Highlights
- Year-end TP adjustments may not be relevant for VAT purposes
- 5% VAT rate on gas also for the second quarter of 2022
- Italy Publishes English-Language Annual VAT Form
- Quarterly VAT refund also in the OSS VAT regime
- July 2022: Italy – Mandatory E-invoicing with San Marino for the supply of goods and other E-Invoicing/E-Archiving developments
2022 Budget
- 2022 Budget Law – New provisions in the VAT, excise and consumption tax field
- Circular No. 3/2022 to address tax measures from the 2022 Budget
- Review of VAT measures in 2022 budget law
- VAT measures for 2022, converted into law
- 2022 Budget: Plastic tax delayed, VAT rate on feminine hygiene products is reduced from 22% to 10%
Accounting/Archiving
Bad debts
- Circular about recovery of VAT on uncollected receivables in insolvency proceedings
- Circular on the conditions for bad debt relief
- Prompt recovery of VAT on outstanding receivables towards customers subject to insolvency proceedings
Chargeable event
- Clarification 859/2021: VAT advance payment by VAT group
- Ruling 859/2021: Correct determination of VAT advance payment within the scope of the VAT group
Customs
- Covid-19: Circular issued by customs authorities on VAT and Customs Duties relief for importation of medical equipment
- Medical Device Coordination Group published a new document on the obligations applicable to importers and distributors
DAC6
- Transfer Pricing Adjustments and Their Impact on VAT and DAC6
- Transposition of DAC6 Directive – cross-border mechanisms subject reporting obligation
ECJ
- Flashback on ECJ Cases – C-132/06 (Commission v Italy) – Validity of VAT amnesty
- Flashback on ECJ Cases – C-18/05 & C-155/05 (Villa Maria Beatrice Hospital) – Supplies of goods that were used exclusively for exempt activity and for which no right of…
- Flashback on ECJ Cases – C-378/15 (Mercedes Benz Italy) – Mixed-use revenue-based pro rata does not violate EU law
- Flashback on ECJ Cases – C-546/14 (Degano Trasporti) – Partial payment of VAT debts is not contrary to the obligation on Members States to ensure…
E-Commerce
- OSS & IOSS: Answers to the most frequently asked questions
- Quarterly VAT refund also in the OSS VAT regime
E-Invoicing
- Electronic invoice also for flat-rate operators
- Five key questions about e-Invoicing in Italy
- Italy updates VAT electronic invoicing requirements
- Italy’s updated e-invoicing archiving requirement
- SDI Italy: All about the 2022 cross-border e-invoicing mandate
Exemption
- Changes to the exemption for some international (transport) services
- Clarification 8/2022: VAT exemption for non-usage securities and valuables custody service
- Clarification 842/2021: VAT treatment of services provided in outsourcing for the realization of banking and financial operations
- Italy: Goods and Services supplied to combat COVID-19
- Live virtual tours in museums VAT exempted
- Restrictions to the VAT exemption for the international transport of goods as from 1 January 2022
- Tax Authorities Clarify VAT Exemption of Library Services
- The reform of the VAT exemption for commercial activities by non-profit associations
- The scope of VAT exemption for the international transport of goods has been restricted
- Transactions treated as exports: vessels used for high sea navigation
- Treasury services provided to a Municipality by a bank are exempt for VAT purposes
- VAT exemption also for derivative contracts
- VAT exemption also for marquees to carry out swabs
Flat rate scheme
Invoicing
- Bankruptcy before 2021: credit notes only after the unsuccessful conclusion of the procedure
- Fiscalization in Italy
- Ruling 762/2021: Clarification on the procedure to correct invoices
Liability to pay VAT
- Clarification 845/2021: Application of the reverse charge mechanism in relations between consortium members and consortium
- Import into Italy by a person not resident in the European Union
- Italy Sets Legal (Statutory) Interest Rate for 2022
- Reverse charge also for purchases of IT products not aimed at resale
- Reverse charge regime for tablet PCs and laptops – Clarifications
- Tax Authorities Confirm Application of Reverse Charge Mechanism to Supplies of Game Consoles, Tablet PCs and Laptops
