- Italy’s Ministry of Economy and Finance issued two decrees on 4 December and 9 December 2024 introducing stricter requirements for nonresident entities using an Italian VAT representative
- New regulations from these decrees are expected soon and must be complied with within 60 days of their release
- Requirements include Italian VAT representatives meeting specific ethics criteria such as no criminal convictions or significant tax violations and submitting a self-declaration to the tax office
- VAT representatives must also provide a financial guarantee for a minimum of 48 months, with the amount varying based on the number of foreign entities represented
- Non-EU entities performing intra-EU transactions must submit a EUR 50,000 guarantee for VAT Information Exchange System registration, valid for at least 36 months
- Non-compliance with these rules will lead to the automatic closure of VAT numbers or cancellation of VIES registration, with a 60-day grace period provided to rectify issues
Source: taxathand.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.
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