L’imposta sul reddito nei rapporti tra Italia e San Marino: il caso delle pensioni transfrontaliere

This article examines the taxation of cross-border pensions within the framework of the fiscal and legal relationships between Italy and the Republic of San Marino, with reference to the broader context of San Marino’s Association Agreement with the European Union. The study highlights the unique geopolitical and juridical dynamics between the two states, shaped by historical treaties such as the 1939 Convention of Friendship and Good Neighborliness, and San Marino’s participation in international organizations like the United Nations, Council of Europe, and OECD’s Inclusive Framework. The analysis focuses on the taxation of pensions as a form of social security under the Italy-San Marino tax treaty, particularly Article 18, which assigns exclusive taxing rights to the source state (San Marino) for such payments. The article critiques a judicial decision by the Rimini Court that recognized a tax credit for a pension taxed in San Marino but declared as taxable income in Italy, arguing that this reflects a misapplication of the treaty’s exclusive taxation principle. It further explores the distinction between the Bismarckian and Beveridgean models of social security, emphasizing their implications for tax policy, and addresses unresolved issues regarding the taxation of pensions for self-employed workers under mandatory contribution schemes. The study concludes that the expanding scope of “social security” in modern welfare systems strengthens the source state’s taxing authority, while highlighting formal inconsistencies in the judicial approach that may require further clarification by higher courts.