English
Italiano Those Foxy Functionaries of the Ministry
Italo Volpe, head of the Legal Office of the Treasury Ministry, responding to a letter Yesmoke sent, communicated that the regulation of the minimum price “will be abrogated as soon as possible due to the recent sentence of the European Court of Justice”, but he skipped mentioning the ridiculous “minimum tax” that will cancel out any benefits of the abrogation.
How can the professor support the measure of the undersecretary of Finance, Alberto Giorgetti, Gianfranco Fini’s man, giving this answer of a typical paper-pusher? Italo Volpe is not directly responsible for the operation of Giorgetti, but in this way he becomes his accomplice.
In fact, this same Legislative Decree of 26 October 1995, no. 504, besides regulating the minimum price, contains a measure that provides for a penalising excise on products sold at prices below what today is effectively the minimum price the so-called «tassa minima» - minimum tax - that creates the same effects as the minimum price and circumvents the European Community Court judgement.
Complying with this sentence means abrogating all the measures that elude the judgement; so, this minimum tax regulation, too, must be nullified.
Volpe’s answer to Yesmoke’s request for an explanation is offensive. Volpe had never answered any of Yesmoke’s letters before. Maybe this time, too, he should have said nothing?
The Paper-Pusher’s Response
Ministero dell'Economia e delle Finanze – Ministry of the Economy and Finance Rome, 7 September 2010 Subject: D.L. 23/06/2010, no. 94 – Urgent instructions on the subject of excises on tobacco products.
With reference to the letter of 2 July 2010 regarding the above problem, you are advised that, due to the recent sentence of the European Court of Justice of 24 June 2010, article 39-quater, paragraph 5 of Legislative Decree 26-10-1995, no. 504 is no longer being applied by the Autonomous Administration of the State Monopolies and that the regulation will be abrogated with the first applicable measure.
Yesmoke’s Reply
Egregio prof. Volpe,
With reference to your letter above, I inform you that the abrogation of Art. 39-quarter, parag. 5 of the Legislative Decree 26-10-1995, no. 504 is not sufficient to interrupt the violation of the Community judgement. Art. 39-octies, parag. 2-bis and 4 of the same decree, in fact, applying a penalizing excise on products sold at lower prices prejudices the competitive advantage recognised to manufacturers by Directive 95/59/EEC, and effectively eludes the Community judgement.
The sentence of the European Court of Justice of 24 June 2010, at point 52, indicates the price level below which manufacturers cannot sell, which is the cost of production plus the taxes. But it emphasizes the principle of proportionality that Art. 39-octies, parag. 2-bis and 4 does not comply with. The European Community regulation that governs the imposition of the excise on processed tobacco products, in fact, specifies that the excise is fixed for quantity and quality, not for value.
I point out, moreover, that Art. 39-octies, parag. 2-bis and 4 of Legislative Decree 26-10-1995, no. 504 is unconstitutional as it contrasts with articles 41 and 53 of the Constitution.
I request, therefore, that as soon as possible, not only article 39-quarter, parag. 5, but also Art. 39-octies, parag. 2-bis and 4, be corrected.
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