Since the Italian VAT law has existed, the natural moment for the provision of services is given by the payment of the consideration. This criterion is in contrast with the provisions of the VAT Directive, which instead uses the criterion of completion of the service. The Italian criterion causes many inconveniences, starting from the rules for deferred invoicing up to the cases of collection of the consideration after the cessation of activity or the assignment of the credit before payment by the customer. The Revenue Agency dealt with the latter case in its response to ruling no. 163 of 2021.
Source: ipsoa.it
