Investment in Italy

Investment in ItalyThe recipients of these kinds of incentives are:• large or medium-sized foreign companies• large or medium-sized Italian subsidiaries of foreign groups• large or medium-sized Italian companies that transferred their headquarters abroadbefore 17 March 2005 and are willing to reinvest in Italy.The investment programmes are available for the following sectors: manufacturing,renewable energy production, business services and tourism. Eligible investments are thosein new plants, or in the expansion, modernisation, restructuring, conversion, reactivation orrelocation of existing plants.The eligible regions are Abruzzo, Molise, Campania, Basilicata, Apulia, Calabria, Sicily andSardinia.Investors must apply simultaneously to:• Invitalia• The Ministry of Economic Development• the selected regions.2.2.3The National Programme for Research and CompetitivenessThis is the most extensive programme of incentives supporting research, innovation andbusiness development in the Convergence regions (Campania, Apulia, Calabria and Sicily)and it is funded by the European Union (the total amount of allocated resources exceedsEUR 6 billion). The programme has two main targets.The first target – Support for Structural Changes – includes incentives for scientificnetworks and firms, with the aim of promoting substantial changes in the business sectorsof the Convergence regions, by starting and/or consolidating science and technology-basedbusinesses. The target areas of activity include the following:• science/technology parks focused on production systems and the promotion of newbusiness initiatives• technology/production parks focused on enhancing competitiveness in the system• networks focused on strengthening the scientific and technological potential of theConvergence regions• upgrading of facilities and equipment in science and technology• cooperation in the fields of science and production.To achieve these objectives, Law no. 297/99 offers grants to companies that invest in avariety of industrial research projects aimed at improving or developing products, productionprocesses or services. Assistance is also available for programmes supporting infrastructureand services in the industrial research sector. A new Investment Fund for Research andTechnological Development (‘FIRST’) is awaiting activation.The second target - Supporting Innovation - is to increase investment in innovation anddevelopment, increase the competitiveness and attractiveness of the Convergence regions,and strengthen the ability of companies to adapt their strategies to ever-changing business© 2012 KPMG S.p.A., KPMG Advisory S.p.A., KPMG Fides Servizi di Amministrazione S.p.A., KPMG Audit S.p.A., Italian limited liability share capital companies, and Studio Associato Consulenza legale e tributaria, anItalian professional partnership, are member firms of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.21