Italy Approves First Stage of ViDA Implementation from January 2027

On 28 October 2026, the Italian Council of Ministers approved the legislative decree examined as Draft No. 436, implementing Article 2 of Directive (EU) 2025/516 (VAT in the Digital Age – ViDA), following favourable opinions from the relevant parliamentary committees. This marks the first stage of Italy ViDA implementation.

From 1 January 2027, the changes include:

• OSS / IOSS and e-commerce: clarified deemed-supplier rules for sales via electronic interfaces such as marketplaces, a refined €10,000 threshold for intra-EU distance sales and TBE services, and amendments to VAT chargeability, OSS/IOSS information requirements, VAT refunds and the IOSS–SME scheme interaction.
• Energy supplies: certain cross-border supplies of gas, electricity, heating and cooling will temporarily be treated like intra-EU distance sales.
• Call-off stock: the regime will be progressively withdrawn, with no new arrangements from 1 July 2028 and existing arrangements ending by 30 June 2029. The Transfer of Own Goods (TOOG) OSS scheme is introduced from July 2028.

The Single VAT Registration and Platform Economy measures apply mainly from 1 July 2028, and ViDA’s Digital Reporting Requirements for intra-EU B2B transactions from 1 July 2030.

For SAP-based compliance projects, explore SAP e-invoicing integration.

Read the Italian government’s official announcement on Italy’s ViDA implementation for details of the Council of Ministers’ decision.