Fatturazione Italia

[architecturaleng]

**edited for Community Guidelines**

[nabby76]

Thank you so much for your kind reply. I realized that it is better to make the invoice directly to Upwork (because it is Upwork who actually pay me). A logic I should invoice the price they actually built (without Upwork commission), but on my certificate Upwork gain (in reports) shows the total including the committee that holds Upwork (indeed rounded up ...). may not be a problem this difference between what I should achieve and how Upwork indicate on my certificate of payment? Sorry if I take advantage of your kindness, but I have to make the first invoice is ...
More for me the thing is complicated because I have not received Partita IVA and should do ricevuta con ritenuta d'acconto, but I'll try to ask if some other community has the same problem.  Thank you again. Have a good evening.

[lenaellis]

Freelancers are paid by the Clients that Freelancers work for.  Payment does not come from Upwork.  As described in our Terms of Service, Upwork's affiliate (Elance Escrow Corporation) acts as an escrow agent to facilitate payment from the Client to the Freelancer. 

[tech_ba]

Cristina I'd say you're right. I was puzzled about the same topic, your message cleared my mind.

Just issue the invoice directly to the client who commisioned the job with the progressive number and date and specify the payment method.

Regards.

Andrea

[elenamazzini]

Hi Cristina, I'm new to upwork and I can't understand how to write my invoice. Looks like you found a solution.. Could you please attach here a sample invoice? (with a fake amount)

Did you put added your vat number to your profile? I tried but it was not approved.

Thank you so much.

Elena

[vladag]

Hi Elena,

Could you please try confirming the validity of the VAT number you tried to add by entering it here? Let us know if it verifies there but still doesn't on Upwork.

[cgczar1]

Ciao Sonia,
Pleasure... we've all been there before 🙂
Write me in private. If you are italian like I seem to understand I can maybe help you a little better if I explain referring to our country tax policies, thus it will be easier to get the full picture! 😉
Have a nice evening yourself!!

[operbass]

Hi Cristina,

I'm trying to send you a private message about italian invoices, but it seems that I can't contact you!

Please, if you can, contact me because I really need some help!

Thank you!

Giacomo 

[marcperi]

Hi Cristina,

can you please explain it to me?

My personal doubt are concerning the invoice to Upwork.

Can I make one globally every 3 months, or I have to make any single invoice for any job I've done?

Can you please tell me how to work with upwork and be regular with my partita iva invoice? 🙂

With my best regards

Marco

p.s. I tried to send you a pvt message, but I don't have privileges for this 

[mastadaboom]

Ciao Cristina,

nice to meet you. I'm sorry to bother you but I'm struggling with the first invoice, and the thing is not very clear for me. I tried to contact you, but doesn't work. If you can help me I would be very grateful.

Grazie mille

Aldo

[gis91]

Guys, Upwork IS NOT your client. Your client is the person/agency you work for. Upwork, as explained by Lena E. , is simply an escrow agent - see here for a clear and concise explanation about what an escrow agent is[1]. It's your duty and care talk with your clients before accepting whichever contract and ask him/her, among the rest, for all the details needed to correctly process your invoice(s). This is the first part. Next we have to understand what to do with the invoice Upwork issues for that 10% Service Fee upon your client's payment -you can see the invoice in your transaction history. If you have inserted your VAT number in your tax field, you could have noted that the invoice exhibits the writing "VAT Reverse Charged" [2] - in italian, "inversione contabile". You must integrate that invoice with IVA (22%) through the issuing of an "autofattura" [3] - Upwork is an extra-UE entity- and deposit it through F24 by the 16th of the following month.

Now, this is just a brief and general explanation of what you should do. This is not a "universal" explanation, in the sense that it could vary based on your fiscal framework. So, just use it as a stimulus to start your own research and, in the case that your accountant never talked to you about Intrastat, inversione contabile, autofattura/integrazione, MOSS and so on, consider the idea of changing him/her.

