Advertising tax credit: for 2020 bonus raised to 50%

Advertising tax credit: for 2020 bonus raised to 50%

The Relaunch Decree for 2020 raised the advertising tax credit to 50%, calculating the entire advertising value.

The relaunch decree for 2020 provided, in addition to other incentives for businesses, also theincrease in advertising bonus which ranges, for 2020 only, from 30% (2018 advertising bonus) to 50% and whose calculation basis refers toentire advertising investment.

To claim this bonus, you need to do request through telematic model in the period from 1 at the 30 September 2020 with a total allocated of 60 million euros.

Read also: Aid to businesses in the relaunch decree

Advertising bonus: what it provides

Compared to the bonuses of previous years, these are the main changes:

  • Calculation basis identified on the entire advertising investment made in 2020; therefore, it is no longer calculated on the incremental value in 2020 compared to 2019, as it was previously.
  • Credit percentage increased to 50% of total investment

This type of tax relief can be used in the form of tax credit in compensation in the F24 form, helping companies to grow through advertising in newspapers, digital or paper, but also on radio and television, provided they are registered as newspapers in the Court.

advertising bonus 2020Who can take advantage of the 2020 advertising tax credit? How?

The activities that can take advantage of this facility are both companies, that the self-employed he non-commercial entities.

Il bonus must be booked from the first until 30 September 2020, forwarding for via official telematics (PEC) the maximum expected investment amount of all 2020 expenses, filling in the Ministry module, information and publishing department.

The maximum admissible values ​​can be indicated and the final amount spent may be lower, but not higher, than declared in the application.

The final declaration, with the invoices actually accounted for in 2020, must then be submitted electronically along the month of January 2021.