Italian Parliament Denounces 'Racist' Immigrant Tax

by Ulrika Lomas, Tax-News.com, Brussels

15 January 2009

Proposals to implement an anti-immigration tax from Italy’s Northern League minority party as a way to generate extra revenue have been denounced by members of Italian parliament.

The proposals were added to a draft bill, containing measures to counter the financial and economic crisis, tabled in parliament this week. Italy’s political parties have called upon the Northern League to retract the proposals, claiming that they are ‘discriminatory’ and ‘racist’, with Prime Minister Berlusconi’s People of Freedoms party also rejecting the idea.

The proposals suggest levying a EUR50 (USD67) tax on residence permits, bringing the overall cost to EUR122, and if enacted would also force foreign companies to shore up their accounts with a EUR10,000 bank guarantee. Despite criticism, the Northern League said it would stick by its initiative, although it is highly unlikely it will gain approval as all other political parties have voiced their opposition from the outset.

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