Italy to implement automated VAT calculations for missing declarations

Starting in 2026, the Italian Revenue Agency (Agenzia delle Entrate) will implement a new automated procedure for calculating VAT (IVA) in cases where taxpayers fail to submit their annual declarations. Under the provisions of the 2026 Budget Law, specifically the new article 54-bis. 1 of D.P.R. n. 633/1972, the agency can perform an automated liquidation of the tax owed using existing digital data.

The calculation will be based on four primary data sources: electronic invoices issued and received, electronic transaction records, periodic VAT liquidation communications (LIPE), and VAT payments already made. The system will subtract existing credits from invoices and previous payments from the reconstructed debt.

Taxpayers who receive a notification regarding the automated calculation will have 60 days to provide clarifications, submit missing data, or settle the debt. Paying within this 60-day window allows taxpayers to benefit from a significant reduction in penalties, specifically a reduction to one-third of the original sanction. Notifications will be sent via PEC (certified email) or registered mail.