Italy is one of the largest e-commerce markets in Europe. If you sell online to Italian consumers, you need to understand your VAT obligations. Whether you sell through your own store or via Amazon, eBay, or Cdiscount, you must know when to register, how often to file, and what recent legislative changes impact your business. Here we answer the 10 most common questions about VAT in Italy with clear and updated guidance for 2025.

Legal Representative and Financial Guarantee Changes

What Changed?
From April-June 2025, Italy introduced new obligations for non-EU/EEA companies selling via a fiscal representative in Italy, especially those wanting to be listed in the VIES system (used to validate VAT numbers for intra-EU transactions). Key changes include:

• The fiscal representative must meet honorability criteria, meaning no convictions or ongoing legal proceedings for financial crimes, and clean tax/contribution history.

• A formal eligibility declaration must be submitted to the Italian Revenue Agency.

• A financial guarantee of at least €50,000 is required for non-EU companies to maintain their VIES registration, valid for a minimum of 36 months.

• Existing fiscal representatives had deadlines in May-June 2025 to comply.

• The guarantee can be in forms such as government bonds, bank guarantees, or insurance surety bonds.

Effective Date

• The legal basis was set in late 2024 through ministerial decrees and updated VAT regulations.

• The enforcement deadline for non-EU entities to submit the guarantee if already registered in VIES was around 13 June 2025.

• The operational requirement for new fiscal representatives began on 17 April 2025 with respect to eligibility and guarantee provision.

Why It Matters

• If you fail to provide the guarantee, your VIES registration may be revoked, which blocks verification of your VAT number for cross-border (intra-EU) transactions.

• Non-compliance could lead to removal of VAT registration.

• The changes apply to both new non-EU sellers and those already using a fiscal representative in Italy.

What to Do If You’re Affected

• Check that your fiscal representative meets the new honorability requirements.

• Arrange the financial guarantee in one of the allowed formats, valid for at least 36 months.

• Ensure your VAT registration is properly maintained, especially in VIES if you sell across EU borders.

• Gather and submit the required documents (eligibility declaration, guarantee) before the deadlines.

FAQ

1. What is the VAT rate in Italy?
   👉 The standard rate is 22%, with reduced rates of 10%, 5%, and a super-reduced 4% for certain goods.
   Update: Rates valid in 2025.

2. When must I register for VAT in Italy if I sell from another EU country?
   👉 If you store goods in Italy (e.g., Amazon FBA), you must register. If you don’t, the €10,000 EU-wide threshold applies: above it, you must apply destination VAT or declare via OSS.
   Update: The €10,000 threshold has applied since 1 July 2021.

3. Can I use OSS instead of registering in Italy?
   👉 Yes, if you only carry out B2C distance sales without storing goods in Italy. If you hold stock in the country, a local VAT registration is required in addition to OSS.
   Update: OSS has been available since 1 July 2021.

4. Does Amazon FBA require me to register for VAT in Italy?
   👉 Yes. Storing goods in Italy through FBA programs creates a VAT registration and filing obligation in Italy.

5. How often do I file VAT returns in Italy?
   👉 Usually quarterly, but large businesses must file monthly VAT returns.

6. Do I need to file nil VAT returns?
   👉 Yes, as long as your VAT number is active, returns are required even with no sales.

7. What are the penalties for non-compliance in Italy?
   👉 Penalties include fines proportional to undeclared VAT, late payment surcharges, and in severe cases, suspension of marketplace accounts.

8. How long does VAT registration take in Italy?
   👉 Typically 4 to 8 weeks, depending on the tax office and completeness of documentation.

9. What documents are required for Italian VAT registration?
   👉 Company incorporation documents, EU VAT ID, legal representative details, and warehouse information if using FBA in Italy.

10. Can I combine OSS with Italian VAT registration?
    👉 Yes. OSS applies to EU-wide distance sales, while your Italian VAT number covers local operations with stock in Italy.