The Italian Tax Authorities have released revised list of companies that qualify for the revised split payment VAT system.
As a reminder, the VAT spilt payment system is designed to act as a measure aimed at curbing VAT fraud by obligating the taxable person acquiring goods or services to pay the VAT due directly to the tax authorities rather than to the supplier.
Currently, the following categories of companies are impacted by the application of the split payment system:
- Companies that are controlled directly or through subsidiaries by the Government or by individual Ministries
- Companies or joint ventures controlled directly by authorities at the regional, provincial, metropolitan or municipal level.
- Companies that are under direct or indirect control by companies mentioned under point (1) and (2);
- Companies listed in the FTSE MIB index of the Italian Stock Exchange.