- The 2026 Budget Law (L. 199/2025) changed the VAT taxable base for barter and payment-in-kind transactions from the normal value of goods/services to the total attributable costs.
- This change aligns Italian law with EU Directive 2006/112/EC and related European Court of Justice interpretations.
- Each transaction in a barter is treated as independent for VAT purposes, with its own taxable base calculated on total costs, not contract value or normal value.
- The new definition of costs is broad, including all direct and indirect costs related to the goods or services, making calculation more complex, especially for self-produced goods and intellectual services.
- The approach is confirmed by both Italian legal commentary and EU VAT Committee working papers.
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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