VAT refund procedure in Italy

Italian taxable persons who pay VAT in another EU Member State can request a refund of the tax paid. Namely, taxable persons established in Italy can request a VAT refund for tax paid in another EU country, as outlined in Article 38-bis1 of Presidential Decree 633/1972. The refund request must be submitted through a specific electronic procedure that sends the request directly to the Italian Revenue Agency (Pescara Operations Center).

The VAT refund is not available to all taxpayers indiscriminately. It is reserved for those who meet the following criteria:

• No permanent establishment in the Member State provides the refund.
• No territorially relevant operations in the Member State during the reference period, except

for non-taxable transport services and ancillary services.

• Provision of services and transfers of goods where the tax is paid by the customer/transferee established in the refund country through the reverse charge mechanism.

The refund is not granted if, during the reference period, the applicant:

• Has not carried out any business, art, or profession.
• Has only carried out exempt or non-subject transactions that do not give the right to deduct the tax under Articles 19 et seq.
• Has availed themselves of the minimum taxpayer regime.
• Has taken advantage of the special regime for agricultural producers.

The procedures for submitting the refund request are detailed in the Revenue Agency Provision of April 1, 2010. The electronic procedure ensures that the request is correctly forwarded and considered. Applications must be submitted by September 30 of the calendar year following the reference period. This deadline is strict and cannot be extended, even if September 30 falls on a holiday or non-working day.