Italy moves to align its e-invoicing system with EU ViDA — and opens a public consultation

Europe's e-invoicing pioneer is preparing for its next big evolution. Italy has adopted the national transposition of the EU's VAT in the Digital Age (ViDA) package and opened a public consultation on the implementation rules — a significant step for the country that has run mandatory e-invoicing longer than anyone else in the EU.

For businesses operating in Italy, this is the clearest signal yet that the familiar Sistema di Interscambio (SdI) is heading for change.

What was announced

The Italian government has established the legal basis to amend domestic VAT law in line with ViDA and has launched a consultation covering e-invoicing, digital reporting, One-Stop-Shop (OSS) changes and platform-economy obligations. Concrete obligations, timelines and technical specifications will follow through implementing decrees, kept consistent with the final EU acts.

The consultation invites feedback on several practical questions, including how SdI's invoice format will align with ViDA standards, how self-billing and triangulation will be handled under the new Digital Reporting Requirements (DRR), how platform-economy rules fit alongside Italy's existing deemed-supplier regime, and what transitional timelines businesses will need.

Why it matters: pioneer, but not yet aligned

Italy made history on 1 January 2019 as the first EU Member State to mandate e-invoicing for all domestic B2B and B2C transactions through a centralised government platform. Today, more than 30 million invoices a year flow through SdI, and by January 2024 virtually all remaining exemptions had been removed.

But being an early adopter comes with a catch. Italy built its framework years before ViDA existed, and its national FatturaPA XML format is not natively compliant with EN 16931, the European standard at the heart of ViDA. Italy's centralised clearance model also contrasts with ViDA's decentralised approach. In short, the very system that made Italy a global reference point now has to adapt.

The transposition therefore focuses on the gaps, above all:

• Cross-border digital reporting — SdI currently covers domestic flows; ViDA requires structured e-invoicing and reporting for intra-EU B2B transactions.
• A two-day issuance window for intra-EU B2B supplies, compared with Italy's current 12-day rule.
• EU-level data exchange between national systems, and closer alignment of the invoice format with EN 16931.

The timeline to keep in view

Italy's EU derogation for its current model expires on 31 December 2027. ViDA's cross-border digital reporting goes live on 1 July 2030, and Member States that already ran national systems before ViDA — Italy included — have until 31 December 2034 to fully converge with the common EU format and rules.

There is also nearer-term housekeeping: updated SdI technical specifications (version 1.9.1) took effect on 15 May 2026, introducing a new VAT-group validation check, revised accreditation procedures and a new sports-worker exemption code.

What businesses should do now

For companies with Italian entities, the message is to treat existing SdI investment as a foundation, not a finished job. Practical priorities include getting master data right (VAT IDs, country codes, transaction classifications), assessing EN 16931 readiness, and mapping where SdI extensions will meet — or fall short of — the EU-wide requirements. Businesses can also shape the outcome by engaging with the consultation, directly or through industry associations.