructions for the management of the institution under examination in the UniEmens declarations , Inps states that the amount of the exemption for the months of January and February 2018 can be valued exclusively in the UniEmens flows in March , April and May 2018 .

Interprofessional joint funds: what they are and what are the advantages

According to a recent research by Asfor (Italian Association for Managerial Training), Italian companies are returning to invest in resources and their  corporate training as drivers of growth and progress on the market.

In this scenario, the question that has always afflicted Italian companies concerns the finding of funds to be allocated to staff development programs . From this requirement the interprofessional funds for business training are born, which account for about 45% of the companies in the area.

What are the inter-professional equal funds?

Interprofessional funds for training are associations of an associative nature promoted by the social partners for the training of employed personnel, linked to Law 388/2000 which allows companies to allocate 0.3% of the contributions paid to INPS( mandatory contribution for voluntary unemployment) for the training of its employees. 
The company can then ask the INPS to transfer the contribution to one of the chosen inter-professional funds, which will organize the established training activity.

What are the inter-professional equal funds?

The inter-professional funds established up to now are the following:

•     Training Crafts Fund , fund for the continuous training of craft enterprises; 
•     Fon.Coop , fund for continuing education in cooperative enterprises; 
•     FONDIR , fund for the continuous training of managers of the tertiary sector (Confcommercio); 
•     FOR.TE , fund for continuing education in the tertiary sector (Confcommercio); 
•     FON.TER , fund for continuing education for employees in companies in the service sector, tourism and service distribution sectors (Confesercenti); 
•    Fondimpresa , a fund for the continuous training of Confindustria, Cgil, Cisl and Uil ;
•    Fapi , training fund for small and medium-sized enterprises; 
•    Professional fund, fund for continuing professional studies and related companies ; 
•    FBA , bank fund and insurance; 
•    Fonservizi , fund for training industrial public services.

What are the advantages of joining inter-professional equal funds?

There are many advantages for companies and employees who join the program of an inter-professional joint fund for continuing education. Here are some:

• increase in training as a qualification and retraining of employees, according to the principles of lifelong learning ; 
• increased skills , updated to meet new needs, thus stimulating the growth of companies, also in terms of development according to the Industry 4.0 Plan ; 
• activate a control on the management of business costs dedicated to training, guaranteeing savings ; 
• make the working group more involved and satisfied with a view to improving productivity ; 
• to link growth and progress and increase thecompetitiveness of the company.

How to join and obtain inter-professional equal funds

All companies that are interested in vocational training funds can join on a voluntary basis with the INPS DM10 contributory complaint form used routinely every month. The procedure provides that the document will show the chosen fund in addition to the number of workers subject to the mandatory contribution of 0.3%.

To obtain the contribution to the funds, one must first of all join one of the existing projects. Furthermore, membership is revocable and has an annual duration . Once the request has been made, the fund structures will send businesses the necessary information to gather information about their training plans in order to organize a complete and structured program. 
There are no additional costs for joining an inter-professional fund: in fact, a part of the contribution paid by the company to INPS for this specific destination will then be turned by the institution to the fund chosen for the training activity. Companies that do not take part in any joint course will also have the obligation to pay the supplementary contribution to INPS.    

Returning to the research conducted by the Asfor Observatory, despite the resources allocated to the training of personnel are still below the acceptable threshold for that important leap to the global market challenge, it is necessary to consider good the intention to focus on staff to achieve the goals set for growth and development. 
Interprofessional sources are mostly used by large industrial groups, while there is still an opportunity little exploited for small-medium enterprises, also due to the lack of information on the convenience deriving from this type of investment. Small businesses, precisely because they have used small staff within them, are not generally able to set aside large sums to be allocated to a specific item such as employee training.

The data recorded by the research, therefore, shed light on the willingness of the company managers to increase the budgets for staff training, entrusted to bring the company to more competitive levels.

You can consult the website for further information on the operation of the Funds and on monitoring organizations, ANPAL guidelines on the management of financial resources allocated to the inter-professional funds for continuing education in art. 118, L. 23.12.2000, n. 388.


Contributional incentives for over50 and women’s employment

If you are looking for a job you will have noticed one thing: on the net most of the ads are directed to looking for under 40. A company in Busto Arsizio, on the other hand, has decided to hire only over 45 , focusing all on experience and skills gained over time. The company is called Eolo and its initiative goes very well with the benefits for companies that make this choice.

