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VAT numbers · Flat-rate scheme
Flat-rate VAT number in Turin
A flat-rate VAT number in Turin, a partita IVA (Italian VAT number) opened under the regime forfettario (the flat-rate scheme for the self-employed), is a straightforward way to start a business: one single tax on your revenue, no VAT on your invoices, reduced bookkeeping. Here you will find who it suits, how it is opened, what you pay and how the practice follows it through the year, from the choice of the ATECO code (the Italian classification of business activities) to the income tax return.
01 · The right profile
Who the flat-rate VAT number in Turin suits
The flat-rate scheme works well when the costs of the business are low compared with its revenue, because expenses are not deducted one by one: income is calculated by applying a fixed coefficient to revenue. In Turin these are the profiles we see most often.
Artisans and small traders
Plumbers, beauticians, hairdressers, market traders, small neighbourhood shops: the flat-rate scheme holds up well as long as purchases carrying VAT stay modest.
People starting from scratch
For the first five years of a new business the tax drops to 5%, provided you are not carrying on work you previously did as an employee or under another partita IVA.
People who also have a job
You can open a flat-rate partita IVA while remaining an employee, within the income limit set by law and with a ban on invoicing your own employer. See partita IVA and employment.
People who invoice private clients
With no VAT on the invoice the final price stays lower: a concrete advantage for those who work with families and individuals, less relevant for those who invoice companies.
People who want few formalities
No VAT registers, no periodic VAT settlements, no sector studies: one tax return a year and invoices to keep in order.
The flat-rate scheme does not suit everyone: those with high costs, investments carrying VAT or many personal deductions to recover may pay more than under the ordinary regime. The page on when the flat-rate scheme pays off gives you the method for making the comparison with your own numbers.
02 · The conditions
The requirements of the flat-rate scheme
The flat-rate scheme is a natural regime: if you meet the requirements you enter it when the partita IVA is opened, with no application. The conditions need checking every year, because they are lost when a threshold is exceeded.
- Revenue or fees for the previous year within the legal threshold, currently set at €85,000.
- Spending on employees and collaborators within the annual limit set by the rules.
- No interest in a partnership or professional association, and no control of an SRL (Italian limited company) carrying on an activity related to yours.
- Employment or pension income for the previous year within the limit set by law, unless the employment has ended.
- No special VAT regime (for example agriculture, publishing, travel agencies) for the same activity.
- Residence in Italy, or in another European Union country with at least 75% of your income produced in Italy.
When a requirement is no longer met, the scheme ends from the following year; above a certain level of revenue the exit is immediate, with VAT to be charged already in the current year. The details are on the page about leaving the flat-rate scheme.
03 · In practice
How to open a flat-rate VAT number in Turin
The opening itself is an online filing that takes a few days. What matters are the choices made beforehand, because some of them are awkward to change later.
The conversation
We start from what you will actually do: from there come the ATECO code, the profitability coefficient and the pension fund. The three choices that decide how much you will pay.
The pension fund
Professionals without a fund of their own go into the INPS Gestione Separata (the separate social security scheme of INPS, the Italian social security institute); artisans and traders go into their respective schemes, with registration at the Turin Camera di Commercio (Chamber of Commerce) and the option of applying for the contribution reduction available to flat-rate taxpayers.
The online opening
The start-of-activity form is sent to the Agenzia delle Entrate (the Italian Revenue Agency) by the practice. For businesses, the Comunicazione Unica (single online start-up filing) opens the partita IVA, the Registro Imprese (Companies Register) entry and the INPS position in one step.
Local formalities
Many commercial and craft activities need a SCIA (certified notice of start of activity) at the one-stop shop of the Comune di Torino, or of the town in the ring around the city where you open. Businesses also need a PEC (certified email address) and a digital signature.
The first invoice
The correct format for the flat-rate scheme is set up: no VAT, the exemption wording, the €2 stamp duty when the invoice exceeds €77.47, and electronic transmission to the SdI (Sistema di Interscambio, the Revenue Agency's invoice exchange system).
