special advance tax payment (PEC)
| From 2006 onwards, special advance tax payment (PEC) must be paid during the month of March, or in two instalments, in the months of March and October, or, in the case of companies that have a financial year that does not coincide with the calendar year, in the 3rd and 10th months of the respective financial year.
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Companies that have been exempt from corporate income tax (IRC) for the whole of the previous financial year pay the minimum PEC permitted by law, i.e. EUR 1,125.00.
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Companies that generated taxable income in the previous financial year will pay PEC equivalent to 1% of the turnover for the referred to preceding year, with a minimum value of EUR 1,125.00 and, whenever this limit is surpassed, the tax will be equal to this minimum value plus 20% of the surplus over this base value, up to a maximum of EUR 63,000.00.
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