E-Commerce Compliance On 9 July 2025, Italy’s Council of State (Consiglio di Stato) officially suspended the controversial €50,000 financial guarantee requirement for non-EU businesses registered through a fiscal representative, as set out in Ministerial Decree No. 292/2023.
This measure, introduced as part of Italy’s broader anti-fraud strategy, made it mandatory for non-EU businesses, regardless of size or risk profile to submit a €50,000 bank or insurance guarantee in order to maintain access to the VIES (VAT Information Exchange System). The aim was to combat VAT evasion, but the rule quickly faced strong legal and institutional resistance.
In its ruling, the Council of State recognized the constitutional concerns and disproportionate impact raised by industry stakeholders, and ordered that the provision be frozen pending further review. This decision follows months of legal proceedings initiated by fiscal representatives and impacted operators, and represents a major development in European VAT policy.
At Safari Star, we have supported thousands of clients globally who encountered serious obstacles such as obtaining guarantees from Italian banks and insurers.
While we recognize and support the fight against VAT fraud, we believe that any compliance framework must be:
- Legally proportionate
- Scalable and risk-based
- Aligned with international trade practices
The suspension of the guarantee requirement is a welcome and necessary pause, but not yet a definitive outcome. The Italian authorities may revisit the matter in future, potentially reintroducing safeguards in a more proportionate form. In the meantime, the €50,000 rule remains legally frozen.
This decision also aligns with the concerns raised in our previous analysis, where we outlined the constitutional implications of this rule, particularly its conflict with Articles 3 and 41 of the Italian Constitution. For those interested in a deeper legal and policy breakdown, you can read our original article here:
👉Italy’s €50,000 VAT Guarantee Under Constitutional Scrutiny
At Safari Star, we will continue to:
- Closely monitor regulatory developments
- Support businesses in adapting their EU compliance strategies
- Advocate for balanced solutions that enable fair access to the European market
If your company has been affected by these requirements or if you are seeking VAT representation in Italy or across Europe, our team is ready to help.
Contact us at info.sa@safaristar.net.