Italy’s Tax Authority Introduces Innovate Pre-Filled VAT Return

Italy’s Tax Authority made a recent change. This could have far-reaching effects on its taxpayers. The country introduced the idea of a pre-filled VAT declaration. The move was already announced on February 10, 2023.

This means around 2.4 million of Italy’s professionals could download a pre-filled Italian annual VAT return. Businesses can also view this annual report. These reports show transactions made in 2022. Professionals and companies alike must submit the VAT returns by May 2, 2023.

This newest service is now available for all taxpayers. They’re determined via the provisions outlined in Announcement No. 183994 on July 8, 2021. The VAT report is also expounded on Announcement no. 9652/2023 on January 12, 2023.

The service impacts all taxable residents who are already established in Italy. They perform VAT payments per quarter. There are exclusions to the VAT service though. These include residents working in certain sectors of activity. They also cover those wherein special regimes are then made for VAT purposes. Some examples include those in publishing or companies selling used or second-hand goods. Travel agencies also fall under this category.

This latest VAT service isn’t offered to businesses founded outside of the country. Even if they’re VAT registered in Italy. The registration could be direct or through a fiscal representative.

What Can Affected Taxpayers Expect?

Taxpayers can expect that the process of paying VAT will go much smoother and faster. The Italian Tax Authority would have prepared the pre-filled draft. They will cover the following information:

  • Advance-filled VAT registers

  • Daily fees that are then transmitted via electronic means

  • VAT return in relation to the year 2021. One example given was a case wherein VAT credit was already carried over to 2022.

  • Other details were reportedly shared in the country’s Tax Authority database. One example is payments using F24 Forms.

Taxpayers will have an easy time accessing the latest function. They can do so by entering their information on the ITA “Invoices and Fees” website. They should then go to the section set for pre-filled VAT documents. They can find the new “Annual VAT return” sector here as well.

Important Reminders for Taxpayers

Taxpayers must double-check all the data in their pre-filled returns. They should compare it to the information in their management systems. They should then edit the returns as needed before they accept and submit them.

The Italian Tax Authority already made the pre-filled returns available on February 15. Taxpayers have since had permission to edit the pre-filled draft. They can also integrate it. Once that’s done, they can then move forward with the submission.