- The Italian Revenue Agency provided further clarifications on VAT rules for personnel cost reimbursement in co-employment situations.
- A recent response to a query examined the relationship between co-employment and employee secondment, with changes effective from January 1, 2025.
- Employee secondment is lawful when an employer temporarily assigns workers to another party for specific tasks.
- In network contracts, the interest of the assigning party is automatically established, allowing for co-employment of employees.
- The company argues that VAT does not apply to the reimbursement of employee costs in co-employment within a network.
- The Revenue Agency notes the lack of a legal definition for co-employment, which has been addressed by case law.
- A distinction is made between typical co-employment in network contracts and atypical co-employment outside of them.
- The special provision allows co-employment in business networks under specific conditions, differing from corporate groups.
Source: eutekne.info
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.