The Law 92/2012 introduced the tax relief with the aim of making more profitable the insertion and / or relocation of the socially weak , what are the workers aged greater than or equal to 50 years , unemployed for over 12 months, or womenof any age without work from 6 to 24 months.

Let’s take a closer look at the tax benefits for companies that take these categories of people.

Discounts for the recruitment of men and women over 50

Incentives for those hiring men and women over the age of 50 apply to the unemployed for at least 12 months (the worker must be registered at the employment center and the state of unemployment must persist for more than 12 months) and concern both permanent and fixed contracts. For permanent hiring , the benefits refer to a reduction of 50% of INPS or INAIL contributions for:

• A maximum period of 18 months ; 
• In the case of transformation of the contract in fixed time ; 
• Even if part-time new employees .

With regard to fixed-term contracts , however, there is always talk of an advantage equal to 50% of INPS or INAIL contributions, but they change the requirements for which it can be applied:

• For a maximum period of 12 months ; 
• Even if newly administered ; 
• Even if part-time new employees .

Discounts for hiring women

Also in this case, the benefits refer to open-ended and fixed-term contracts. For indeterminate contracts, there is talk of a contribution reduction of 50% of INPS and INAIL contributions for a maximum of 18 months and is applicable to:

• Women of any age, unemployed for at least 6 months , living in disadvantaged areas . It must be women residing in regions eligible for funding under the European Union structural funds, as listed in the Ministerial Economic Development Decree of 27/03/2008; 
• Women of any age, employed in professional profiles and economic sectors with marked gender disparity and without regularly paid employment for at least 6 months. The employment disparity rate must exceed at least 25% the gender employment average, identified by inter-ministerial decrees dated 02/09/2013; 
• Women of any age, without a regularly paid job for at least 24 months, wherever resident.

With regard to fixed-term contracts, on the other hand, the remission of 50% of INPS or INAIL contributions is for a maximum of 12 months. The same requirements as the indeterminate apply.

With regard to the condition of subject “without a regularly paid employment”, it is necessary to consider the period of 6 or 24 months, depending on the case, prior to the date of employment and verify that during that period the worker in question did not carry out any work activity. subordinate linked to a contract lasting at least 6 months regardless of the income received, or has not carried out an independent work activity such as to produce a gross annual income of more than 4,800 euros or of coordinated and continuous collaboration whose annual remuneration is higher at 8,000 euros.

Objective conditions to take advantage of the reductions

In order to take advantage of these incentives, certain objective conditions must also be met . In particular, a net increase in employment is required . The subsidy is due if the hiring, the extension and the transformation achieve a net increase in the number of employees compared to the average of the previous 12 months.

This requirement is not necessary if the workplace is made vacant as a result of:

•     Voluntary resignation of the worker; 
•     Incident invalidity or death of the worker; 
•     Retirement due to age limits; 
•     Voluntary reduction of working time; 
•     Dismissal for just cause or justified subjective reason.

The basis of calculation of the company strength for the evaluation of the increase in employment includes the various types of fixed-term and undetermined workers. It is also necessary that the employer respects these conditions :

•     Contributionary regularity ; 
•     Compliance with labor regulations ; 
•     Compliance with the Ccnl .

To take advantage of the incentive all interested employers must submit a specific communication to INPS , using the online application form available in the Social Security Cassette. The form must be presented before sending the tax declaration containing the indication of the facilitated contribution. Within the day after the forwarding, the central information systems perform some formal checks and attribute a positive or negative outcome to the communication. The INPS will carry out retrospectively during the verification, the necessary checks on the actual existence of the conditions of the incentive, according to methods that will be announced by the Institute.

Payment letter: how to write it to the best

With the crisis, delays in payment between companies increase and the difficulty of entrepreneurs to cope with other times of crisis increases. In short, a circle that could never end.

In situations like this, when a company is dealing with unpaid invoices and insolvent customers, it becomes necessary to organize a structured and targeted debt recovery plan , which could also lead the parties to court. Before arriving at the judicial route, however, it is possible to resolve the contentious dispute, by sending the creditor a letter of prompt paymentto the debtor. Let’s see together what things to know to write it better 

Generally, within the invoice itself – in addition to the modalities – are contained the timing for its payment, which usually varies from 30 to 60 days depending on the type of service. If the invoice is not paid in due time, the default interest and some costs incurred by the creditor, such as the costs of recovering the sum, must also be paid.

