The Italian Revenue Agency (Agenzia delle Entrate) has issued a circular with which clarifies, among other things, that PV systems must now be considered movable property. This means that the owners of PV installations will now be entitled to take advantage of the super-amortization on investment goods.
The super-amortization, which was launched by the Italian government under the Industria 4.0 package in late 2016, facilitates business investments by allowing an extra-amortization on the purchase of certain tangible assets. The increased amortization charge is fixed at 40% and is applicable to purchases realized from 15 October 2015 to 31 December 2017. The fiscal amortization charges in relation to purchases of new capital goods increases their value by 40% with respect to their acquisition cost, for the whole amortization period.
The agency said the PV components installed on a solar power systems will now be applied a depreciation charge with a coefficient of 9%. Prior to this circular, PV components were considered immovable property and as such were applied a 4% coefficient.
The Italian solar association Italia Solar announced that it has organized a conference in Milan on April 26 to explain how to assess the positive effects of the circular on the balance sheets and the business plans for 2016.