In the Budget Law for 2019, paragraph 127, innovating the Consolidated Act on Financial Intermediation, the Italian Legislator has identified the so-called “Business Angels”, namely those who work for fostering all the stages of investment in the field of innovation and making them more efficient. Under the new regulatory provision, the Business Angel is any subject, even if not resident in Italy, who has invested in the field of innovation, directly or indirectly, an amount equal to at least forty thousand euros in the last three years. They are informal investors of risk capital who are passionate about a start-up, financing and supporting it not only by bringing capital, but also experience, knowledge, contacts, business opportunities. They are not exclusively driven by financial motivations. The Business Angel is neither subject to authorization nor registrations and does not require special features. S/he invests her/his own money and therefore does not belong to the category of subjects that carry out financial activities.

In the following paragraph 218, the Italian Legislator has integrated for 2019 the Legislative Decree n. 179 of 18 October 2012, increasing the tax incentives by 40%, namely for individuals and companies that invest venture capital in innovative start-ups. The tax incentives can be:
– Tax deduction for natural persons equal to 19% of the capital invested in innovative start-ups;
– 20% of capital invested by companies in innovative start-ups which reduces the taxable income.

If the entire start-up share capital has been acquired and maintained for three years, tax incentives increase by 50%. Finally, for investment in socially-driven start-ups with a higher technological value in the energy sector, the incentive, calculated on the amount invested:
– Has increased by 25% for natural persons;
– Has increased by 27% for companies.