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Exemption – Coverage of Short-Term Shortfalls

The SB Proposal stipulates that the Stamp Duty exemption for operations intended exclusively to cover shortfalls applies to loans, replacing the current comprehensive concept of financial operations, by reformulating and aggregating this exemption into a single paragraph.

In particular, express references to the application of this exemption to transactions of the following nature will be deleted:

• carried out by venture capital companies (VCC) in favor of companies in which they hold interests, which are now subject to the requirements applicable to other entities; and
• inuring to the benefit of any company that controls, is controlled by, or is under common control with it.

Short-term loans, including interest, shall be exempt from Stamp Duty when granted by companies to companies controlled by them or to companies in which they hold an interest of not less than 10% or whose purchase price is not less than EUR 5,000,000, provided that they owned the interest for one consecutive year or since the incorporation of the relevant entity, and provided that, in the latter case, the interest is maintained during that period.

Exemption – Cash Pooling

The SB Proposal established a new Stamp Duty exemption on loans, including interest, with a maturity of up to one year, if granted by companies under a cash pooling agreement to companies that control, are controlled by or under common control with them.

Pursuant to the SB Proposal the concept of a “company that controls, is controlled by or is under common control with another company” is fulfilled when the controlling company directly or indirectly holds at least 75% of the controlled company(ies), provided that the above interest entitles it to over 50% of the voting rights.

Rates – Consumer Credit

The SB Proposal increases the existing Stamp Duty rates applicable to the use of credit under consumer credit agreements:

• For loans under one year, for each month or fraction thereof, the rate is increased from 0.128% to 0.141%;
• For loans of at least one year, for each month or fraction thereof, the rate is increased from 1.6% to 1.76%;
• For loans of at least five years, for each month or fraction thereof, the rate is increased from 1.6% to 1.76%;
• For credits used as a current account, overdraft or otherwise where there is no term or it cannot be determined, the rate increases from 0.128% to 0.141%.

The SB Proposal maintains the 50% increase of the rates in force until 31 December 2020. Consequently, the rates ultimately applicable are:

• For loans under one year, for each month or fraction thereof, the rate is 0.2115% (instead of the current 0.192%);
• For loans of at least one year, the rate is 2.64% (instead of the current 2.4%);
• For loans of at least five years, the rate is 2.64% (instead of the current 2.4%);
• For credits used as a current account, overdraft or otherwise where there is no term or it cannot be determined, the rate will be 0,2115% (instead of the current 0.192%).