The government of the new Italian Prime Minister Giorgia Meloni wants to raise the upper limit for cash payments in Italy from 2,000 to 10,000 euros. The new Prime Minister Giorgia Meloni is following Austria’s example.
In a speech prior to the confidence vote in the Senate on Wednesday evening, the head of government stated that her cabinet would support coalition partner Lega’s plans to increase the money limit. “This limit is not favorable for our competitive position,” explains Meloni. She rejected the argument that a higher cash limit would encourage paying black money, tax evasion and the informal economy. Even in countries like Austria and Germany, there is no limit for cash payments.
“Will also encourage money laundering”
The government’s plans have been criticized by the opposition. “With a higher money limit, it will be more difficult to control the flow of money, which will encourage not only tax evasion but also money laundering,” wrote Social Democratic Senator Franco Mirabelli.
“At a time when the mafia is trying to undermine the legitimate economy by investing funds of illegal and criminal origin, we are giving them a gift by allowing them to move large sums of money without any control. The fight against the mafia and illegality does not require declarations of principle, but rather coherent actions,” continues Mirabelli.
Cashless society is desirable
MP for the centre-left opposition party Italia Viva, Luigi Marattin, said the long-term goal of a cashless society is desirable. “This goal can be achieved by reducing the cost of digital payments without forcing them,” he said.
The right-wing Lega, which is affiliated with Meloni, sees the situation differently. “Raising the ceiling on cash in circulation does not automatically open the door to undeclared work as some opposition figures claim, but is a common sense proposal that allows citizens to manage their money without bureaucracy or unnecessary restrictions. In Germany, Austria, Cyprus, Estonia, Finland, Hungary, Iceland, Ireland, Luxembourg, the Netherlands and Poland, there are no restrictions on the use of cash and do not seem to have the huge problems that the opposition fears,” explains Lega . MP Federico Freni.
There are already maximum amounts for cash payments in almost half of the EU countries. For Austria, both the Ministry of Finance and the National Bank have so far categorically rejected the introduction of a money limit.
Source: Krone
I’m Wayne Wickman, a professional journalist and author for Today Times Live. My specialty is covering global news and current events, offering readers a unique perspective on the world’s most pressing issues. I’m passionate about storytelling and helping people stay informed on the goings-on of our planet.
