The Council of Ministers, in the session of July 22, preliminarily approved a draft legislative decree that incorporates an important request from Confetra. This concerns the correct interpretation of Article 9, paragraph 3, of Presidential Decree No. /1972, regarding the VAT exemption regime for international services.
This amendment, long-awaited and strongly advocated by industry operators, extends the VAT exemption to transport services provided by subcontracting freight companies, overcoming restrictive interpretations that in recent years had created significant operational difficulties and cost increases for companies in the sector.
As explained by Carlo De Ruvo, president of Confetra, “in recent years, following the 2021 regulatory amendment and subsequent restrictive interpretations by the Revenue Agency, numerous freight companies had encountered operational difficulties due to the exclusion of VAT exemption for transport services carried out by carriers appointed by other freight forwarders, considered as ‘subcontractors’.” This approach prevented the application of the favorable regime in the case of “chain” operations, generating distortions and a significant increase in costs for logistics companies.
The issue was particularly felt in the context of international shipments, where subcontracting chains are frequent and necessary due to the complexity of operations. VAT on intermediate services resulted in a non-negligible tax burden, undermining the competitiveness of Italian companies.
“Confetra,” continues De Ruvo, “together with its sector federation Fedespedi, has been the voice of the industry’s challenges, highlighting to the Ministry of Economy and Finance (MEF) and Deputy Minister Leo the need for a clarifying intervention. With the new wording of Article 9 of the VAT Presidential Decree, the Government has addressed these requests, stipulating that, in line with Article 153 of the VAT Directive, not only transport services provided on behalf of the exporter, importer, holder of the transit regime, or freight forwarder but also those carried out by intermediary entities (more than one freight forwarder) may fall under the VAT exemption regime.”
“This is an important achievement for the entire Italian logistics supply chain,” concludes the president of Confetra. “If confirmed by Parliament, it will acknowledge the operational complexity of international shipping activities and ensure greater alignment with the European regulatory framework. We thank the MEF for its attention and demonstrated commitment. With this amendment, a more balanced and functional interpretation of Article 9 is finally restored, benefiting the competitiveness of Italian companies active in international trade.”
