Uncollected VAT recovery in bankruptcy proceedings: new terms of issue for credit notes with “Sostegni bis” Decree
Faster recovery times for VAT credits. This is what will be provided by Article no. 18 of “Sostegni bis” Decree, which will rewrite the wording of Article no. 26 of Presidential Decree no. 633/72, regarding terms for issuing VAT credit notes.
With regard to bankruptcy proceedings, VAT credit notes will be issued by provider as from the date on which purchaser will be declared bankrupt. If the claim will be subsequently satisfied, an adjustment to opposite sign shall be made.
These amendments will apply to insolvency proceedings started as from the date on which the aforementioned decree comes into force.
The legislative action will align the rules for VAT recovery with those for income taxes, according to article no. 101 of TUIR. So, credit losses deductions of income tax will temporally match to uncollected VAT recovery.