Ruling no. 115/2025
- Failure to Register Invoices: The applicant sought clarification on whether they could register purchase invoices received in 2023 after the April 2024 deadline for VAT returns, despite not exercising the right to deduct the VAT. The Revenue Agency ruled that the applicant must waive the right to deduct the tax due to the lack of discernible error, highlighting the importance of timely registration.
- Supplementary Returns and VAT Deductions: The Revenue Agency confirmed that taxpayers could use supplementary returns to extend the deadlines for exercising VAT deductions, provided invoices are registered promptly. However, the ruling emphasized the necessity of timely registration for maintaining the right to deduct, which may conflict with existing EU and Italian jurisprudence that treats registration as a formal obligation not affecting the right to deduct.
- Severe Penalties for Late Registration: The ruling indicated that penalties under Italian law for failing to register purchase invoices on time could be severe, regardless of whether the taxpayer subsequently utilizes the VAT credit. This raises concerns about the proportional application of penalties if the taxpayer registers invoices late but later offsets the VAT due or claims refunds.
Source PwC
