🇮🇹 VAT Changes for Non-EU Companies Operating in Italy (Effective May 2025)

Starting 1st May 2025, Italy has introduced stricter VAT registration requirements for all non-EU companies. These changes, announced in December 2024, aim to improve VAT compliance and reduce fraud.

If your business is based outside the EU and holds or applies for an Italian VAT number with VIES registration, these new rules directly affect you.

💶 hellotax Service Pricing

hellotax supports clients with these new requirements through an annual subscription service priced at €1,949.

• Subscription is annual only (no monthly plan).
• The only accepted options for the €50,000 compliance deposit are:
  • A bank guarantee, or
  • An insurance guarantee.

📌 Summary of the New Requirements

New VAT Registrations (with VIES)

If you are applying for an Italian VAT number and VIES registration as a non-EU company, you must:

• Appoint a qualified fiscal representative in Italy.
• Provide a €50,000 financial guarantee to the Italian tax authority via your representative.

Existing VAT Numbers (with VIES)

If your company is already VAT registered in Italy with VIES, you must within 60 days of 1st May 2025:

• Submit the €50,000 financial guarantee.
• Ensure your fiscal representative complies with updated Italian requirements.

⚖️ Your Options

1. Opt-Out of VIES Registration

• Keep your VAT number for domestic Italian transactions only.
• You will not be able to make cross-border EU sales from Italy.

2. Deregister from VAT in Italy

• If you no longer trade in Italy, you can fully deregister and cease VAT obligations.

3. Provide the €50,000 Guarantee

(Updated 3/6/25) You can provide the €50,000 guarantee:

• Only via Italian Government Bonds (cash or bank transfer is not accepted).
• Payment must be made via your fiscal representative by 13th June 2025.

If payment is not made:

• The Italian Revenue Agency will notify your tax representative (via PEC or registered mail).
• From receipt of this notice, you will have 60 more days to still provide the guarantee.

ℹ️ Deposits may be held by the Italian tax office for up to 7 years after deregistration, at their discretion.

4. Bank Guarantee (Option)

(Updated 3/6/25) You may be able to arrange a bank guarantee instead of a direct deposit, but this may require an Italian bank. hellotax is investigating this option and will update clients.

5. Insurance Guarantee

Some insurance providers offer a guarantee service for the €50,000 requirement.

• Fees are typically payable every 36 months.
• Eligibility conditions apply.
• hellotax may be able to assist you in arranging this option.

⏭️ Next Steps

• Review your trading position in Italy.
• Decide whether you will opt out, deregister, or provide the guarantee.
• Contact your hellotax account manager as soon as possible to discuss your options and stay compliant.

✅ By acting quickly, you can avoid penalties or the risk of losing your VAT number in Italy.