On 4 December 2015, Italy's Council of Ministers approved the law for the ratification of the pending income tax treaty with Panama. The treaty, signed 30 December 2010, is the first of its kind between the two countries. Taxes Covered The treaty covers Italian personal income tax, corporate income tax and the regional tax on productive activities (IRAP). It covers Panamanian income tax (the impuesto sobre la renta provided in the Código Fiscal, Libro IV, Título I, and its related decrees and regulations). Residence If a company is considered resident in both Contracting States, the competent authorities will determine the...