From 2 May 2016, new provisions on domestic reverse-charge relating to the IT business have entered in force. In particular, according Art. 17 of the Italian VAT Law, emended by the Legislative Decree n. 24 of 11 February 2016, the reverse charge mechanism is applicable to:
- supplies of laptops, tablets, gaming consoles,
- supplies of integrated circuit devices such as microprocessors and central processing units in a state prior to integration into end-user products.
The new measures have been implemented on a temporary basis with anti-fraud purposes. As a result, the reverse charge mechanism will be applicable to these supplies from 2 May 2016 until 31 December 2018.
On the other hand, the provision regarding the application of the reverse charge mechanism supplies of components or accessories of mobile phones has been removed from the Italian VAT Law.