- Stricter Compliance Measures: Italy has implemented new requirements for fiscal representatives of foreign entities, mandating a declaration of honorability and a monetary guarantee to combat VAT fraud and enhance tax compliance for non-EU businesses engaging in intra-EU transactions.
- Financial Guarantee Specifications: Non-EU entities must provide a financial guarantee, which can be in the form of government-backed securities or a surety bond/bank guarantee, as a condition for inclusion in the VAT Information Exchange System (VIES) database. The guarantee must cover a minimum period of 48 months.
- Implementation Timeline: The new regulations, introduced via a decree on December 9, 2024, will require fiscal representatives to submit their self-declarations and guarantees within 60 days following the issuance of a detailed operational regulation by the Revenue Agency, which is expected within 120 days. Non-compliance will lead to the automatic cessation of VAT numbers for the represented entities.
Source Marosa
