The implementation of VAT withholdings for B2C digital transactions by nonresident suppliers has been postponed to 1 December 2024, from the original date of 1 October 2024. This extension, under Legislative Decree 1644, published today, gives foreign companies more time to comply with the new regulations.
Additionally, the decree specifies that nonresident suppliers acting as VAT withholding agents are exempt from maintaining accounting records or issuing payment receipts in accordance with local requirements. They are also allowed to declare and pay VAT in either local currency or US dollars, with the choice available for the December 2024 return.