Garanzie del minimo vitale e coordinamento tra sistema tributario e provvidenze sociale (note a margine di Corte Cost. n. 152/2020)

With sentence n. 152 of 2020, the Constitutional Court has declared too low and, as such, unconstitutional, the amount established by the support allowance law for destitute people unable to work. In doing so, the decision has established principles of significant importance for the entire public finance sector and, consequently, also for tax matters. Reaffirming the need to guarantee effective and sufficient availability to meet the essential core of daily life needs, the ruling has brought back under focus the issue of the vital minimum in income taxes and the consequent need to find elsewhere the necessary revenue needed to ensure public budget balance. It also clarified that the need for coordination between tax reductions and public finance disbursements cannot lead to an indiscriminate cut of tax credits and deductions from personal income tax.