[1] https://it.wikipedia.org/wiki/Acconto_di_garanzia 
[2] https://support.upwork.com/hc/en-us/articles/211061278-EU-Value-Added-Tax-VAT-?flash_digest=f30a25bc...
[3] http://www.fiscomania.com/2015/09/operazioni-con-lestero-autofattura-e-integrazione/

[agiammaria]

I all i'm new on Upwork, i have finished my first work on this platform, and now arrive the problems about invoice.

First question i insert my vat number in my info panel but the system say "NOT APPROVED", i enter only the 11 number of my italian VAT, what's my error?

After this somebody help me to understand the question of Invoice, if you can in direct message ad in italian it's so easy.

Thaks All

Alessandro

[kochubei_valeria]

Hi Alessandro,

Sorry you ran into issues entering your VAT number. Your VAT number has to be entered in the format shown here. You can also visit this page to check if you VAT number is valid.

[gis91]

Hi Alessandro.

If your VAT number has not been accepted, there could be two major causes:

1) Wrong format: try to insert the "IT" prefix before your 11-number VAT-ID, for a total of 13 characters.
2) Your VAT number is not registered on VIES. You can verify your registration at the following link: https://www1.agenziaentrate.gov.it/servizi/vies/vies.htm

As for the invoices, my advice is to find a good acoountant. However, you can start studying the topic by yourself checking the results at the following link:
https://www.google.it/search?q=site%3Afiscomani.com+fatturazione&oq=site%3Afiscomani.com+fatturazion...

Cheers! 

[nvitucci]

Hello Giorgio,

I have a question about the invoice (actually about the "ricevuta", since I do not own a VAT code yet) to send to my clients. Say I agree on a price of $100 to be paid by a client: this means, at least for now, that I will get $90 as a payment for my work and $10 will be payed as a fee to Upwork. The question is: what amount should I write on the "ricevuta" I'll send to my client?

[Anonymous-User]

You have to charge 100 USD to your client and the 10 USD service fee are your expenses.

[nvitucci]

---

@Margarete M wrote:

You have to charge 100 USD to your client and the 10 USD service fee are your expenses.

---

 Hi Margarete,

thanks for your answer. Will I receive an invoice from Upwork for the 10 USD service fee?

[Anonymous-User]

---

@Nicola V wrote:

---

 Hi Margarete,

thanks for your answer. Will I receive an invoice from Upwork for the 10 USD service fee?

---

Hi Nicola,

Yes, at least this works very well.

[vladag]

Hi Nicola,

Yes, you will receive an invoice for the service fee which you can download from your Reports tab.

[saradz]

Hello!

I'm a new user, an Italian freelancer, and I'm going to do my first job on Upwork. I've read your discussion but I still have doubts. I am on the "regime they minimi", so I have a VAT number in Italy but I'm VAT exempted and I don't pay VAT on my invoices. I ask to my Italian colleagues in the same situation (or aware of this regime) if it is the case to give Upwork my Italian Vat number or is better to preceed without giving it and then just invoice the client after I get paid. What would you advise? Thank you!

[chiara-franzo]

Hi everybody! I was wondering about how to manage the invoice issue: I have no "partita IVA"/VAT number yet (I've just started freelancing) but I'm not sure it is ok not to send any documents to my Clients (in my case I would be supposed to issue a "ricevuta con o senza ritentuta d'acconto"). How do you manage this administrative part? I've asked to 3 accountants in Italy and I got 3 different answers, so that I'm very confused! Any help? Thanks 🙂 Chiara

[kochubei_valeria]

Hi Chiara,

I merged your post with a thread where this topic has been discussed by multiple freelancers from Italy and other EU countries. Feel free to review their replies and hopefully, you'll find the information you are looking for.

[sfrancescad]

Hi, Chiara.

Where can I find the posts you talked about?

I have some doubts about the payment of taxes in Italy for my jobs as a freelancer. 

