Imports and Exports for Italy: a trading guide for starters
If you’re looking for information about imports and exports for Italy, then look no further. We’ll first look at an overview of the economy before turning to its imports and exports as well as the procedure for companies looking to carry out those activities. Italy is the world’s 8th largest economy with a GDP of nearly $2 trillion in 2019. Italy’s GDP grew by 0.3% in 2019.
How to export to Italy: a useful Financial Guide
Your national business has grown, you’re looking to expand into international trade and you’ve got your eye on the Italian market. Countries within the EU have an easier time because of standardized rules, but other countries, including the US and now the UK, must meet the higher standards related to goods entering the market. As such, requirements for exporting to Italy will be heavily dependent on the country of origin.
Without any contextual knowledge, going international can lead to costly errors. A comprehensive analysis of Italy and its market is fundamental to succeeding.
The sales tax in Italy or VAT, is called IVA (Imposta sul valore aggiunto) and it is 22% of any taxable sales, including raw materials.
All businesses must collect this Value Added Tax on behalf of the government, pay it quarterly or monthly (depending on the annual VAT turnover) and file the quarterly VAT return.
After moving back to Italy from the United States in 2013, I realized how much an accounting and tax firm was needed to help expats living in Italy to comply with the local tax regulations.