This document outlines the Italian tax treatment of distributions of profits by capital companies based on the type of recipient. For individuals, 100% of profits distributed are taxed at 26% for non-qualified shareholders, and 40% is taxed at progressive IRPEF rates for qualified shareholders. For sole proprietorships and partnerships, 40% of distributions are taxed at progressive IRPEF rates. For corporations, 5% of distributions contribute to taxable income with profits earned before December 31, 2007 taxed at the applicable IRES rate and profits earned after taxed at the regional tax on productive activities rate.