European Union: Income Tax

On 7 October 2026, the Luxembourg Government filed bill of law No. 8800 concerning the State budget for 2027 (the “Bill”) with the Chamber of Deputies. Alongside the budget itself, the Bill introduces a package of tax measures designed to increase Luxembourg’s tax competitiveness and support businesses, most of which would apply from tax year 2027.

Het Nederlandse kabinet kondigt ingrijpende fiscale hervormingen aan voor box 3 en box 2, met een versnelde overgang naar een vermogenswinstbelasting vanaf 2028 en aanpassingen aan het heffingsvrij vermogen. Daarnaast worden maatregelen gepresenteerd voor versterking van de koopkracht van werkenden en het terugdraaien van eerder voorgenomen hervormingen in de sociale zekerheid.

Germany's Federal Ministry of Finance has proposed a fundamental shift in how exchange crypto-assets like Bitcoin and Ether are taxed, moving them from "other income" to investment income with a flat 25% tax rate. The reform abolishes the one-year tax-free holding period for new acquisitions while introducing withholding tax obligations for domestic crypto-asset service providers. How will these changes affect long-term investors, high-income earners, and the operational burden on crypto platforms?

Budget 2027 was presented as setting out a path to bring us to a place in which work is rewarded, risk repaid and investments in our future can bear fruit. Whilst such sentiments are noble, the focus of the Budget tax measures was almost entirely on addressing the cost of living pressures for middle income earners through tax reductions which were largely publicised in the media in advance of the Budget being delivered.

Legislative Decree 148 of 2026 reinstates the list of potential beneficiaries of corporate welfare benefits and introduces new provisions for calculating fringe benefit taxation on company cars. The decree addresses critical issues created by previous 2025 regulatory changes and establishes new calculation methods based on conventional mileage, engine type, and vehicle specifications.

El Tribunal de Justicia de la Unión Europea ha dictado sentencia sobre la reclamación de iShares Europe ETF, una sociedad de inversión estadounidense que cuestionó la diferencia de tributación aplicada a los dividendos de empresas españolas en comparación con fondos de inversión españoles equivalentes. La controversia gira en torno a si esta diferencia de trato fiscal vulnera el principio de libre circulación de capitales establecido en el Tratado de Funcion

Sicily offers new residents moving from abroad a substantial IRPEF refund of up to 60% for three years, provided they meet specific residence, income, and property investment requirements. This regional grant aims to attract workers and pensioners to the island, particularly to smaller municipalities with fewer than 5,000 inhabitants.

El Tribunal Supremo resuelve una controversia sobre cómo calcular la 'principal fuente de renta' cuando un contribuyente percibe rendimientos de actividad agrícola y pensión de jubilación, determinados mediante métodos fiscales diferentes. La decisión tiene implicaciones directas sobre la aplicación de beneficios fiscales en transmisiones de empresas familiares.

Spada Partners has established itself as a premier tax advisory firm serving businesses and families across Italy, offering comprehensive support in transactions, turnarounds, corporate finance, and M&A processes. With over 70 professionals, the firm provides dedicated expertise in tax and financial planning, governance support, and generational transitions for both domestic and international clients seeking deep connections within the Italian market.