Thanks. 

[gis91]

Hi, Chiara F. 🙂

You should issue a 'Ricevuta per Prestazione Occasionale':

- WITH 'ritenuta d'acconto' if the client resides in Italy AND is a 'sostituto d'imposta' (ex. art. 64 D.P.R. 600/73) - that is, if the client has a VAT number;
- WITHOUT 'ritenuta d'acconto' if the client resides outside Italy.

I'm not an accountant so, please, do your own research.

[marafx]

Most of my clients I discuss with them via Upwork board. if I issue a document like 'Ricevuta per Prestazione Occasionale' what would an american company or individual do with it? They don't  care about having such documents.

And so my income from Maria, JAne, and so forth how do I declare it? I keep the invoice  Upwork now provides... what value has such?

[gis91]

For what I can say, non-EU entities usually do not **Edited for Community Guidelines** about our invoices,. In fact, it is not rare that a non-EU entity refuses to accept our invoice/Prestazione Occasionale, unless we explain them the importance those documents have for us. 

And that's the crux of the matter: we are supposed to issue 'something' for our 'prestazioni di servizi', in spite of whether those documents have relevance for them or not.

On how you should declare your taxes, you'd be better to speak about it with your accountant - as with all your other questions/doubts, of course.

[gis91]

Hi, Chiara 🙂

You should issue a "RIcevuta di Prestazione Occasionale" anyway. The "ritenuta d'acconto" applies only if your client is a sostituto d'imposta - in simpler terms, if you client is Italian and has a VAT number. It does not apply whether your client is UE or Extra-UE based.

Hope this helps 🙂

P.S. I'm not an accountant. What I've just said is the result of conversations had with my accountant.

[marafx]

Hi
I just found this topic and I am italian.... and no VAT.  According to what you say i have to make my Ritenuta d'acconto. But and here comes the fun
- if the buyer is a company outside Italy you don't apply the Marca da bollo and hahahaha.... the sad thing comes here. you pay both  employer and  employee shares of the Ritenuta with the F24 module.

And if you run above 5000 euro lordo /year you need to pay also around 34% of the exceding amount to the INPS gestione separata.This will left you with enough money to  take the bus to the closest bridge and jump... end of story.
Italy? the worse taxation ever

[gis91]

Hi Antonia.

In a no-VAT regime, the Ritenuta d'Acconto does NOT apply to foreign (outside of Italy) entities, while the Marca da Bollo YES whenever the payment is equal or greater than 77,47€.

P.S. I'm not an accountant, so speak with your trusted one.

[marafx]

here
https://www.fiscomania.com/2014/05/lavoro-autonomo-occasionale-estero/

I quote from the link above: - is from 2017 that you pay the Marca da Bollo with USA? because there is the law against double taxation.
"

1. **Edited for Community Guidelines**

[marafx]

and here is even more recent

https://www.fiscomania.com/2017/01/prestazione-occasionale-guida/

[gis91]

Hi Antonia,

I'll try to detail my answer below. Again, I'm not an accountant, so you should take in consideration to speak with your trusted one.

1) Should you apply the 'Ritenuta d'Acconto' on your 'Prestazioni Occasionali' towards foreign entities? No, because you spoke about a 'company outside Italy', suggesting that the company is NOT a 'sostituto d'imposta'.

2) Should you apply the 'Marca da Bollo' on your 'Prestazioni Occasionali' towards foreign entities? Yes, because we're talking about 'Operazioni Fuori Campo Iva'.

See the table here:
https://www.agendadigitale.eu/documenti/fatturazione-elettronica/imposta-di-bollo-nelle-fatture-la-g...

