Conversion into Law of the Cohesion Decree

We inform you that following the publication in the Official Gazette of Law No. 95 dated July 4, 2024, Decree-Law No. 60 dated May 7, 2024, containing “Additional Urgent Provisions on Cohesion Policies” (commonly referred to as the Cohesion Decree), has been converted into law with modifications. The following updates were introduced during the conversion process:

Hiring Bonus for Women

The conversion has clarified that the bonus is aimed not only at women who have been unemployed for at least 6 months and reside in the unique Southern Economic Zone (ZES) and women who have been without a regular paid job for at least 24 months, regardless of residence, but also at women who have been unemployed for at least 6 months, regardless of residence, working in professions and sectors with an employment disparity rate between men and women of at least 25%, as identified annually by a decree of this Ministry, in concert with the Ministry of Economy and Finance (MEF).

It is reminded that the bonus consists of a contributory relief, lasting a maximum of 24 months, equal to 100% of INPS contributions borne by the employer, with a maximum amount of 650 euros per month, provided that it results in a net increase in employment on a monthly basis compared to the number of employees on average in the previous 12 months. For the full operability and utilization of the bonus, it is now necessary to await the implementing decree to be issued within 60 days from the publication of the conversion law in the Official Gazette, and the related INPS clarifications.

Compensation In F24 Of Inps Contributions And Inail Premiums

We inform you that the Revenue Agency, with Circular 16/E of June 28, 2024, has illustrated significant novelties in the matter of compensation. Indeed, starting from July 1, 2024, the compensation of credits will exclusively pass through the telematic channels of the Revenue Agency, and horizontal compensation will be prohibited if overdue debts exceed 100,000 euros. This circular has provided guidelines regarding:

• The generalized obligation to use only the telematic services provided by the Revenue Agency when payment delegations contain compensations of any nature.
• The exclusion from the possibility of availing of “horizontal” compensation for taxpayers who have charges entrusted to collection agents amounting to more than 100,000 euros.

From July 1, 2024, all payment delegations containing credits to be compensated of any nature, including those with a positive balance, will be transmitted exclusively through the telematic services provided by the Revenue Agency. This intervention by the 2024 Budget Law has a dual purpose: on one hand, due to the amendment of Article 11, Decree-Law 66/2014—containing provisions aimed at reducing collection costs—it reduces the use of telematic channels of affiliated intermediaries (whose services for transmitting F24 payment forms are subject to specific remuneration); on the other hand, the use of only the telematic channels provided by the Revenue Agency facilitates control procedures on compensations.

This new rule concerns all compensations, both horizontal (or “external”) and vertical (or “internal”), including those involving credits accrued with INPS and INAIL.

Parental Leave Applications

The 2023 and 2024 Budget Laws have respectively provided for an increase from 30% to 80% of the parental leave allowance for one month to be taken within the sixth year of the child’s life (or within 6 years from the child’s entry into the family in case of adoption or foster care, and in any case, not beyond the age of majority), and an increase of the parental leave allowance for an additional month from 30% to 60% of the salary for a maximum duration of one month of leave and up to the sixth year of the child’s life (or within 6 years from the child’s entry into the family in case of adoption or foster care, and in any case, not beyond the age of majority), raised to 80% for the year 2024 only.

With message No. 2704/2024, INPS communicated the implementation of the procedure for acquiring applications for parental leave and hourly parental leave for private sector employees, allowing the request for the increased allowance. It is specified that it is not necessary to submit a new application for previously compensated periods already with the increased rates. To this end, it is necessary to select “YES” for the new declaration “I declare that I want to request compensation with an increased rate” inserted on the “Application Data” page.

The procedure requires entering the date of the end of maternity or paternity leave (mandatory or alternative) if the birth date or the entry date into the family for foster care/adoption falls in 2022. If the event falls in 2023, entering at least one of the above dates, if after December 31, 2023, is necessary for the right to the additional month with a 60% increased rate (80% only for the year 2024). Finally, if the birth or entry into the family event occurs starting January 1, 2024, it is not necessary, for the right to the additional month with a 60% increased rate (80% only for the year 2024), to verify the end date of maternity or paternity leave (mandatory or alternative). The same criterion applies to children born starting January 1, 2023, concerning what is provided by Article 1, paragraph 359, Budget Law 2023.

Moreover, the application acquisition procedure has been modified, currently allowing the submission of the parental leave application only for periods starting no later than 2 months from the application submission date. This implementation does not preclude the possibility for the employee to notify the need to take parental leave with greater advance notice to the employer (the minimum term according to Article 32, Legislative Decree 151/2001 is at least 5 days or 2 days for hourly parental leave), but does not exclude a longer notice.