- The foundry producing commissioned artworks based on models provided by artists cannot apply the 5% VAT rate for art object sales, as their activity is considered a service, not a sale of goods.
- The Italian Revenue Agency clarified this in response to a specific inquiry.
- The 5% VAT rate applies to sales of art objects, including limited edition sculptures, but not to services like those provided by the foundry.
- The foundry’s services are subject to the standard 22% VAT rate.
- Subsequent sales of the artworks by the client may qualify for the 5% VAT rate if they meet certain customs classification criteria.
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.
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