If you’re selling on Amazon Italy via FBA, VAT compliance is complex but critical. Italy is a major e-commerce market in Europe — but it also has additional rules for non-EU sellers, including a VAT deposit guarantee.
VAT Rates in Italy
Italy introduced VAT in 1973, in line with the EU system.
Standard rate: 22%
Reduced rate: 10% (e.g. food, hospitality, certain services)
Reduced rate: 5% (specific social goods and services)
Super-reduced rate: 4% (e.g. basic foodstuffs, books, medical equipment)
When Do Amazon Sellers Need to Register?
Italian businesses must register once annual turnover exceeds €65,000.
EU-based Amazon sellers must register if their sales to Italian consumers exceed the €10,000 EU-wide distance selling threshold.
Non-EU Amazon FBA sellers must register immediately if:
You store goods in an Italian fulfilment centre, or
You sell directly to Italian consumers via Amazon.
⚠️ For non-EU sellers, there is no registration threshold — registration is required from the first taxable sale.
Fiscal Representatives & VIES Deposit Guarantee
Non-EU sellers must appoint a fiscal representative in Italy. This representative is jointly liable for VAT compliance.
In December 2024, Italy introduced a requirement for non-EU sellers registering via a fiscal representative to provide a €50,000 VIES deposit guarantee (bank guarantee or insurance bond).
The guarantee is designed to cover potential unpaid VAT liabilities.
⚠️ This measure has been challenged in the Italian courts and is currently awaiting an official decision. It may be changed or even abolished in the near future. However, for the time being, the policy is fully operational, and the Agenzia delle Entrate (ADE) is enforcing it as per the international schedule.
Registration & Filing
To register for VAT in Italy, you’ll typically need:
Business incorporation documents
Proof of trade activity (Amazon seller account, invoices, contracts)
ID for directors or business owners
Appointment of a fiscal representative (for non-EU sellers)
Registration is processed by the Agenzia delle Entrate and usually takes 4–6 weeks. Once complete, you’ll receive your Italian VAT number (Partita IVA), which must also be updated in Amazon Seller Central.
VAT returns are generally filed quarterly, though larger sellers may be required to file monthly. An annual VAT return is mandatory. All filings are submitted electronically via the Agenzia delle Entrate systems.
Risks for FBA Sellers
Failure to register or late registration can result in backdated VAT liabilities, penalties, and interest. Penalties can reach 30%–60% of unpaid VAT, plus daily interest. Non-compliance may also lead to removal from the VIES database, which can block cross-border sales. Amazon requires VAT compliance in Italy — non-compliance can result in account suspension.
Final Thoughts
For Amazon FBA sellers, Italy is a high-value but highly regulated market. VAT applies from the first taxable sale for non-EU sellers, and fiscal representatives are mandatory. While the €50,000 VIES deposit guarantee is under legal review, it remains fully enforceable until further notice. Staying fully compliant protects both your VAT status and your Amazon business.
👉 Watch the full video [https://youtu.be/WYS8mf0s0fo?si=zJvnJyIsKN597_1M] where I explain Italy’s VAT rules for FBA and cross-border sellers in detail.