Summary
- On 4 August 2026, Italy’s Council of Ministers approved a legislative decree transposing article 2 of the ViDA Amending Directive (2025/516) on supplies made through platforms and electronic marketplaces.
- The omnibus tax corrective decree extends the deadline for exercising the right to deduct VAT, alongside fringe-benefit, loss carry-forward, dividend withholding and Global Minimum Tax changes.
- A separate law decree extended the reduced fuel excise-duty rate (17 cents, of which 3 cents is VAT) from 7 to 24/25 August 2026 and the road-transport tax credit for August fuel costs.
Extended article
Italy’s Council of Ministers approved several tax-relevant instruments on 4 August 2026. For indirect tax, the most notable is a draft legislative decree transposing article 2 of the Amending Directive to the VAT Directive (2025/516) – the VAT in the Digital Age (ViDA) package – concerning supplies made through platforms and electronic marketplaces. The omnibus tax corrective decree (the fourth corrective to the tax reform) additionally extends the deadline for exercising the right to deduct VAT, amends the fringe-benefit treatment of employer-provided cars, revises anti-abuse rules on loss carry-forwards, increases withholding tax on dividends paid to EU pension funds, and transposes the latest Global Minimum Tax agreements.
On fuel, a law decree further extends the reduced excise-duty rate on diesel from 7 August to 24 August 2026 (the government describes cover “until 25 August”), delivering a 17-cent-per-litre reduction achieved through a 14-cent excise cut and a further 3-cent VAT reduction, and extends the temporary tax credit for the road-transport sector to cover higher fuel costs incurred in August 2026. From 25 August, the variable (“mobile”) excise mechanism is due to apply again.
The Council also advanced the draft European Delegation Law 2026, a decree on regional and local taxes, and a decree on the tax judicial system. Additional detail will follow publication of the instruments in the Official Journal.
Sources: Governo Italiano – Council of Ministers press release No. 185; Il Sole 24 Ore – diesel excise cut to 25 August.
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