IMF Staff Country Reports

Italy: Background Economic Developments and Issues - Supplementary Information Appendices

Publication Date:

May 10, 1995

Summary:

This paper reviews the flaws of the Italian tax system during the 1990s and the rationale for reform. The paper highlights that a fundamental reform of the tax system took place in 1971–73, and introduced three main innovations: the concentration of tax authority almost exclusively at the level of the central government; a value-added tax, in line with the rest of the European Union; and the extension of the base of the personal income tax to additional income categories. This paper also reviews the management of public spending in Italy.

Series:

Country Report No. 1995/037

Subject:

Budget planning and preparation Expenditure Financial markets Labor Pension spending Pensions Public financial management (PFM) Retirement Stock markets

Notes:

This supplementary report on recent economic developments in Italy was prepared by a staff team of the International Monetary Fund as background documentation for the periodic consultation with this member country. In releasing this document for public use, confidential material may have been removed at the request of the member.