2024 Guide – VAT in Italy

Appoint a fiscal representative in Italyand make sure to be 100% VAT compliant

VAT in Italy

Whether you’re a European or non-European company, establishing certain activities in Italy may mean you need to register for VAT. You can use a fiscal representative or tax advisor to draw up your VAT, Intrastat and ESL returns with total peace of mind in Italy.

If you deal with companies in Italy, you may be able to claim a Italian VAT refund.

In this VAT guide, we have brought together the specific features of the Italian regulations, which interact with the harmonized framework within the European Union.presented in our guide to intra-Community VAT obligations.

With EASYTAX, be 100% VAT compliant, always.

Basic information

EU membership 1957
ISO code IT
VAT introduced in Italy 1973
VAT name in Italy Imposta sul valore aggiunto (IVA)
VAT ID format in Italy IT99999999999
Territories with special status in Italy Livigno, Campione d’Italia, Lugano,

VAT rates in Italy

Standard VAT rate 22 %
Reduced VAT rate (1) 10 %
Reduced VAT rate (2) 5 %
Super reduced VAT rate 4 %
VAT parking rate n/a
Zero VAT rate yes

Thresholds triggering VAT reporting obligations in Italy

Intrastat threshold at introduction EUR 350,000
Intrastat threshold on dispatch 0 EUR
Distance selling threshold As of 1st July 2021, the threshold is EUR 10,000 for all intra-Community distance sales.

Reporting frequency in Italy

Intrastat return Quarterly depending on threshold
EC Sales List (ESL) return monthly according to threshold/conditions, quarterly depending on threshold/conditions
VAT returns quarterly , annually
Reporting currency EUR

VAT-related penalties in Italy

Failure to file a VAT return A fine between 250 and 2000 euros. In case of delay in filing the annual return, 120% to 240% of the due VAT with a minimum of 250 euros.
Late payment of VAT Penalties are between 0.1% and 3.75% per day of delay.
Failure to report ESL/DEB A fine of 250 to 2000 euros per ESL declaration.

Useful links on VAT in Italy

Tax Administration in Italy Tax authorities
Ministry of Finance in Italy Ministry of Finance
Check a VAT number in Italy Check a VAT number
EU VAT Guide EU VAT Guide
Need VAT assistance in Italy? Contact us now.

Appointing a tax representative or agent is sometimes an obligation, always a convenience.

A foreign company carrying out transactions in Italy subject to Italian VAT, may be required to appoint a tax representative. Established in Italy, the fiscal representative will fulfill the company’s VAT obligations to the Italian tax authorities on its behalf: filing VAT returns, paying VAT, claiming VAT refunds and carrying out tax audits.

Even when the appointment of a tax representative is not mandatory, a company may entrust the management of its VAT obligations to a tax agent. The difference between an agent and a tax representative essentially concerns the operator’s degree of responsibility. At EASYTAX, we will in any case use the term “tax representation”.

Why entrust your VAT obligations in Italy to a tax representative?

To secure your operations, lighten your company’s administrative burden, and control tax risks in Italy.
Intra-Community and Italian VAT regulations are complex and subject to frequent changes. Declaratory obligations are recurrent and vary in frequency. Penalties for default or delay, as well as errors in flow assessment, can quickly prove financially onerous.

Don’t take risks, don’t pull your hair out: leave the management of your VAT obligations to specialists.

For VAT compliance in Italy, choose EASYTAX

Discover a simple, reliable and efficient tax representation service. EASYTAX handles all your VAT obligations, Intrastat, ESL, and your VAT recovery claims in Italy, in all European Union countries and certain non-EU countries. You have access to a dedicated consultant, who monitors your file and answers any questions you may have.

Need a tax representative in Italy? Contact us now.

Italy is one of the 7 founding countries of the European Union.

Italy is the 3rd largest economy in Europe and the 11th largest in the world. It is an industrial country with a diversified economy, based on a large number of small and medium-sized companies in all sectors of activity. Italy’s trade balance is positive, and Italy is firmly established in the top three of the world’s largest exporters of machine tools.

VAT came into force in Italy in 1973. The Italian VAT regulations are based on Community directives and on Presidential Decree No. 633/DR of 26th October 1972.

When a taxable person who is not resident and registered for VAT in another Member State sells goods or supplies services subject to VAT in Italy, or carries out distance selling on Italian territory (subject to thresholds) they must register to pay VAT in Italy. It is worth seeking the assistance of a fiscal representative for any of these operations.

