Saturday, 21 January 2023 10:56

VAT in Italy - what do you need to know?

vat number in Italy vat number in Italy mat. prasowe

The standard rate of VAT number in Italy is 22% and covers all products and services, which are not covered by the reduced rates of 10%, 5% and 4% and the zero rate. Taxpayers with an annual turnover of more than €700,000 must pay the VAT due on this amount every month. Businesses with turnover below this amount may opt to pay quarterly, although they must then pay a 1% non-refundable surcharge.

VAT rates in Italy

Value Added Tax (VAT), locally known as Imposta sul Valore Aggiunto (IVA), was introduced in 1972. The directives of the European Union in Italy (as one of the founding countries), have been integrated with the Spanish VAT legislation.

Italian Vat number legislation is the most important factor affecting the conduct of business in Italy. This also applies to the supply of goods or services. This is covered by the compulsory registration of a business as a VAT payer. Belonging to the Italian system also means that you have to comply with all VAT regulations and be regular in filing the relevant VAT returns.

Should you register for Italian VAT?

Foreign companies that are not Italian tax residents and that supply goods (to a lesser extent services) may face the requirement to register with the Italian tax authorities as a domestic taxpayer. Here are the standard situations requiring such steps:

  • importation of goods into Italy (whereas if the customer has previously registered as an Italian VAT payer - the supplier may not charge local VAT),

  • the purchase and sale of goods in Italy - when the supplier and the customer are not Italian companies previously registered for VAT (reverse charge principle),

  • the supply or acceptance of intra-community supplies or the receipt of goods (understood as acquisition) from other EU countries,

  • sale of goods to individual consumers via the Internet (subject to Italian distance selling registration threshold),

  • consignment of goods in Italian warehouses for delivery taking place in Italy (or in other EU countries),

  • charging admission fees (at the entrance) to events, exhibitions or conferences held live,

  • online transactions in the course of e-commerce with Italian consumers.

  • Empowering Recovery - The Importance of Women-Specific Treatment Programs in Substance Abuse
    Empowering Recovery - The Importance of Women-Specific Treatment Programs in Substance Abuse Substance abuse is a pervasive issue, yet the journey to recovery is profoundly different for women. This disparity has given rise to women-specific treatment programs in substance recovery, acknowledging the unique challenges women face and providing a tailored support system to navigate their path to recovery.
    in Health
  • Revolutionizing your online shopping experience with the 3D Product Configurator: visualizing your ideal products
    Revolutionizing your online shopping experience with the 3D Product Configurator: visualizing your ideal products In the ever-evolving landscape of online retail, the emergence of the "3D Product Configurator" is reshaping the way consumers engage with and visualize products. Let's explore how this revolutionary tool is elevating the online shopping experience, allowing users to bring their vision to life in the virtual realm.
    in Technology
  • 3 Common Materials for Constructing Temporary Structures: Their Advantages and Disadvantages
    3 Common Materials for Constructing Temporary Structures: Their Advantages and Disadvantages Temporary structures are adaptable buildings that give varied firms in every sphere of the economy an immediate and mid-term answer. They improve safety, offer shelter, and provide ample space for tools and personnel in the construction sector. They enhance the audience’s experience in the event and entertainment business by providing efficient tents, stages, and grandstands for hosting a variety of events. Additionally, they offer immediate infrastructure and shelter, supporting rescue and recovery efforts during emergencies and natural catastrophes.
    in Technology
  • The Bard PowerPort Lawsuit: Key Facts and Implications
    The Bard PowerPort Lawsuit: Key Facts and Implications Among medical device litigations, the spotlight has turned to the Bard PowerPort, a product designed to facilitate medical treatments and enhance patient care. Engineered by Bard, this seemingly innocuous device has become the center of legal proceedings in recent years.
    in Lifestyle tips
  • Natural Elegance Illuminated: Discovering an Eco-Conscious Haven of Home Candles
    Natural Elegance Illuminated: Discovering an Eco-Conscious Haven of Home Candles In a world that increasingly values sustainable living, "9 Rituals" emerges as a haven for those seeking the perfect blend of nature's charm and eco-friendliness. Nestled in a serene corner of the city, this boutique store offers an exquisite collection of natural, environmentally friendly home candles, each carefully curated to infuse living spaces with a sense of tranquility and refinement.
    in Home
  • The Perfect Blend: Real Estate and Skiing – Discover Chalets for Sale
    The Perfect Blend: Real Estate and Skiing – Discover Chalets for Sale If you're an avid skier or simply looking to invest in a picturesque property, real estate in skiing destinations can offer a unique and fulfilling experience. Whether it's the thrill of the slopes or the serene mountain landscapes, ski chalets are an excellent investment option. In this post, we will explore the allure of ski properties, focusing on chalets for sale, and how they can provide an unforgettable lifestyle and investment opportunity.
    in Travel
  • Is Circumcision More or Less Common?
    Is Circumcision More or Less Common? Circumcision is a surgical way to remove a foreskin that covers the head of the penis in male children. This is a religious and cultural practice in many parts of the world. However, many people also go through this due to several health or medical benefits. 
    in Health
  • Swiss fiduciary - Formation and administration of companies
    Swiss fiduciary - Formation and administration of companies Switzerland is a well-known hub for international business and commerce and is a popular choice for entrepreneurs looking to start a business. The business environment is hospitable to both local and international investors. One reason is the country's stable economic and political environment, which provides a favorable business climate for companies of all sizes. 
    in Business
  • 5 Benefits of Using Booking Portals for Your Hospitality Business
    5 Benefits of Using Booking Portals for Your Hospitality Business When it comes to hospitality, booking portals are an invaluable asset for increasing sales and optimizing operations. These websites provide various services like booking rooms or selling extras. Furthermore, they enable you to stay in touch with guests by asking them about their experience and receiving valuable feedback about it.
    in Business
  • Home office: how to integrate a desk in the bedroom
    Home office: how to integrate a desk in the bedroom The home office has become a reality for many people. To be able to work productively, you need a suitable workplace. But what if you don't have a separate study available? This is a problem that many home office workers face. A good solution in this case can be to integrate the desk in the bedroom. There, one usually has peace and quiet and is undisturbed. Here's how best to do that.
    in Business