Background on the SdI Invoice in Italy
Since January 1, 2019, Italy has required companies to issue their electronic invoices through the SdI (Sistema di Interscambio) platform. However, Italian companies, regardless of their sector (B2G, B2B, B2C), must now dematerialize their invoices via the SdI.
Changes as of October 1, 2020
Starting October 1, 2020, the SDI will replace three VAT exemption codes with more explicit codes.
– Code 2 (not subject) is subdivided into 2.1 and 2.2.
– Code 3 (not taxable) is subdivided into 3.1 to 3.6
– And code 6 (reverse charge) is subdivided into 6.1 to 6.9
This change is important. It requires business software to integrate it. Furthermore, companies must also adapt the relevant EDI interfaces. This data is often stored in a one-character field.
SdI: Using a service provider for your Italian electronic invoicing
If you have used an external service provider for your Italian electronic invoicing, they can assist you with this change.