On 15 January 2021, the Italian tax authorities published Provision no. 13185/2021 regarding the implementation the procedures for the collection of the 3% digital services tax (DST).
The DST is effective from 1 January 2020 in Italy. The deadlines of DST for FY 2020 were originally scheduled as 16 February 2021 for the payment of the tax and 31 March 2021 for filing the annual return. According to Decree-Law No. 3 of 15 January 2021, these deadlines have been extended for FY 2020 as following:
- Digital Services Tax (DST) payment deadline is 16 March 2021; and
- Digital Services Tax (DST) return deadline is 30 April 2021.
Furthermore, the DST applies to both resident and non-resident companies meeting the following conditions at the company or group level:
- Total revenue of at least EUR 750 million; and
- Total revenue from digital services supplied in Italy of at least EUR 5.5 million.
