According to the Legge di Bilancio 2021 (2021 Budget law, no. 178 dated 30th of December 2020), as of January 2022 cross-border transactions are to be entered into the Interchange System (Sistema di Interscambio - SDI) in the same way as has until now been the case for transactions with other Italian VAT registered businesses.
Up to now, cross-border reporting was handled via the Esterometro report, for both inbound and outbound invoices with foreign companies.
The change leads to the replacement of the previously used model and makes the SdI Portal the central system for invoicing and reporting in Italy, for domestic and cross-border transactions.
If a company fails to comply with the new rules, a maximum fine of EUR 400 per month applies (EUR 2 per invoice).