Italian VAT registration
What are the Italian VAT registration thresholds?
As with most EU countries, there is no Italian VAT registration threshold for non-resident traders. A VAT registration, if required, is due prior to the provision of any supplies. It is important to follow this requirement as the recovery of back-dated input VAT is difficult in Italy. If the supplies are the sale of goods over the internet, then there is a distance sales VAT registration threshold of €35,000 per annum.
Is an Italian fiscal representative or agent required?
The Italian authorities require non-EU businesses to appoint a fiscal representative that is jointly liable for any VAT due. Most EU companies use a local VAT agent since the compliance and reporting requirements in Italy are cumbersome. For example, payments of VAT due can be complicated if not done in Italy.
What information is required to get an Italian VAT number and registration?
Companies requiring a valid Italian VAT registration
- VAT certificate
- Memorandum and Articles of Association.
- Latest audited company accounts
- Registration for intra-community supplies and VIES registration
- Industry classification form
- Declaration that the company does not have a permanent establishment in Italy
- Letter of Authority for the legal/tax representative of the company, plus signed passport photo
Where are Italian VAT registrations submitted?
To secure an Italian VAT number, foreign entities must submit their application to the local tax office of the company’s legal agent.
There will be fines for late registration if taxable supplies have already been provided, and potentially interest charges on any late VAT.
What is the format of an Italian VAT number?
Upon being granted an Italian registration, a VAT number will be issued. Italy, like all EU countries, has a standard format, as follows:
Italian Number Format
The initial seven numbers refers to the tax payer, and the following two digits identify the tax office. An Italian prefix, IT, is added for the purposes of recording intra-community supplies. Italian VAT numbers can be verified through the VIES system.
After obtaining an Italian VAT number, companies may provide taxable goods and services. They must follow all of the legal requirements for trading, Italian VAT Compliance, and submit regular monthly / quarterly and annual declarations, Italian VAT returns.
Need help with your Italian VAT compliance?
Researching Italian VAT legislation is the first step to understanding your VAT compliance needs. Avalara has a range of solutions that can help your business depending on where and how you trade.
Latest Italian news
February 16, 2019
Italy has proposed making marketplaces the deemed supplier and VAT principal on B2C sales below €150 by third party sellers. It will apply to consumer electronics, such as mobile phones, video games, tablets, games consols etc. It covers imports from non-EU, third countries.
February 15, 2019
Italy has postponed the deadlines for the last 2018 Spesometro and the first 2019 Esterometro to 30 April 2019.
January 25, 2019
The European Commission (EC) has proposed switching from unanimous to majority voting on EU VAT and other tax policies. The aim is to progress fiscal reforms which face immovable opposition from just a limited number of member states.
- Italian VAT registration
- Italian VAT returns
- Italian VAT rates and VAT compliance
- Italian VAT invoice requirements
- Italian VAT reverse charge
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- Italian VAT recovery
- Italian intrastat
- Italian EC sales lists (ESL)
- Italian Spesometro Declaration
- Italian Esterometro Declaration
- Italian SdI real-time e-invoices
- Czech Republic
- United Kingdom