The VAT rates currently in force in Italy are as follows:

  • Standard VAT rate: 22 %
  • Reduced VAT rate (1): 10 %
  • Reduced VAT rate (2): 5 %
  • Super reduced VAT rate: 4 %
  • VAT parking rate: n/a
  • Zero VAT rate yes

Need a tax representative in Italy? Contact us now.

Do you need a VAT fiscal representative in Italy? Certain operations may require VAT registration and the filing of VAT returns in Italy:

To check whether your activities give rise to VAT obligations in Italy, use our VAT simulator .

Need a VAT tax representative in Italy? Contact us now.

When do e-sellers need to register for a VAT number in Italy?

In Italy , as in other European Union countries, e-sellers must register for VAT:

  • when the overall threshold for intra-Community distance selling of 10,000 euros is exceeded, and they have not opted to pay VAT in Italy via the One Stop Shop.
  • or when they hold a stock of goods in Italy and must report the stock supply transactions.

What are the VAT obligations for e-traders in Italy ?

In addition to VAT registration, e-traders must:

  • Apply the defined VAT rates in Italy: standard rate (22 %), reduced rates 1 and 2 (10 % and 5 %).
  • Declare stock transfers between marketplaces‘ storage platforms, as well as the supply translactions for these stocks.
  • File periodic returns (VAT returns, intrastat, ESL), to ensure their VAT compliance in Italy.

Find out more:

Need a VAT tax representative in Italy? Contact us now.

Why identify yourself to VAT in Italy?

You may need a VAT number in Italy to fulfil your tax obligations in this country. Indeed, certain activities such as sales, purchases and subcontracting operations may require VAT identification.

Italian VAT is named Imposta sul valore aggiunto (IVA)and the VAT numbers in Italy have the following structure: IT99999999999.

How do I get a VAT number in Italy?

The administrations in charge of VAT in Italy are the following: Tax authorities, Ministry of Finance.

VAT identification is a relatively simpler formality than setting up a company, but beyond obtaining a VAT number in Italy, you’ll need to complete and submit periodic declarations to ensure your VAT compliance. Which is why we recommend foreign companies use a fiscal representative or tax advisor.

To check if your activities require VAT identification in Italy, use our VAT simulator or contact us.

Companies with a VAT number in Italymust complete and file dVAT decl arations in Italy detailing all taxable income (sales) and expenses (costs), at regular intervals:quarterly , annually.

Failure to comply with the deadlines imposed by the Italian authorities for the deposit and payment of VAT will result in the payment of penalties . For this reason, it is recommended that foreign companies use the services of an agent or a tax representative.

These penalties are defined as follows in Italy:

  • Penalties for failure to file a VAT return in Italy: A fine between 250 and 2000 euros. In case of delay in filing the annual return, 120% to 240% of the due VAT with a minimum of 250 euros.
  • Penalties for late payment of VAT in Italy: Penalties are between 0.1% and 3.75% per day of delay.

Need VAT assistance in Italy? Contact us now.

In addition to VAT returns, companies may be required to provide the Italian authorities with Intrastat & EC Sales List returns:

  • Intrastat returns enable the Italian authorities to compile foreign trade statistics.
    Companies must file these Intrastat returns as soon their turnover reaches the threshold.
    Intrastat threshold at introduction in Italy (EUR 350,000 excl.VAT per annum)
    – Intrastat threshold on dispatch in Italy (0 EUR excl.VAT per annum).
    Failure to comply with the deadlines imposed by the Italian authorities for the filing of these Intrastat returns wil incur a penalty payment for the company.
  • The sales summary returns (EC Sales List or ESL) or purchases (EC Purchases List or EPL) in Italy are for tax purposes.
    Failure to comply with the deadlines imposed by the Italian authorities for the filing of these ESL returns wil incur a penalty payment for the company.

Our tax representation services enable you to fulfill all your VAT obligations in all countries of the European Union and beyond. Contact us today.

In principle, a non-resident company in Italy can recover all or part of the VAT incurred on its expenses.

There are three possible scenarios:

  • The company is established within the European Union or not, is already registered for VAT in Italy, or is obliged to register for VAT in Italy. In this case, it must apply for a VAT refund via the periodic VAT return filed in Italy, according to a periodicity: quarterly , annually.
  • The company is established within the European Union, is not registered for VAT in Italy and is not required to do so. In this case, a VAT refund should be requested via the electronic portal of the tax authorities in the country where the company is established.
  • The company is not established within the European Union and is not required to register for VAT in Italy. In this case, they must use the services of a fiscal representative to carry out what is required by the Italian authorities on their behalf.
    > Learn more about our VAT recovery services.

Rely on our VAT recovery services in Europe. Contact us today.


*This information is subject to change without notice.

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