The Italian Tax Authority has clarified in a recent ruling (i.e. ruling no. 72 dated 2 September 2016) that the bitcoins shall be considered as a type of virtual currency used as an alternative to the traditional currency. As a result, the Italian Tax Authority clarified that the commission fees received by a company for the purchase and sale of bitcoins shall be classified as financial services, as such exempt from Italian VAT pursuant to Art. No. 10.1.3) of the Presidential Decree no. 633/1972. The Tax Authority’s position is in line with the conclusions reached by the ECJ in the case C-264/14 dated 22 October 2015 according to which transactions relating to the exchange of the bitcoins against traditional currencies shall be considered as transactions concerning ‘currency, bank notes and coins used as legal tender’ exempt from VAT (as provided by Article 135(1)(e) of the VAT Directive).