News from JIACC

Eid Mubarak!

Eid Mubarak!

JIACC wishes a joyful Eid Al Fitr to all its members and friends. May this day bring you happiness and virtue.


ان الغرفة التجارية العربية الإيطالية المشتركة تقدم اليكم احر التهاني واطيب الاماني بمناسبة عيد الفطر السعيد، اعاده الله عليكم بالخير واليمن والبركات 

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JIACC is now on Twitter!

The Joint Italian Arab Chamber of Commerce is on Twitter (@Italian_Arab)! Follow us for the latest news on Italian-Arab economic relations!


Road to:

Second Italian-Arab Business Forum


123 Days / 17 Hours / 30 Minutes Left


Save the Date!

The Second Italian Arab Business Forum will take place in Rome on October 17, 2018 in the prestigious and modern "Auditorium della Tecnica", at the headquarters of Confindustria.

Innovation, Digital Economy, Logistics, Infrastructures and Agribusiness...


This year the Second Italian Arab Business Forum will address pivotal topics and sectors in Italian Arab economic relations. The event is a great opportunity for both Italian and Arab companies to share ideas, experiences and information and to foster new partnerships. Learn more.

Stay tuned to learn more on the must-attend Italian Arab economic event.


Our Members in the Arab world!


BonelliErede integra la law firm Tribonian Law Advisors, leader nell’area del Golfo

L’assemblea degli associati di BonelliErede ha deliberato l’integrazione di Tribonian Law Advisors (TLA), con sede a Dubai e, grazie a relazioni internazionali nella regione del Golfo, presenza in Libano ed Arabia Saudita. Il progetto di integrazione è volto a rinforzare il presidio di BonelliErede negli Emirati Arabi Uniti, nel Medio Oriente e in Africa. Per saperne di più.


News from the Arab world

Business Opportunity JIACC

Nord Africa: analisi SACE sulla mobilità ferroviaria

I Paesi africani che affacciano sul Mediterraneo dispongono di una rete ferroviaria, nel loro insieme, che è circa la metà di quella italiana, nonostante un’estensione territoriale quasi venti volte superiore. Eppure queste economie lascino presagire potenzialità enormi per lo sviluppo della mobilità ferroviaria.

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Algeria-Italia: Enel cede diritti giacimento gas di Tinhert North

Il presidente algerino Abdelaziz Bouteflika ha adottato tre decreti presidenziali relativi agli idrocarburi e uno di questi riguarda anche la compagnia energetica italiana Enel.

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Iraq: 5 mld per progetto ad Al Faw

La Basra Oil Company intende costruire una piattaforma per le petroliere e lo stoccaggio del greggio al largo di Al Faw.

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Algeria-Italia: Cantiere Navale Vittoria consegna rimorchiatore

'Cantiere Navale Vittoria', azienda veneta specializzata nella progettazione e costruzione di imbarcazioni militari, paramilitari, da lavoro e commerciali, ha consegnato il rimorchiatore 'Cap de Fer' all’autorità portuale di Skikda, Algeria.

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Energie rinnovabili Jiac

Marocco: per Masen raggiunti obiettivi transizione energetica

Secondo il Presidente di Masen, l'impegno del Marocco nei confronti della comunità internazionale per l'aumento della sua quota di produzione di elettricità da fonti rinnovabili al 42 per cento entro il 2020 sarà ampiamente rispettato.

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Algeria: investimento di 4,3 mld usd per completare progetti in corso

Il presidente dell’Algeria, Abdelaziz Bouteflika, ha disposto oggi un nuovo stanziamento di 4,3 miliardi dollari per completare alcuni progetti nel paese, fermi a causa della mancanza di fonti.

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News from Italy


BlackRock in talks to buy stake in Italian fund house

BlackRock is talking to Eurizon, Italy’s second-largest fund house with €314bn under management, about buying a minority stake as the world’s top asset manager strengthens its grip on Europe.

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Altre News JIACC

Italian assets rally on pledge to keep euro

A pledge to avoid financial instability from Italy’s Finance Minister has spurred a rally in the country’s bonds.

