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Italy SDI e-invoice update

  • Nov 24, 2018 | Richard Asquith

Italy SDI e-invoice update

The Italian tax office has provided further guidance on the 1 January 2019 extension of the Sistema di Interscambio (SdI) e-invoice reporting to B2C and B2B transactions.  This new obligation will require all resident businesses to submit compliant e-invoices to the government’s SdI platform for automatic approval and forwarding onto customers.

The following clarifications were provided:

  • Resident businesses must submit to the SdI platofrm e-invoices for supplies to non-resident businesses. They will not need to include the ‘recipient code’, instead marking zero’s as for B2C invoices. The non-resident customer will be able to retrieve their approved PDF purchase invoices from the SdI platform, or the vendor can provide them. Although the latter would not guarantee a compliant purchase invoice for input VAT deduction.
  • The free government e-invoice storage facility will be effective for 15 years
  • Purchase e-invoices received after the month end, but dated in the prior month, may be deducted in the prior month up until 15th of the month received (the day before the prior month VAT return submission deadline)
  • There is no requirement to give e-invoices unique numbers aside from their regular VAT invoice numbers
  • For domestic reverse charge invoices with the N6 code, the purchaser will use the approved SdI invoice, but will also create a self-invoice. This may (but not mandatory) be submitted to SdI.
  • The Italian Data Protection Authority has raised EU General Data Protection Regulation concerns, and requested a delay in the SdI 2019 modifications.

Need a fiscal representative in Italy?

Non-EU businesses selling in Italy will need to appoint a fiscal representative alongside completing VAT registration and returns.
Fiscal representatives are responsible for the accurate VAT submissions of their non-EU clients.
Avalara offers a Fiscal Representative Service as part of its international VAT and GST Registration and Returns Service.

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. 

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VP Global Indirect Tax
Richard Asquith
VP Global Indirect Tax Richard Asquith
Richard Asquith is VP Global Indirect Tax at Avalara, helping businesses understand their compliance obligations as they grow globally. He is part of the European leadership team which won International Tax Review's 2020 Tax Technology Firm of the Year. Richard trained as an accountant with KPMG in the UK, and went on to work in Hungary, Russia and France with EY.