The system of minimum is a special tax regime which allows a certain category of people to bring down administrative costs in a very advantageous . They are mostly sole proprietorships and professional. Let’s see how they should behave when they are called to charge to a foreign customer .

The system of minimum takes its name from the simplifications expected. The recording of invoices issued, the annual declaration of VAT, the compilation of the list of clients and the settlement obligations are not required. If there are collaborations or consultations that are offered to foreign customers, one wonders how to bill.

In the simple case in which the customer is Italian, the invoice issued by the system of minimum is calculated on the total amount corresponding to the service rendered decreased by 20%, defined as withholding tax. This 20% is paid directly by the client as a deposit for the taxation of the lender. The VAT is not covered, as you can see from the simple calculation that was done. Unlike the case with an invoice issued to a foreign customer. In this case, the withholding tax should not be calculated because, for obvious reasons, not a person in our community can not pay a sum which will be used to pay our taxes. In foreign invoices there is not even affix the stamp.


It is important to know that billing can be done only on services rendered abroad in European Union countries . They can not be billed for services rendered abroad in countries outside the European Union . on invoices abroad, you have to calculate the tax rate of 5% and shall specify the same wording as that usually are placed on invoices issued in Italy.

Despite all the simplifications that you have with the system of minimum, you must remember to number and preserve all invoices and customs bills, certify its fees, integrate any invoices communal buying if you own the game Iva Community ( VIES) and in the case you should compile lists Intrastate. Having the necessary information , that is, knowing that the total consideration must be billed by calculating the 5% tax, you will have no doubt about how you can be charged to a foreign customer under the minimum.