New Italian VAT Guarantee Requirement for Non-EU Businesses

What you'll learn in this article

This article explains the new guarantee requirements for non-EU businesses operating in Italy through a fiscal representative who needs to maintain or obtain registration in the VAT Information Exchange System (VIES) for trading with other EU countries (intra-EU transactions). 

Overview

The Italian Tax Authority has published new regulations requiring non-EU businesses with Italian fiscal representatives to provide a €50,000 financial guarantee in order to use the VIES system for intra-EU transactions.

Key points

• Applies only to non-EU businesses using fiscal representatives in Italy
  

• It is required for both new and existing VIES registrations
  

• €50,000 guarantee must remain valid for 36 months
  

• Deadline for existing registrations: 13 June 2025 with an additional 60 days grace period.
  

Who needs to provide this guarantee?

You’ll need to provide the guarantee if all of the following apply to your business:

• You are not established in an EU Member State or Iceland, Lichtenstein and Norway
  
  

• You are registered in Italy through a fiscal representative (not direct VAT registration)
  
  

• You need to be registered in VIES to conduct intra-EU transactions, that besides selling and buying goods from other EU countries also include moving your own goods between warehouses in Italy and other EU countries.
  

Guarantee requirements

Based on the official regulations, the guarantee must meet the following conditions:

• Amount: €50,000
  

• Duration: Must remain valid for at least 36 months
  

• Format: One of the following:
  

  • Deposit in Italian government bonds
    

  • Insurance policy from an approved provider
    

  • Bank guarantee from a financial institution
    

Important deadlines

• For existing VIES registrations:
   Guarantee must be submitted by 13 June 2025
  

• For new VIES applications:
   Guarantee must be provided at the time of application for registration in the VIES database,
  
  

If you're already registered in VIES and miss the deadline:

• As your fiscal representative, we will receive a notification that your VIES removal process has begun
  

• You’ll have 60 additional days to submit the guarantee
  

• If not submitted, the VIES registration will be canceled
  
  

What Taxually is doing

We're currently analyzing these new regulations to determine the best way to support your business through this transition.

While we finalize our internal implementation plan, we recommend looking into potential guarantee providers.

We’ll contact all our clients affected by this directly once our support plan is finalized, with specific guidance on next steps.

FAQ

Will this affect my Italian domestic operations?

No. These changes only affect intra-EU transactions. If you only sell within Italy, you are not required to provide the guarantee.

Why is this happening?

This is part of Italy's efforts to combat VAT fraud. Similar guarantee obligations have already been introduced for fiscal representatives themselves.

How much will this cost beyond the €50,000 guarantee?

Additional costs may apply depending on the type of guarantee you choose:

• Bank guarantees may involve annual fees
  

• Insurance bonds typically require premium payments
  

• Government bonds may have lower direct fees but will tie up capital
  

If you have urgent questions about how this may impact your business, please contact us.