- A recent ruling by the Italian Supreme Court states that VAT is deductible for properties registered as residential but used for professional or business activities. This decision contradicts the usual practice of the Italian tax authorities. The court ruled that VAT related to a garage, part of a property used for professional activities, is deductible even if the property is registered as residential. The tax authorities argued that VAT should be non-deductible based on specific legal provisions, but the court found this argument unfounded.
Source: commercialistatelematico.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
Latest Posts in "Italy"
- CPB: Early Exemption from Compliance Visa for VAT Credit Offsetting up to 70,000 Euros
- 10% VAT Applies to Musical Entertainment Accessory to Restaurant Services, Rules Italian Supreme Court
- Deductibility of Non-Deductible Pro Rata VAT: Cash or Accrual Basis for Businesses?
- Expense Recharging Between Unassociated Professionals: VAT Rules and Invoicing Obligations Explained
- EU VAT Showdown: Is User Data a Taxable Payment for Free Digital Services?
