Italy Senate OKs Government Anti-Crisis Decree Including Gold Tax
ROME -(Dow Jones)- Italian senators Saturday approved a government decree
aimed at stimulating the economy amid the worst recession since World War II.
A tax on gold reserves of the Bank of Italy that has been criticized by the
European Central Bank is among the measures in the stimulus package.
The government Saturday said the 6% tax on the Bank of Italy's gold reserves
will be effective if the ECB and Italian central bank favor it, indicating that
the center-right ruling coalition doesn't plan to go against European Union
rules governing the independence of central banks.
The "anti-crisis" decree also includes measures such as a tax amnesty for the
repatriation of undeclared capital Italians hold abroad, raises the retirement
age for women, and allows for the rapid legalization of undocumented domestic
servants.
The plan comes amid the most severe recession in Italy's postwar history,
which has so far seen the government reluctant to pursue any large-scale
stimulus because of the country's already-high public-debt burden.
The decree's chief economic feature allows Italians to bring back some of
their estimated EUR500 billion in offshore holdings. The amnesty is the third
this decade by Finance Minister Giulio Tremonti. However, this time a higher tax
of around 5% will be levied on repatriated funds.
Government Web site: www.governo.it
-By Liam Moloney, Dow Jones Newswires; +39 06 6976 6920; liam.moloney@
dowjones.com
(END) Dow Jones Newswires
08-02-091123ET
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