Refunds 730: now also compensable with substitute taxes in F24 (cross-border guide)

Context

In a nutshell

• FAQ published on 31 July 2026 clarifies new recovery methods
• Substitutes can offset 730 refunds with substitute taxes in F24
• Extended the 'amount deemed' usable for the recovery of receivables

Key facts

• What: Clarification on how to recover tax credits from Form 730
• When: FAQ published on 31 July 2026
• Where: Italy (Revenue Agency)
• Who: Tax substitutes and employees
• Amount: Not specified in the source

According to what was communicated in May 2026, the Italian Financial Administration published an FAQ on July 31, 2026 that intervenes on the methods of recovery of tax credits deriving from form 730. The clarification specifically concerns how tax substitutes can recover the sums advanced to employees in the event of a tax refund.

It is known that, when the 730 form shows a tax credit, the taxpayer does not normally receive the refund directly from the Tax Administration but from his tax substitute, who credits it in the useful salary. However, the financial advance paid by the employer does not remain definitively his responsibility: the legislation allows these amounts to be recovered by offsetting in the F24 model, using the sums that the substitute is required to pay to the Treasury in relation to his tax obligations.

The clarification of the

Operational details

Analysis of allowable substitute taxes

The source specifies that the extension concerns "some substitute taxes on wages", but does not list what these taxes are in the text provided. This detail therefore remains unspecified in the source and cannot be invented.

To understand the practical impact of this change, it is useful to compare the previous situation with the current one. Before the clarification of 31 July 2026, tax substitutes could only use ordinary personal income tax withholdings, regional and municipal surcharges, and mandatory social security contributions for compensation in F24. Now, thanks to the expansion of the withholding tax, they can also include certain substitute taxes that are levied on employees' salaries.

This change is particularly relevant for substitutes who manage workers with salaries subject to special tax regimes, such as those that provide for substitute taxes in place of ordinary personal income tax. Examples of such schemes may relate to production premiums, stock options, or other forms of variable remuneration benefiting from substitute taxation.

From an operational point of view, this expansion increases the flexibility of tax substitutes in managing the recovery of tax credits. By having a larger basket of sums to be used for compensation in F24, it reduces the risk of insufficiency of the amount withheld, a situation that occurs

Key points

How to verify the application of the new rule

For tax substitutes who wish to apply this new offsetting possibility, the steps to follow are:

1. Verify that the worker has submitted Form 730 and that a tax credit is in their favor 2. Credit the reimbursement in the employee's useful salary, as required by the tax assistance rule 3. In the subsequent declaration by means of form F24, include among the compensation not only ordinary withholdings but also substitute taxes on salaries now allowed 4. Keep documentation demonstrating the correct application of compensation, including reference to the FAQ of 31 July 2026

Useful management tools

To deepen the practical aspects related to income tax declaration and refund management, Frontaliere Ticino offers some tools:

• The calcolatore stipendio allows you to verify the impact of different salary items on the payroll
• The dichiarazione delle imposte guides you through the steps required to complete the 730 form
• The busta paga svizzera helps to understand the differences between the Italian and Swiss systems

Deadlines and obligations

Although the source does not specify particular deadlines related to this clarification, it is important to remember that the form 730 must be submitted within the ordinary deadlines provided for by Italian law, traditionally between April and July of each year as

Source: fiscoetasse.com