Italy's finance ministry is consulting on draft VAT legislation implementing EU Directive 2025/516, affecting cross-border e-commerce and online platforms, with the consultation open from 22 June 2026 to 6 July 2026 and the rules taking effect from 1 January 2027.
Italy’s Department of Finance has launched a public consultation on 22 June 2026 regarding a draft legislation implementing part of the EU Directive 2025/516 regarding VAT rules for the digital age (often referred to as ViDA).
The proposed rules primarily cover the One-Stop Shop (OSS), Import One-Stop Shop (IOSS), and Single VAT Registration measures, affecting cross-border sellers, online platforms, and businesses transporting goods within the EU.
The VIDA package introduces a comprehensive overhaul of the European Union VAT system, aiming to adapt it to the new requirements of the digital transformation of the economy. Specifically, the reform aims to boost the Union’s competitiveness by helping to improve the efficiency of tax collection, strengthen fraud prevention tools, and reduce administrative burdens for businesses.
Article 2, the subject of the draft implementing decree currently under consultation, contains the provisions applicable from 1 January 2027, primarily concerning the OSS and IOSS regimes and the Single VAT Registration system. While the decree is finalised and pending assessments by the other administrations involved, interested economic operators are invited to submit comments and proposals on the documentation submitted for consultation.
What’s changing
The decree expands the One-Stop Shop (OSS) and Import One-Stop Shop (IOSS) schemes, clarifying the information businesses need to provide when registering and how the systems work in practice.
Specifically, it locks in the EUR 10,000 threshold for intra-EU distance sales of goods and certain digital services—once you hit that, businesses registered under Union OSS automatically apply VAT in the customer’s country rather than their own.
The rules also address when digital platforms become liable as deemed suppliers, meaning they’re responsible for VAT on transactions they facilitate. This is a meaningful shift for marketplaces hosting third-party sellers.
Call-off stock arrangements—a longstanding loophole allowing businesses to move inventory between EU countries without triggering immediate VAT registration—are being phased out. The Italian rules allowing this will expire on 30 June 2029.
The draft is published on the MEF website. Trade associations, businesses, research centres, and individuals can submit comments through the online form.
The consultation runs from 22 June 2026 to 6 July 2026, with the measures going into effect from 1 January 2027.
