ITALY: EU DIGITAL VAT DIRECTIVE IMPLEMENTATION

UNCLAS ROME 002317 SIPDIS SENSITIVE STATE FOR EUR/ERA AND EUR/WE COMMERCE FOR ECOM/ITA/TD/OITEC TREASURY FOR OASIA E.O. 12958: N/A TAGS: ETRD EFIN IT EUN SUBJECT: ITALY: EU DIGITAL VAT DIRECTIVE IMPLEMENTATION REF: STATE 42548 (U) SENSITIVE BUT UNCLASSIFIED. PLEASE HANDLE ACCORDINGLY. NOT FOR INTERNET DISTRIBUTION. ¶1. (U) THIS CABLE RESPONDS TO REFTEL REQUEST FOR INFORMATION ON ITALY'S IMPLEMENTATION OF THE EU DIGITAL VAT DIRECTIVE. INFORMATION WAS OBTAINED FROM LEGISLATIVE OFFICE OF THE ITALIAN MINISTRY FOR EU AFFAIRS. ¶2. (SBU) ITALY HAS NOT ENACTED THE EU DIGITAL VAT DIRECTIVE. EU MINISTRY OFFICIALS DO NOT EXPECT ITALY TO MEET THE JULY 2003 DEADLINE. THE DIRECTIVE IS NOT LIKELY TO BE ENACTED BEFORE SEPTEMBER 2003. DISCUSSION WILL BE LIMITED TO GOI ENTITIES, AND THERE WILL NOT BE PUBLIC HEARINGS. ¶3. (SBU) OFFICIALS IN THE TAX POLICY DEPARTMENT OF THE FINANCE MINISTRY ARE DEVELOPING A DRAFT. ACCODING TO OUR EU MINISTRY CONTACTS, THE FINANCE MINISTRY IS RELUCTANT TO PROVIDE INFORMATION OUTSIDE THE GOI. WE HAD ALREADY APPROACHED THE FINANCE MINISTRY, BUT HAVE NOT RECEIVED A RESPONSE. ¶4. (SBU) EU MINISTRY OFFICIALS OFFERED TO PROVIDE US WITH ALL THE SUPPLEMENTAL INFORMATION WE REQUESTED ONCE THE FINAL DRAFT REACHES THEIR OFFICES. THE EU MINISTRY WILL BE RESPONSIBLE FOR IMPLEMENTING THE DIGITAL VAT DIRECTIVE. NNNN 2003ROME02317 - Classification: UNCLASSIFIED