Years ago, when Italian entrepreneurs used to discuss about internationalization, their point of view was focused on the relocation of production.
Times and laws have been changing, and the principle of freedom of establishment in EU countries, settled by the Treaty instituting the European Community, has come to be increasingly reiterated by the Court of Justice (Judgement of 9.3.1999 - case C-212/97 Centros Ltd c. Erhvervs-og Selskabsstyrelsen; judgment of 12.9.2006 - case C- 196/04 Cadbury Schweppes c. Commissioners of Inland Revenue) and lately by the Italian Corte di Cassazione as well, with the judgment of 22/30.10.2015 (Dolce&Gabbana Case).
The European legislation allows to the companies of each EU Member State, therefore, also to Italian entrepreneurs, to constitute companies all over the European countries. Thus, Italian business could operate in International scenarios and benefit of convenient taxation existing in certain countries, by means of companies therein established.
Among the European countries, United Kingdom is the one, which Italian citizens and companies look at with most curiosity, taking into account the very light burden of taxations. The English economic policy aims to the development of UK Companies, hence to the increasing development of wealth of the United Kingdom. The UK Tax Authority’s perspective is thoroughly discrepant from the horizons perceived by the Italian Tax Authority.
How could we not consider Adam Smith’s contribution, who as long ago as at the end of the 18th century, came to the consideration that to encourage the wealth of a nation, each individual, in respect of the law, must be free to pursue his own interest and to put his business in competition with the others “it is not from the benevolence of the butcher, the brewer, or the baker, that we expect our dinner, but from their regard to their own interest. We address ourselves, not to their humanity but their self-love, and never talk to them of our necessities but of their advantages. […] and by directing that industry in such a manner as its produce may be of the greatest value, he intends only his own gain, and he is in this, as in many other cases, led by an invisible hand to promote an end which was no part of his intention”.
This last insight is all the more extraordinary in that, for much of human history, acting in one's self-interest, indeed, seeking to accumulate wealth, had been perceived as unseemly and was, in some instances, illegal (Remarks by Chairman Alan Greenspan - At the Adam Smith Memorial Lecture, Kirkcaldy, Scotland February 6, 2005).
In the Anglo-Saxon world acting in one's self-interest is not devaluated and, presumably, this is the key to realize the fluency, the dynamism, in other words the expression - also in the economic field - of freedom, core value of Anglo-Saxon countries.
From the memorable roots of the British world occurs the chance to be a part of the International scenario, in pursuance of managing, with profit, any economic activity.
Notwithstanding, in order to access as main characters in the international scene, the bare constitution of a company in UK, is not by itself sufficient; turning to an appropriate legal and tax assistance becomes crucial.
The lawyer’s advice is significant to develop management strategies, draw up suitable contracts, accomplish incisive participations, and adopt adequate cautions that ensure the achievement of an efficient company. This is meant to be able in operating, with expertise and productivity, on foreign markets, while keeping, for those who wish, contractual relationships with Italian Companies.
The legal and tax advice must be international in scope, taking full account of the enlargement perspective and the global context, the professionals shall be part of a network of international firms
Further horizons are going to be opened up, though, in order to sail towards new lands, is necessary a navigator with keen shipping skills and the experience to avert tragic shipwreck.
Milan, 2nd May 2016
