VAT in Italy: New Rules for Non-EU Sellers in 2025 (update)

VAT in Italy is a value-added tax applied to most goods and services sold within the country. For non-EU online sellers—especially those using platforms like Amazon or their own eCommerce stores—understanding and complying with Italian VAT rules is critical. As of April 2025, new requirements are in force that could impact your ability to sell across the EU. This article explains what’s changed, what steps you need to take, and how hellotax can help you stay compliant.

 

Table of Contents

1. Why Italy Updated Its VAT Rules
2. New Fiscal Representative Obligations
3. €50,000 Guarantee for Non-EU Sellers
4. Key Compliance Deadlines
5. Consequences of Non-Compliance
6. Steps Online Sellers Should Take
7. How hellotax Helps with VAT in Italy
8. FAQ: VAT in Italy

Why Italy Updated Its VAT Rules

Italy has implemented new VAT in Italy rules effective from 17 April 2025 to combat VAT fraud and improve transparency. These reforms especially target non-EU sellers and their fiscal representatives. Italy joins a broader EU effort, alongside countries like Germany and France, to tighten VAT rules for third-country businesses selling to EU consumers.

By introducing stricter financial guarantees and ethical requirements, Italy aims to protect its tax revenues and reduce abuse of VAT registrations. The changes reflect a more proactive and preventive stance by the Italian Revenue Agency.

New Fiscal Representative Obligations

From April 2025, all fiscal representatives acting on behalf of non-EU businesses must:

• Submit an honorability declaration as required by Ministerial Decree No. 164/1999.
• Provide a financial guarantee ranging from €30,000 to €2,000,000, depending on the number of clients represented.

Accepted formats:

• Government bonds or securities backed by the state
• Bank guarantees or insurance surety bonds (in official formats)

The guarantee must remain valid for a minimum of 48 months and must be submitted to the Italian Revenue Agency’s Provincial Directorate before the representative is approved.

€50,000 Guarantee for Non-EU Sellers

As an additional requirement, non-EU and non-EEA businesses registered for VAT in Italy must now provide a €50,000 guarantee to remain listed in the VIES database.

• Legal basis: Article 35, Paragraph 7-quater of Presidential Decree No. 633/1972
• Validity: Minimum of 36 months
• Accepted formats: Government-backed bonds, bank guarantees, or insurance bonds

This applies to both new VAT registrations and existing sellers already listed in the Italian VAT system and VIES.

Key Compliance Deadlines

Requirement	Who It Affects	Deadline
Submit honorability declaration & financial guarantee	Existing fiscal representatives	16 June 2025
Submit €50,000 guarantee	Non-EU/EEA sellers listed in VIES	13 June 2025
Comply before acting	New fiscal representatives	Immediately

Consequences of Non-Compliance

• ❌ Cancellation of your VAT number
• ❌ Removal from the VIES database
• 💸 Fines between €3,000 and €50,000 (non-reducible)

Steps Online Sellers Should Take

1. Review your fiscal representative: Make sure they are informed and compliant. Ask for documentation that proves they meet the new requirements.

2. Prepare for the €50,000 guarantee: Work with your financial institution to arrange the appropriate form of guarantee with at least 36 months validity.

3. Update your internal processes: Accurate records and timely filings are now even more essential to avoid penalties or rejection of filings.

4. Act early: Don’t wait until the last week—these are hard deadlines that affect your ability to trade in the EU.

How hellotax Helps with VAT in Italy

At hellotax, we help non-EU sellers meet the complex demands of VAT in Italy with confidence:

• ✔️ Fully compliant fiscal representatives that meet Italian legal and ethical requirements
• ✔️ Support for securing and submitting the €50,000 guarantee
• ✔️ Ongoing deadline tracking and compliance monitoring
• ✔️ Transparent pricing plans tailored for online sellers

👉 Book a free consultation to get started today.

FAQ: VAT in Italy

Do all non-EU sellers need a fiscal representative in Italy?

Yes. Italian law requires all non-EU or non-EEA businesses to appoint a fiscal representative for VAT compliance purposes.

What happens if I don’t submit the €50,000 guarantee?

You risk being removed from the VIES database and losing your Italian VAT number, which means you can’t legally sell within the EU.

Is the €50,000 a fee?

No. It’s not a fee but a financial guarantee. It remains blocked for a period of 36 months and can be released once the requirement ends.

Related Resources

• VAT Registration in Italy: Step-by-Step Guide
• Check your VIES status (EU Commission)