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Italy's New Prime Minister Seeks to Reassure Markets

Italy's new Prime Minister Giuseppe Conte seeks to reassure the markets with a pledge to gradually reduce the dramatic debt burden. He won the support of Italy's lower House last night, having won an earlier vote in the Senate on Tuesday. Bloomberg's Kevin Costelloe reports on "Bloomberg Daybreak: Europe".

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News & Data JIACC

ISTAT's Startup survey 2016 is out

Startup Survey presents the key findings from the first survey on innovative Italian startups, conducted in 2016 by the Ministry of Economic Development and by the ISTAT.

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JIACC's Tax Commission


Egypt / New Transfer Pricing rules 

On May 22, 2018, the Minister of Finance Amr El Gahry delivered Decision N. 221 of 2018 (hereinafter, the “Decision”) titled: “Amending some provisions of the Executive Regulations of the Income Tax Law promulgated by the Minister of Finance Decree N. 991 of 2005”. The Decision will have an outstanding impact on transfer pricing rules, as per Law N. 91 of 2005 concerning the Income Tax Law (shortly, the “ITL”). According to Article 2 of the Decision, the Decision has been published in Official Gazette N. 117 (supplement) for 2018. The Decision amends the Executive Regulations to the ITL, under Minister of Finance Decree N. 991 of 2005 (the “Exec. Regs.”) with respect to transfer pricing rules.

The most relevant features of the Decision, amending Articles 38, 39, 40 and 104 of the Exec. Regs., are summarized below.

Article 38 Exec. Regs.

Article 38 of the Exec. Regs. shall be replaced by the amended Article 38 stating that the Egyptian Tax Authority (ETA) shall have the right to audit whether the arm's length price is applied in commercial transactions between related parties. Transactions concerned with are those on goods and services, allocation of shared costs, royalties and interest payments and other commercial and financial transactions carried out among the parties.

Article 39 Exec. Regs.

As per the amended Article 39 Exec. Regs., the arm’s length price – as per the amended Article 38 – shall be assessed according to any of the following methods:

(i)                  comparable uncontrolled price method,

(ii)                cost-plus method;

(iii)               resale price method;

(iv)               profit split method; and

(v)                transactional net margin method

 It is worth noticing that prior to the amendments, only the first three methods in the list were allowed.

Article 40 Exec. Regs.

The taxpayer shall have the right to determine the arm’s length method according to any of the methods above pursuant to the nature of the commercial or financial transaction and taking into account all the circumstances of the relevant dealing (see amended Article 40(1) Exec. Regs.). However, nothing prevents the taxpayer from resorting to any other method in case none of the methods listed above can be upheld. In such case, the taxpayer shall keep all books and documents that enable to ascertain the suitability of such method (see Article 40(2) Exec. Regs.).

The taxpayer may enter into an advanced agreement concerning the arm’s length with the Tax Authority (Article 40(3) Exec. Regs.).

The Tax Authority will publish Transfer Pricing guidelines (as per Article 30 ITL) that shall comprise:

(i)                  the way to apply the arm’s length methods;

(ii)                the rules to be fulfilled upon applying any each method;

(iii)               books and documents to be kept

A deviation from such guidelines is conditional upon a prior approval from the Head of the Tax Authority.

Article 104 Exec. Regs.

Entities (juridical persons) shall file the tax return through the Egyptian government electronic portal or through any other electronic means to be determined by the Ministry of Finance, upon the registration of the taxpayer (that shall obtain a password to that effect). The taxpayer is fully liable for any data filed to the Authority. The same rules may apply to individuals that shall prove to have settled the due tax through one of the means approved as per Article 82 of the Exec. Regs. or to be approved by the Tax Authority.


For the sake of completeness, it is worth to remind that Egypt joined the BEPS Inclusive Framework and is committed to complying with minimum standards. This implies that International taxpayers shall refer to the Egyptian ITL and Exec. Regs. (as amended by the Decision) in conjunction with the International sources that may affect the scope of Egyptian rules.

