Entrepreneurs are massacred. Does Carinthia break them?
25% from taxes on businesses (as opposed to 68.3% in Italy), zero bureaucracy and big incentives for those who do research. Here’s how the Austrian region is preparing to exit the crisis by attracting foreign capital. We, as loyal fools, stand by and watch.
First there were only the cantons of Switzerland that attracted the entrepreneurs of Northern Italy.
Then came the states of Eastern Europe (which, after living tragic decades of communism, do not even want to hear about the State), and Malaysia where many Venetians are moving. Meanwhile, there are those who, piece by piece, buy our Businesses in difficulty.
To the list of “Industrial havens” where the companies extremely battered by the Italian tax authority can escape, now Carinthia has been added, Austria’s small mountainous region of only 560 thousand inhabitants (less than half of Milan) on the border with Friuli and Slovenia. A real State in itself (Austria is a federal republic) that, as such, has the full right to self-determination in terms of tax. And here we find that, with a letter received by many entrepreneurs throughout North Italy, the ” Institute of Development of Carinthia” (Entwicklungsagentur Kärnten GmbH) informs about the “very attractive terms” that “small and medium-sized innovative companies can enjoy”.
First of all, “contributions for investments up to 45% for research and development projects” and “up to 20% for manufacturing facilities”, research institutes, qualified personnel and “commercial properties perfectly infrastructured in an excellent position, some with railroad connection, starting from 25 euro / sqm”.
Great things in a country where the banking credit crunch is putting many businesses on their knees, where infrastructures are a big concern and the rents for businesses are expensive also because of Imu. But, perhaps, not yet enough to convince the great mass of entrepreneurs to move abroad.
However, the Carinthians decided to hold the weapons of persuasion harder lastly.
“Attractive tax system with corporate tax of 25% and attractive tax premiums for investments in research and development.
No Irap”. If you think that in Italy – according to the data from a study of Confartigianato conducted in June, confirmed by a Bank of Italy in July – the real tax burden on SMEs is of 68.3%, one could swear that many entrepreneurs think rightly to flee in Carinthia.
Of course elsewhere it is even better (Eastern European countries with virtually zero tax) but certainly not with the political stability and the absence of corruption guaranteed by Austria.
Even the region – pardon, the State – in question does possess a decisive weapon to shoot: “fast practices, little bureaucracy, for example the issuance of the building permit after 7 days.”
Rightly speaking, entrepreneurs have neither the time nor the inclination to make the revolution: they have to work and prefer to do so in a state that does not rob them of 70% of their income (income of the company and then their personal income), which does not require months or years before giving a permit and which pays its debts within a reasonable time (the Austrian average is 44 days, that of Italy is of 180).
Thus if you do not operate drastic cuts from the public expenditure and thus from the taxes, the future is marked: there will be fewer and fewer businesses, jobs and opportunities for the deserving youth.
Italy will become a third world on the border with rich countries.
Just the end that the country of Pulcinella deserves. But certainly not the Italians.
EasyBalkans Team