First of all, the creditor company will have to send the debit letter to the debtor, making sure to use methods that certify the delivery , such as a registered letter with return receipt or a certified e-mail box. .

The remittance payment letter must necessarily contain some elements , which are:

•     Data of the debtor’s creditor ; 
•     The amount to be paid; 
• References to the number and date of the invoice for which the reminder; 
•     How to make the payment ; 
• References to the number of previous reminder letters sent.

Usually the first letter to solicit the payment is an informative letter with a good-natured form , which reminds the debtor that the invoice to be paid has expired. 
This second reminder letter may be followed by a second letter , which must have a more decisive tone, also specifying that legal recourse will be used if payment is not made. It is possible to send a third reminder letter , if the first two have not received a reply: in this case, the active intervention of a lawyer will be necessary , which, by means of a registered letter with acknowledgment of receipt, will put the debtor in default.

It is important, for clarity and simplicity, that the three reminder letters have an object that subdivides them by number, namely:

• ” First invoice payment request “; 
• ” Second invoice payment request “; 
• ” Last payment request for invoice and formal notice “. 

If the three letters of prompt payment do not reach the desired goal, we move to a judicial phase of debt collection : there are many consultancy companies that deal with the recovery of credit and help the entrepreneur who is in this delicate situation.

How to start a small business: 10 tips you do not expect

Make it as simple as possible and imagine yourself with zero money. Here are 10 tips you do not expect to start a small business according to Mike Kappel, an entrepreneur with 30 years of experience as well as a serial startupper

You’ve heard so many, some obvious and others impossible to put into practice. If you plan to start a small business , and set up on your own, the tips flock like snow in the Alps. You never know whether to follow them or ignore them, whether to listen to instinct or to inform you about the thousand entrepreneurial publications. Today, we want to help all the aspiring businessman who have decided to change their working life and create a small business, thanks to 10 tips coming from Mike Kappel , an inveterate entrepreneur and serial startupper.

Before starting to list the suggestions (found in an article published in Forbes), it is good to remember that a magic formula does not exist : there are a multitude of infinite variables in play. What applies to one does not hold true for the other, what applies to today is not valid for tomorrow. As a maximum, if you have decided to start a business, you must think in a new way, accept change and even failure. Thus everything will be easier.


Many people dream of creating a successful business . But few really try. All the others are often blocked by excuses and second thoughts , such as the fear of not making it. This is the first advice you have to follow: if you want to become an entrepreneur, put aside doubts and insecurity, go straight to your path, things will surely come. It is normal to have concerns, but it is also normal to set them aside to focus on the goal.


Listen to what the surrounding world has to tell you. If you want to start a business you have to keep your ears wide open: try to be a sponge , you never know from whom good advice could come. From a family member, from a friend, a colleague. Or even from yourself. People who are part of your life are a reflection of how potential customers will react. Tell them about your business idea, pay attention to their verbal and non-verbal reaction, understand if they are enthusiastic or just educated. Do not forget also to compare yourself with ‘veteran’ entrepreneurs and learn from the mistakes they have made.


Before thinking about selling, think about being the solution . If you fill a market gap and meet needs and desires that have not yet found a resolution, you’ve already won. Then sales will come accordingly and without problems. If you focus on why you’re opening up a business, you’ll quickly understand how to make it better. The problems of your target, in this moment of discovery, must be yours.


There is a rule that should always be followed: the starting idea must be simple and, above all, must remain simple over time. The more elements you enter, the more features you expect, the more your product will be complicated and cost. Cut unnecessary features that water down your offer. As a small business, you do not need all the bells and whistles of a giant company. It’s much easier to add later, as the business grows.


Once you start developing your business idea, calculate all the costs . Such as: rental of business premises, supplies, marketing and advertising. So, take what you think is the amount and quadruple it. Seriously. In this way, you will also be prepared for the unexpected expenses that will surely be there. At first, you may need to obtain external capital to make ends meet, as a loan for small businesses, in order not to undermine your personal assets.