Author: Roberto Scalia, Chairman of the JIACC Tax Commission


EU-Tunisia / Steps ahead towards the Deep and Comprehensive Free Trade Area (DCFTA) 

On 13 October 2015, the EU and Tunisia launched negotiations for a Deep and Comprehensive Free Trade Area (DCFTA) with the following overall goals:

(i)                  Create new trade and investment opportunities

(ii)                bring about the better integration of Tunisia's economy into the EU single market;

(iii)               support ongoing economic reforms in Tunisia and bring Tunisian legislation closer to that of the EU in trade-related areas.

The First Round was held in Tunis on 19-22 October 2015 assessing, among other issues, the relevant statements in the following sectors:

• Competition: the most challenging area for discussions has been envisaged in the “State aids, given the current regulatory and institutional Tunisian framework in this area”;

• Customs and Trade Facilitation: “no particular issues were identified in the discussions on customs and trade facilitation”;

• Existing Bilateral Cooperation: in this field was deemed to be “very well advanced”; and

• Technical Barriers to Trade (TBT): the need to assess the state of play on ACAA preparations in detail was identified, as regards both regulatory and institutional aspects.  

On 25 February 2016 the European Parliament declared the Opening of negotiations for an EU-Tunisia Free Trade Agreement (European Parliament Resolution (2015/2791(RSP)) calling the parties to consider introducing a: “tax good governance clause, based on the work of the Commission’s Platform for Tax Good Governance, to rule out any instance of double non-taxation” (see, point 58).

On 28 to 31 May 2018 the Second Round was held in Tunis and the joint Report will be published shortly. While waiting for the relevant Report, we wish to draw your attention are the following aspects of the European 2016 proposal, stressing that we do reproduce also the French version since it is the official language for negotiations and all official documents are available exclusively in French.


Recognising the importance of fair trade between the EU and Tunisia, Article 1 of the proposal states that:

Sont incompatibles avec le bon fonctionnement du présent accord, dans la mesure où elles sont susceptibles d'affecter les échanges entre l'Union et la Tunisie, les pratiques et transactions ci-après …

(d) toute aide publique qui fausse ou menace de fausser la concurrence en favorisant certaines entreprises ou certaines productions”. State aid are expected to be fitted within the general guidelines under Article 1(2)(d) of the proposal.

To this token, it is worth to underline that Tunisia is expected to introduce a State aid legislation that fits within the EU standards (as per Article 3(1)(a) and (b) of the proposal). However, a temporary measure should be adopted, ensuring that “during the first five years following the conclusion of this Agreement, any public aid granted by Tunisia shall be assessed taking into account the fact that this country is considered as identical to the Union areas referred to in Article 107 (3) (a) of the Treaty on the Functioning of the European Union” (Article 3(1)(c) of the proposal).

Importantly, transparency shall be ensured so that, namely, “Chaque partie assure la transparence dans le domaine de l'aide publique, notamment en informant  tous les deux ans  l'autre partie de la base juridique, de la forme, du montant ou du budget et, si possible, du bénéficiaire des aides publiques octroyées pendant la période de reference” (Article 2(1) of the proposal) and “À la demande d'une partie, l'autre partie fournit des informations sur certains cas particuliers d'aide publique” (Article 2(3) of the proposal).


Article 4 of the proposal is titled “Redevances et autres taxes”. The EU proposal is intended to lower all administrative inderhances and taxes of an equivalent effect as deterring access to the market, holding that “Les parties interdisent les redevances administratives ayant un effet équivalent à des droits ou autres taxes à l'importation ou à l'exportation ou constituant une protection indirecte des produits nationaux” (Article 4(1) of the proposal). Consistently, levies for “formalités consulaires, y compris le paiement de redevances et autres taxes, en relation avec l’importation ou l’exportation de marchandises en provenance ou à destination de l’autre partie” shall be eliminated (Article 4(2) of the proposal).

A Third full Round is expected to take place in autumn 2018 in Brussels.

Author: Roberto Scalia, Chairman JIACC Tax Commission