What’s Changing?
Italy has introduced new rules impacting nonresident businesses and their fiscal representatives for VAT compliance. These changes are part of Legislative Decree No. 13/2024, aimed at preventing VAT fraud.
Key Points for Tax Representatives in Italy
Who Is Affected?
Italian entities acting as tax representatives for EU/EEA or non-EU businesses.
New Eligibility Criteria
- No criminal or serious tax offenses
- No legal disqualification under Italian law
Declaration Requirements
A sworn affidavit must be submitted to the Italian Revenue Agency affirming eligibility.
Mandatory Financial Guarantee
Fiscal representatives must provide a financial guarantee based on the number of clients represented:
| Number of Clients | Minimum Guarantee |
|---|---|
| 2–9 | €30,000 |
| 10–50 | €100,000 |
| 51–100 | €300,000 |
| 101–1,000 | €1,000,000 |
| Over 1,000 | €2,000,000 |
New Rules for Nonresident Businesses with VAT Representatives
Nonresident EU/EEA businesses must provide a financial guarantee of at least €50,000 to be VIES-registered in Italy. The guarantee must be valid for 36 months.
Existing VIES-registered businesses must comply within 60 days after the Revenue Agency issues its guidelines.
Compliance Deadlines
| Affected Party | Action Required | Deadline |
|---|---|---|
| Fiscal Representative | Certify eligibility & provide guarantee | 60 days after provision |
| Nonresident Entity (EU/EEA) | Submit €50k+ guarantee | 60 days after provision |
Why These Changes Matter
Failure to comply with these rules may result in loss of VAT numbers and removal from VIES, significantly impacting EU trade operations.
