- VAT Suspension Regime: Italy’s VAT suspension regime allows importers to store goods in VAT warehouses without immediate VAT payment. Import VAT is treated similarly to customs duties, and companies can reclaim VAT on expenses related to their operations within this framework.
- Consignment and Call-Off Stock: The consignment stock regime facilitates the transfer of goods to another EU country without VAT until the customer withdraws the goods. Companies must ensure compliance with VAT registration requirements in the destination country and are responsible for maintaining proper documentation.
- Tax Compliance and Reporting: Italian businesses must adhere to strict invoicing and reporting rules under the VAT suspension regime, including issuing invoices without VAT for goods in call-off stock and submitting the required documentation to the tax authorities to avoid penalties for non-compliance.
Source Italy-advisor
