HOLIDAY BONUS: HOW DO I USE IT?

If you are reading this article, you will surely have heard of the famous "Holiday Bonus" and you are probably wondering how it works in practice. In this article we will try to clarify the recurring doubts, with the aim of making you understand what you need to do to use it.

This measure dates back to the so-called relaunch decree introduced last May to support the sectors most affected by the pandemic (in this the tourism sector) and boost the economy of the country.

The holiday bonus was designed to stimulate domestic tourism. How?

With a discount voucher up to 500 € for those who book a holiday in Italy.

How do you ask for it?

The application had to be made on the IO app by 31 December 2020 by one of the members of the household. The only requirement required, in addition to the ISEE, was the possession of a digital identity SPID (Public Digital Identity System) or CIE 3.0 (Electronic Identity Card).

Who can benefit from this discount?

Households with a valid ISEE indicator - ordinary or current - not exceeding 40,000 euros. The bonus can be used by only one member of the family, who can choose whether to use it for a holiday in which all the family members are present or only some. In addition, it is not necessary for the person who requested it to be present.

What is the discount and how does it apply?

It varies from 150 € to 500 €, depending on the number of people in the household:

-  150 € for one person

-  300 € for two people

-  500 € for families of three or more persons

80% of the total amount is granted immediately in the form of a discount on the total amount due to the tourist service provider.

While the remaining 20% must be requested in the form of tax deduction in the tax return 2020 or 2021 (depending on the year in which it was used). Of course, it is necessary that the family member wishing to benefit from the tax deduction is the holder of the documentation relating to the booked service (invoice, receipt/ receipt tax).

How does it work?

Upon request, the recipient displays the Bonus that is due to his or her family in the "portfolio" section of the IO app. By clicking on "Holiday Bonus" you can see the total amount in euro, the members of the family who can benefit from it (with tax codes), the unique code and qr code associated with it.

The bonus must be spent in a single solution, at a single type of accommodation (hotel, village, farm, B&B, camping) operating in the national territory.

Payment must be made without the aid, intervention or intermediation of platforms or portals other than travel agencies or tour operators.

To avoid bad surprises, before booking, it is advisable to contact the service provider and ensure that he has joined the initiative.

The suppliers that have joined know very well how it works. At the time of booking, the client must give him his unique code or have him scan the qr code (which he finds in the "holiday bonus" section of the IO App). At this point the supplier will enter it in the appropriate section of the website of the revenue agency and if the system detects that everything is in order, proceeds by applying the discount on the invoice and issuing the relevant documentation in the name of the customer.

What should a supplier do to join the initiative?

Nothing special, except to notify customers that it has joined. No registration procedure is required. The discount applied to customers in possession of the "Holiday Bonus" will be refunded in the form of a usable tax credit, without limit of amount in compensation by means of the F24 model. Alternatively, it is possible to transfer the credit to third parties, also through the Revenue Agency website. 

What are the main news about the holiday bonus?

The first is the extension of its validity, which with the Decree supports bis was extended until 31 December 2021.

The other interesting news is the possibility of spending it also at travel agencies and tour operators, which extends the services for which it is usable. Initially, in fact, you could only take advantage of the bonus to book tourist accommodation services (accommodation, accommodation + meals). Now, however, it can also be used to book activities organized by travel agencies and tour operators. The only constraint remains the national borders: the bonus applies to activities organized within the Italian territory by Italian companies.

How does it work in practice? Let’s take two examples:

1. The booked service exceeds the total bonus amount

Mr Mario Rossi is entitled to €500 bonus because he has a family with 3 children. After requesting his bonus, he identifies an excursion with a total cost of 600 € organized by an Italian tour operator. Mr Rossi contacted the Tour Operator, gave him his unique code and immediately received a discount of 400 € (80% of the total amount). For the balance, Mr Rossi pays 200 € by bank transfer and the tour operator issues an invoice in the name of Mr. Rossi, highlighting the total price of the service booked, the discount applied on the invoice, the tax code of Mr. Rossi and the difference from these paid. At the time of tax return Mr. Rossi will be entitled to a tax deduction of 100 € (the famous 20% of the total amount). Of course the difference of 100 € will be charged to Mr. Rossi.

2. The booked service shall not exceed the total bonus amount

Mrs Anna Bianchi is single and requested her holiday bonus, which amounts to 150 €.

Signora Bianchi decides to use her bonus to book a one night stay at the Hotel, at a cost of 90 €. In this case, after having communicated her unique code to the Hotel, the Lady will receive an immediate discount of 72 € (80% of the total price that should have paid) and must pay the difference of 18 €. This difference can then be recovered in the form of tax deduction, submitting the documentation at the time of tax return. Considering that the bonus must be spent in a single solution, Mrs Bianchi will not be able to recover the remaining € 60 credit (the difference between € 150 bonus and € 90 spent).

Did we manage to dispel your doubts? At this point the things to do are two: book your next holiday and share our article!

P.S. For further information, please consult the updated Revenue Agency Guide.