Global

Details

  • Service: Tax, Global Indirect Tax, Global Compliance Management Services
  • Type: Regulatory update
  • Date: 8/23/2012

Italy - Status of legislation for increased VAT rates 

August 23:   Italy’s Senate on 31 July 2012 passed a bill that would increase the rates of value added tax (VAT), and with this vote, the legislation is before the Chamber of Deputies for discussion and possible action.

The bill would revise the VAT rates as follows:


  • Beginning 1 July 2013 through 31 December 2013—the “reduced” VAT rate of 10% would increase to 12% and the “standard” VAT rate of 21% would increase to 23%.
  • Beginning 1 January 2014—the reduced VAT rate of 12% would be lowered to 11% and the standard VAT rate of 23% would be lowered to 22%.

The legislation was introduced by the Italian government in early July 2012 as Legislative Decree No. 95/2012 (Article 21 contains the VAT rate measures as an amendment to Article 40, paragraph 1-ter of Law Decree No. 98 (6 July 2011) (converted with law No. 111 (15 July 2011)) which provided increases in the VAT rates (from 10% to 12% and from 21% to 23%) effective 1 October 2012).


The Chamber of Deputies must now approve the bill, and then the law must be published in the official gazette (Gazzetta Ufficiale della Repubblica Italiana) prior to enactment.



For more information, contact a tax professional with the KPMG member firm (KStudio Associato) in Italy:


Davide Morabito

+39 045 8114111




©2012 KPMG LLP, a Delaware limited liability partnership and the U.S. member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. All rights reserved.


The KPMG logo and name are trademarks of KPMG International.


KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever.


The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation.


Direct comments, including requests for subscriptions, to go-fmtaxnewsflash@kpmg.com.
For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at:

+ 1 202 533 4366

1801 K Street NW
Washington, DC 20006.

 

Share this

Share this

Subscribe

Subscribe to receive the latest TaxNewsFlash email alerts (you must select the option for TaxNewsFlash)


Already a Subscriber? Login


Not a member? Subscribe now

Contact us