Economics
Italy to Seek EU Flexibility for Renzi's Tax Cuts, Adviser Says
- Economic growth shows country ``has really changed gear''
- Planned corporate tax cuts may come as early as next year
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Italian Prime Minister Matteo Renzi will finance 35 billion euros ($39 billion) of tax cuts through lower government spending and an appeal to Brussels for more flexibility on budget targets, according to his economic adviser.
“We plan to finance this tax reduction through spending cuts on the one hand, and a little more margin relative to European parameters we currently have," Renzi adviser Yoram Gutgeld said in an interview in Rome. The deficit-to-gross domestic product ratio will stay at a projected 2.6 percent this year, and "we will ask for a higher number" than the 1.8 percent projected for next year.