Italy
VAT Name :
Imposta sur Valore Aggiunto (IVA)
VAT Number Format :
12345678901 (11 digits)
VAT Information Offices :
Ministero dell’Economia e delle Finanze – Call Centre only (+39) 848 800 444
RATES
| Rate | Type | Which goods or services |
|---|---|---|
| 22% | Standard | All other taxable goods and services |
| 10% | Reduced | Admission to sports events and cultural services; Some passenger transport; Pharmaceutical supplies; Water supplies |
| 5% | Reduced | Some social services |
| 4% | Reduced | Certain foodstuffs; Certain medical equipment for disabled persons; Certain books; Newspapers and periodicals; E books |
| 0% | Zero | Medical and dental care; Certain social services; Certain services of writers and composers; Passenger transport |
EXEMPTIONS
- Leasing and letting of immovable property
- Letting of residential property (excluding short term letting) (letting of certain private dwellings is excluded)
- Letting of commercial property (subject to conditions)
- Financial services
- Supply of land
- Option to tax can apply in certain cases to leasing and letting of immovable property, and supply of buildings and land
THRESHOLDS
Registration Threshold : varies between EUR 25.000 and EUR 50.000 depending on type of activity
Distance Selling Threshold : EUR 35.000
Dispatches : < EUR 50.000 (quarterly submissions) or > EUR 50.000 (monthly submissions)
Arrivals : EUR 200.000 (monthly submissions)
Intra-Community Acquisition Threshold : EUR 10.000
VAT Free Shopping for Tourists : EUR 154,94
Non-Resident : Non-resident businesses without a fixed establishment must register for VAT (nil threshold)
PENALTIES
Late Filing : If submitted within 90 days after the deadline, EUR 25 fixed fine; after 90 day, EUR 285 min penalty and between 120%-240% of the VAT due
Late Payment : General penalty 30% subject to reductions for prompt payment or before due deadline day for annual return. Interest will apply.
Other :
– Late filing and late payment penalties are added together when a VAT return is not submitted nor paid to the tax office.
– Penalties may apply in cases of tax fraud, evasion, etc.
DEADLINES
Assessment Period : 6 years (can be extended to 10 years for tax prosecution cases). Under specific circumstances, the assessment period can be extended.
Standard Tax Period : Monthly and quarterly VAT calculations
Service providers whose annual turnover is < EUR 400.000 and other taxable persons whose annual revenues are < EUR 700.000, use quarterly calculations.
ESL and Intrastat mostly monthly when intra-EU trade exceeds EUR 50.000 in current or previous 4 quarters. Some quarterly filing.
– both 25th working day following the reporting period.