Italian VAT Registration for Foreign Businesses
A complete guide to Italian VAT registration for foreign companies — including direct identification, fiscal representation and the obligations that follow.
Direct ID (EU)
Allow up to ~3 months
VAT rate
22% standard
Non-EU
Fiscal rep. usually
E-invoicing (SDI)
Not for non-established
When a Foreign Company Must Register for VAT in Italy
A foreign company is required to register for Italian VAT when it carries out taxable transactions in Italy. This includes selling goods to Italian consumers, providing services with a place of supply in Italy, or storing inventory in the country.
The obligation applies regardless of whether the company has a physical presence in Italy. If taxable activity occurs in Italy, VAT registration is mandatory.
Selling Goods in Italy: When VAT Registration is Required
If a foreign company sells goods that are located in Italy at the time of sale — for example, goods stored in an Italian warehouse or fulfilment centre — it must register for Italian VAT. Distance selling thresholds under the EU One-Stop Shop (OSS) scheme may apply for B2C cross-border sales, but physical stock in Italy always triggers a local registration requirement.
Ecommerce and Amazon FBA Sellers in Italy
Amazon FBA sellers who store inventory in Italian fulfilment centres are required to register for Italian VAT. This applies to both EU and non-EU sellers. Companies that are not established in Italy are not required to issue electronic invoices through the Italian SDI system, but they must keep Italian VAT records and file Italian VAT returns.
It is important to distinguish between two scenarios: (1) EU sellers using the One-Stop Shop (OSS) scheme for B2C distance sales — OSS allows reporting all EU VAT through a single member state when annual cross-border B2C sales exceed €10,000. However, (2) if a seller (EU or non-EU) stores inventory in an Italian fulfilment centre such as Amazon FBA, OSS does not apply to those sales — a local Italian VAT number is mandatory regardless of turnover. These two situations require different compliance approaches and should not be confused.
Intra-EU Transactions and Italian VAT
Intra-Community acquisitions of goods in Italy require the acquiring company to hold an Italian VAT number and report the transaction via Intrastat declarations. Similarly, certain B2B services with a place of supply in Italy may require local VAT registration under the reverse charge mechanism.
B2B Services and Reverse Charge
Foreign companies providing B2B services to Italian VAT-registered businesses generally do not need to register for Italian VAT. Under Article 7-ter of DPR 633/72, the place of supply for B2B services is the customer's country, and the Italian recipient applies the reverse charge mechanism (inversione contabile). This means many foreign service providers can invoice Italian business clients without an Italian VAT number. A local registration may still be required for specific service categories (e.g. services related to immovable property, admission to events, restaurant and catering services).
Warehouse or Stock in Italy
Holding stock in an Italian warehouse and selling it from there makes the sales local Italian supplies: the company must register for Italian VAT, and those sales cannot be reported through OSS. Using a third-party logistics provider, with no staff of your own in Italy, does not in itself create a fixed establishment, but the arrangement should be reviewed, especially if Italian staff or premises are at your disposal or contracts are concluded in Italy.
Three Options for VAT Registration
Foreign companies can register for Italian VAT through one of three mechanisms. The available options depend on whether the company is established within the EU or outside it:
- EU-established companies may opt for direct VAT identification (identificazione diretta) without appointing a local representative.
- Non-EU companies generally appoint a fiscal representative (rappresentante fiscale) under Article 17(3) of DPR 633/72, unless they have a fixed establishment in Italy or can use direct identification under a mutual assistance arrangement.
- Opening an Italian branch is the appropriate route when operations are substantial and ongoing.
Direct VAT Identification (Identificazione Diretta)
Available to EU-established companies. The foreign company registers directly with the Italian Revenue Agency and manages its own VAT compliance. No local representative is required.
Fiscal Representative (Rappresentante Fiscale)
Generally used by non-EU companies. An Italian-resident entity is appointed to handle VAT obligations and assumes joint liability. See our fiscal representative guide.
Opening an Italian Branch
When operations in Italy are substantial or ongoing, opening a branch office may be more appropriate than a standalone VAT registration.
Documents Required for VAT Registration
For the direct identification of an EU company, we file: form ANR/3, signed by the legal representative; a certificate of VAT registration issued by the home tax authority; an extract from the home companies register; a copy of the legal representative's ID; a sworn declaration on any operations already carried out in Italy; and a power of attorney in our favour. The two certificates are filed with a sworn Italian translation. In our recent case for a French company, no apostille was required.
For a fiscal representative, the appointment must first be formalised, then the representative files the application. Step by step: how to get an Italian VAT number.
VAT Obligations After Registration
Once registered, the company must comply with Italian VAT regulations including:
- Issuing invoices showing the Italian VAT number (electronic invoicing through SDI is not required for non-established companies)
- Filing periodic VAT returns and making payments (monthly or quarterly)
- Quarterly communication of periodic VAT data (LIPE)
- Submitting the annual VAT return
- Paying import VAT at customs under the Italian VAT number, recoverable as input VAT
- Filing Intrastat declarations for intra-EU transactions, where applicable
For a detailed breakdown of all ongoing Italian VAT obligations, see our complete VAT Compliance guide.
Accounting Requirements
Foreign companies registered for VAT in Italy must maintain Italian VAT registers, issue compliant invoices and keep records of all transactions. While a directly identified company does not need full Italian accounting, a fiscal representative arrangement or branch registration will require more comprehensive bookkeeping.
Typical Timeline and Costs
Plan for the Revenue Agency's processing time: in our most recent direct identification, the VAT number was issued about three months after filing. Our fee for direct VAT identification starts from €1,950 and includes the filing, the Italian tax code, the follow-up with the Revenue Agency and a training session for your team on Italian invoicing. Ongoing VAT compliance (registers, periodic and annual returns, refund claims) is quoted on your volumes.
Need a VAT Specialist for Italy?
Studio VPG is a Bologna firm of chartered accountants and statutory auditors assisting foreign companies with Italian VAT registration, in English. For direct identification, we file the ANR/3 application and follow the case with the Agenzia delle Entrate.
Need help with Italian VAT registration?
Our team of Italian chartered accountants assists foreign companies with tax registration, accounting and compliance in Italy.
Frequently Asked Questions
How long does VAT registration take in Italy?
Direct identification is handled by the Revenue Agency's operations centre in Pescara and processing times vary. In our most recent case, the VAT number was issued about three months after filing. Start well before the planned first sale: operations under the Italian VAT number can only begin once it has been assigned.
Can a non-EU company obtain an Italian VAT number?
Yes. Companies established outside the EU generally appoint a fiscal representative, who applies for the VAT number on their behalf and is jointly liable for the VAT obligations. Direct identification is also open to companies from a few non-EU countries with mutual assistance arrangements in VAT matters, to be checked case by case.
Do I need a fiscal representative in Italy?
As a rule, yes, if your company is established outside the EU and carries out taxable transactions in Italy without a fixed establishment there. EU companies can choose between direct identification and a fiscal representative.
What is the difference between direct VAT identification and a fiscal representative?
With direct identification, the foreign company is directly responsible for Italian VAT compliance. A fiscal representative is an Italian-resident entity that assumes joint liability for VAT obligations on behalf of the foreign company.
Can an Amazon FBA seller register for VAT in Italy directly?
EU-based sellers can apply for direct VAT identification; non-EU sellers generally appoint a fiscal representative. In both cases, selling goods stored in an Italian fulfilment centre requires an Italian VAT number.