Italy Supreme Court clarifies tax installment rights and partner liability

The Italian Supreme Court (Corte di Cassazione) has issued rulings clarifying the legal rights of taxpayers and the liability of former corporate partners regarding tax debts.

In a recent ordinance (No. 25516), the Court ruled that requesting an installment plan to pay tax debts does not constitute an admission of guilt or a waiver of the right to contest the validity of the tax obligation. This decision clarifies that seeking a payment delay only affects the timing and quantification of payments and does not imply 'acquiescence' to the debt, countering previous interpretations used by the Agenzia delle Entrate.

Additionally, the Court addressed the liability of former shareholders following the cancellation of a company. The ruling establishes that the cancellation of a company does not automatically transfer its debts to the personal assets of its partners. The burden of proof lies with the creditor, who must demonstrate that assets were distributed to the partners during the liquidation process to hold them personally liable.