You must take into account that things do not go as you hope. That’s why you have to imagine yourself with zero euros . Many are the entrepreneurs who fail: how would you manage this possibility? It is a good idea to propose a plan ” in case the worst result occurs “. Try to imagine what you would do if your business did not take off.


If you want to create a small business, do not leave your job . Starting a successful startup is a process that could take some time. Build your business in stages and gradually move from employee to entrepreneur. As a new entrepreneur, you will not start earning immediately : it is for this reason that you need to work. Also to face the most difficult moments. Once you have a good flow of money from your business, you can take on full-time corporate ownership.


A challenge that many entrepreneurs face is that they do not know how to sell. It can be difficult to share your business with the world , especially when you’re new to this environment. If you’re worried about what people think of your business, you have to overcome it. If you can not convince consumers to buy from you and support your business, you need to learn how to do it. If you really want success, you can not afford to be shy. You have to get out of your comfort zone. Be ready to talk confidently about your business, even if it makes you uncomfortable. As a new owner of a company, you will constantly need to be a marketing man and build a dense network of relationships.


Starting a business is exciting. The laws are not. But, it is necessary to understand the rules that the opening of a new company brings with it. If you can not follow the regulations , you may have to face heavy penalties. In these cases a professional could represent the solution.


One of the most important ingredients in a successful business idea is passion . Passion will keep you constantly improving your process so that your business grows. That said, do not let passion take over. It is she who brings you forward, but the knowledge will guide you in the right direction. Conduct market research in your industry and talk to target customers to discover the potential of your business. Ask questions to experts on launching a startup. Contact professionals who can help you in certain areas, such as financial advisors or lawyers. Think that your company is like a car: let your passion hit the gas pedal but your mind controls the steering wheel. In this way, you will be sure of the direction you are following and you will be able to sustain the momentum needed to get there.

How to finance your business idea, from loan to crowdfunding

From non-repayable loans to micro-credit, from business angels to crowdfunding: discover all the possibilities you have to finance your business idea

It happens to many entrepreneurs: the idea, the “flash of genius”, the famous light bulb that lights up and stimulates new processes to be applied to the company. But once the entrepreneur has had the idea, how can he finance it ? There are many channels to obtain money and liquidity : from the traditional loan of friends and relatives, we move to banking, from non- repayable loans to subsidized loans, we can resort to micro-credit , to the business angel, venture capital or crowdfunding.

Let’s see in detail what are the possibilities that entrepreneurs have to finance their idea.

Loans from relatives and friends

The easiest thing to fund your business idea is to ask relatives and friends to invest in the project . In this case it is necessary to take a serious approach, proving that this is not a game, perhaps even taking a written commitment. In addition to the classic donation of money, relatives and friends can intervene in the business by becoming shareholders of capital.

Banks and subsidized finance

You can get credit from a bank , upon presentation of a solid project and adequate guarantees (assets, real estate, savings). You can have lower interests and reduce the risk of insolvency, in the event of bankruptcy, by accessing bank loans through guarantee funds created by the Ministry for Economic Development. Obviously the obligation to return a small part of overdraft remains and the rest is covered by the fund. On the other hand, the loan must be repaid in accordance with the terms of the contract.

Non-refundable contributions

Another possibility that entrepreneurs have to finance their idea is to access non-repayable contributions . You can find announcements on Government websites (example: Council Presidency, Department for Equal Opportunities) and associated companies ( Invitalia ), Ministries (For economic development, University, Transport, Cultural Heritage, Tourism), Regions, Chambers of Trade and Trade Associations, European Commission.


The micro-credit is a financial instrument in favor of inclusion of subjects defined as non-bankable , or that do not have access to credit in the traditional way. The loans disbursed can reach 25/35 thousand euros (depending on the entity to which it is addressed), even without guarantees. To gain access to microcredit, often a credible project and a business plan areenough to create jobs, structure a company or develop an existing one.

Business Angel and Venture Capital

The business angel is an investor who bets on the business idea and profits from it . Having a shareholder in the company, which has a financial investor approach, imposes steps set for development over 5 years (revenues, margins, any listing). It contributes to creating a system around the company, creates interactions and fosters synergies with other companies with a view to development and economic growth.


Very popular at the moment, crowdfunding – collective funding – offers the best results for companies that offer something creative and artistic. The idea is launched on special portals, such as Kickstarter , and people are invited to finance the project with small shares.