[marafx]

Thank you Giorgio. I absolutely agree with you regarding the Bollo . And the ritenutta. 
What still  keeps us in a shady area is that Upwork still do not agree to  provide freelancers with a simple instrument: an invoice we should fill in with data ( except customer data) so that we can apply the correct regoime- 99% of  freelancers are in Forfettario regime we do not  do VAT on invoices so  our invoices should mention this. 
Aside of this, the numbering of the invoices is a total fantasu...
result?  Agenzia delle Entrate says: Upwork invoices can be used to anything but  taxation. They are just raw paper.
And if the state institute states so... Upwork should urgently revise it's policies. They lose a lot of  potential european clients like this

[nannisilvia]

Hi, Giorgio,

thank you for your helpful suggestions about Ritenuta d'acconto, that I'm planning to use just as temporary solution.

Do you usually send to Upwork the original document (with original Marca da Bollo) or do you send a copy of it?

Agenzia delle Entrate in Italy may control if you actually have applied the Marca on the document for Prestazione Occasionale, and they can ask you to pay a fine if not.

So I would keep with me original paper document and send a scan to Upwork.

Thank you for any help you can give me.

[uncleienk]

Hi guys!

I joined this discussion because I’m relatively new here on Upwork and I see it as a wonderful opportunity to work with people all around the globe and to find our own little freedom.

I’m also entering into the burocracy world (so, please, be patient) and, even if it’s a pity that a part of our online –little -earnings has to go, I don’t want to do something illegal without declare them!

I've read the messages but didn’t understand well what to do.

As person without the “Partita IVA”, can I just download the invoices into my Reports session and give them when I’ll do the “Dichiarazione dei redditi”? If the clients are not italians. And buy a "2 euro Marca da bollo" and put it on the invoice?

Thank you so much!

[tinamariac]

Hi everyone!

I see that this thread hasn't been updated for more than a year, but I believe Upwork has changed its policies since then in regards to invoicing. I read the entire thread from the beginning (2013, I think) but now I see that we have copies of invoices. I've also read this link which offered great insight: http://www.nomadidigitali.it/amministrazione-fisco-e-finanze/fatturazione-su-upwork-come-funziona/

According to that link, we should be invoicing Upwork directly, even though a few years ago this was not the case. I just started on Upwork this year, so can anyone confirm this? Also, I have a partita iva but it isn't saved on Upwork because I haven't registered with VIES yet. Has anyone had experience registering with VIES after already having worked on Upwork? Is it complicated?

I'm going to set up an appointment with my commercialista but wanted to check on here first so that I can have a better idea of things before I speak with her. 

Grazie everyone !

Tina

[sara_dam]

Hi Tinamaria,

I have the same problem
have you found a solution?

[marafx]

For Italy I advise using fiscozen- just google it.
90% of the VAt owner  freelancers in Italy use it. And they cost like 300 VAT included per year but you have it all: invoicing, consulting for  billing - it is not as simple as making only one invoice.... wish it would be.
For the forfetario regime if you go above 10k  invoiced per year you have some VAt to pay like 4% or something. I am starting with them so I expect to get some info soon

[ellenprior]

Hi Tinamaria, I'm based in Italy and want to take out a VAT number but first I need to understand better about the invoicing. I understand that I need to pay the VAT on Upwork service fee, but my tax advisor says that Upwork should be paying VAT on the remainder (my freelancer fee) and I see they don't do this - they send an invoice in my name to the client instead.  He says my invoice has to be addressed to Upwork for the entire amount (freelancer fee and service fee). How do I reconcile all this?  Is there ANY Italian freelancer with VAT number working in regime forfettario who can provide a sample invoice or some clarification? Or better still, can Upwork moderator step in and advise us all? 

Ellen

[marafx]

Hi Ellen. Untill you  provide Upwork with a valid VAt number they will keep asking for VAt 4% on the 20% fee or less you pay on every task. Once you'll have the VAt and added to Upwork, the VAt invoice will have a voice regarding reverse charge VAt- Upwork will pay the VAt towards the Eu organism- you must have a VAt and have been inscribed to VIES in order to work with foreign customers.

[ilariavalo]

Hello, I have the same problem. Have you found a solution?