Italy’s Revenue Agency has updated procedures for closing inactive VAT accounts, introducing broader automated checks, advance taxpayer notifications, a 60-day objection period, and a new process for reactivating closed accounts.
The Italian Revenue Agency announced, on 12 October 2026, that it has updated its procedures for closing inactive VAT accounts. Revenue Agency Director Vincenzo Carbone signed the new measure on 12 October 2026, revising the previous directive from 3 December 2019.
The update implements Article 35, paragraph 15-quinquies of Presidential Decree no. 633/1972 (the VAT Decree). Under current law, the Revenue Agency automatically closes VAT numbers belonging to taxpayers who have not engaged in business, professional, or artistic activities for three or more consecutive years.
Enhanced detection methods
The new procedures broaden how the Revenue Agency identifies inactive accounts. The agency now uses automated checks across multiple data sources: the Tax Registry, electronic invoice records, payment transaction data, and voluntary tax payments. This replaces the previous reliance on Tax Registry information alone, allowing more accurate identification of genuinely dormant accounts.
Notification and response process
The Revenue Agency sends advance notice to taxpayers before closure takes effect. Notifications go to the taxpayer’s official digital address, or to the representative’s digital address for business entities. If neither exists, notices arrive by registered mail to the address on file in the Tax Registry.
The notice also appears in the taxpayer’s reserved area on the Revenue Agency website. Individuals receive an additional alert through the IO app.
Closure becomes effective 60 days after the taxpayer receives the notice. During this period, taxpayers may visit any local Revenue Agency office to dispute the closure and provide evidence of ongoing economic activity.
A new path to reactivation
A significant change allows taxpayers to request reactivation even after their VAT number has been officially closed. Following the 60-day objection window, a taxpayer can submit a reasoned reactivation request to any local Revenue Agency office. The office reviews the submitted arguments and documentation, then decides whether to restore the VAT number.
If reactivation is approved, the account becomes active retroactively from its original opening date, with no gap in continuity.
The measure also clarifies data protection compliance, confirming that personal data processing occurs under Article 35, paragraph 15-quinquies of Presidential Decree no. 633/1972 and follows applicable privacy regulations.