- The “reverse charge” mechanism applicable to the sale of electronic products – recent clarifications from the Italian tax authorities
Other
- Bank of Italy: increase in digital payments supports VAT revenue
- Italian annual VAT prepayment
- The novelties of the VAT 2022 model
- VAT evasion, Guerra pushes on the use of big data: “Yes to profiling thanks to information integration”
Quick Fixes
Rate
- 5% VAT rate on gas also for the second quarter of 2022
- Clarification 35/2022: VAT rate for boxes containing ingredients for the preparation of meals – art. 16 DPR n. 633 of 1972
- Clarification 850/2021: Online subscription databases – reduced VAT rate of 4 percent
- Clarification 858/2021: Recovery of VAT paid following a change in the tax rate
- Italy cuts domestic gas to 5% for start of 2022
- Reduced VAT for vehicles adapted to the disabled: change the documentation to be presented
- Ruling 51/2022: Surgical glue – medical device – Ordinary VAT rate
- Standard VAT rate for in vitro diagnostic tests for narcotic drugs and psychotropic substances, and not aimed at combating Covid-19
- Standard VAT rate for surgical glue
- Supply of kits for the preparation of meals: which VAT rate applies
- Urgent Measures to Support Businesses in Relation to the COVID-19 Pandemic and Increased Energy Prices
- VAT rate applicable to the supply of food boxes with different ingredients
Real Estate
Refund
Reporting
- Italy approves the Annual VAT Return Form (Modello IVA) for 2022
- 2022 VAT return, draft model approved: deadline, instructions and news
- Annual VAT return for 2021 released
- Annual VAT return in English
- Approval of the technical specifications for the electronic transmission of the data contained in the 2022 annual VAT return relating to the year 2021
- Approval of the VAT/2022 return forms concerning the year 2021, with the relevant instructions
- Draft annual VAT return for fiscal year 2021
- Italy Approves Annual VAT Return 2022
- Italy Publishes English-Language Annual VAT Form
- New EC listing/INTRASTAT reporting requirements in Italy starting from Jan 1, 2022
- Real-time reporting models compared (Brazil, Hungary, Italy)
Right to deduct VAT
- Clarification on the Deduction of VAT Paid on Imported Goods
- Deduction and refund of VAT for expenses on property owned by third parties
- Tax Authorities Clarify Deduction of VAT Paid on Imported Goods
Tax authorities/Governance
Taxable amount
- Resolution no. 79/E/2021 – Taxable amount for VAT purposes of purchase of NPLs
- Sale of impaired receivables – VAT taxable base – Art. 13 of Presidential Decree
Taxable person
- Ruling 757/2021: Effective date inclusion of newly established companies in the VAT Group
- Ruling 800/2021: Use of the VAT number attributed to the permanent establishment following the nationalization of the foreign company
- Ruling 837/2021: Group VAT settlement – Requirement of control
- Seamless group VAT settlement even in the event of a company split
- The number of VAT numbers in Italy is at an all – time low
Taxable transactions
- Access to virtual tours – VAT treatment
- Business Restructuring—VAT Treatment of Transfer of a Going Concern
- Clarification 15/2022: Transfer of a swimming sports facility to the municipalities
- Italian Tax Authorities provide clarifications on VAT treatment of derivatives
- Italian Tax Authority Confirms Transfer Pricing Adjustments Not Subject to VAT
- Italy’s new clarifications concerning VAT treatment of transfer pricing adjustments
- Recharge of the electronic purse for the purchase of goods not yet defined is not relevant for VAT purposes
- Ruling 701/2021 on VAT Treatment of Publishing Fees
- The transfer of a swimming pool to shareholders can be classified as a transfer of a going concern
- TP adjustments: what treatment for VAT purposes?
- VAT regime applicable to the assignment of non-performing loans
- VAT regime of the chargeback of costs in execution of a decision of the Antitrust Authority
- VAT territoriality – complex service
- VAT treatment of distance learning courses
- VAT treatment of monetary differentials
- Year-end TP adjustments may not be relevant for VAT purposes
See also 5 Major VAT Developments in Italy (Dec 2021)