Before you open
A few questions to answer calmly.
- Will my clients be companies or private individuals?
- How much will I spend on materials, equipment and collaborators?
- Do I already have a job or a pension?
- Do I hold shares in any company?
04 · What you pay
What you pay with a flat-rate VAT number
Taxable income is not revenue minus costs, but revenue multiplied by the coefficient for your ATECO code. On that income, after deducting the contributions paid, a single substitute tax is applied in place of IRPEF (Italian personal income tax) and its surcharges.
- Substitute tax at 15% on taxable income; at 5% for the first five years of a new business, where the conditions are met.
- INPS contributions: in the Gestione Separata they are calculated as a percentage of income; artisans and traders pay a fixed amount plus a percentage above the minimum threshold, with the 35% reduction on request.
- No VAT to pay over and no withholding tax on the invoices you issue; VAT on your purchases remains a cost.
- No regional or municipal surcharges: in Turin that is a difference you notice. The full calculation is on the page about the flat-rate scheme in Turin.
| Activity | Profitability coefficient |
|---|---|
| Professional, scientific and technical activities, healthcare, education | 78% |
| Construction and real estate | 86% |
| Trade intermediaries | 62% |
| Wholesale and retail trade | 40% |
| Accommodation and food services | 40% |
| Other economic activities | 67% |
An example in round numbers: a professional with €30,000 in fees has a flat-rate income of €23,400 (78%); after deducting the contributions paid, the tax is 15% of what remains, or 5% in the first five years. We do the exact calculation together on your numbers, before opening.
05 · The calendar
The first year with a flat-rate VAT number
The flat-rate scheme has few formalities, but they have precise dates. Clients followed by the practice receive a reminder before each deadline, with the calculation already done.
- Electronic invoices sent to the SdI, with stamp duty where due and compliant digital storage.
- Contributions: quarterly for artisans and traders, with balance and advance payments through the tax return; in the Gestione Separata everything goes through the tax return.
- Substitute tax: balance and first advance payment at the end of June, second advance payment at the end of November, from the second year.
- Income tax return with the section dedicated to flat-rate taxpayers, together with any 730 (the simplified tax return for employees and pensioners) for your spouse or income from property.
- Threshold check halfway through the year: if revenue is running high, we assess in good time what changes.
- Annual chamber of commerce fee for businesses registered with the Turin Registro Imprese.
What the practice does
Your flat-rate scheme followed all year round, not only in June.
- Setting up electronic invoicing
- Calculating taxes and contributions, F24 forms (the Italian tax payment form) ready to pay
- A reminder before every deadline
- Income tax return and check of the requirements
- Answers by email, phone or WhatsApp during the year
06 · Where and how
The flat-rate scheme followed by the practice in Turin
The practice is in Pozzo Strada, at via Sant'Antonino 52, a few minutes from the metro station. We work by appointment, at the office or by video call: for a flat-rate partita IVA almost everything is done remotely, with documents sent by email and a conversation when something needs deciding.
We follow flat-rate VAT numbers in every district of Turin and in the towns around the city, from Collegno to Moncalieri, from Rivoli to Settimo Torinese: the pages on the areas served describe what we most often find ourselves doing in each one. The quote is in writing and arrives before any work begins; when the flat-rate scheme is not the right choice, we say so at the first conversation.
Frequently asked
The questions that keep coming up
How much does it cost to open a flat-rate VAT number in Turin?
The opening itself involves no fixed charges to the Agenzia delle Entrate: the start-of-activity notice is free. For businesses there are the secretarial fees and the annual fee of the Turin Camera di Commercio, plus the PEC and the digital signature.
The practice's fee for the opening and for the year's management is put in writing in the quote, before any work begins, according to the type of activity and the volume of invoices.
Can I open a flat-rate VAT number if I am an employee?
Yes, if your employment income for the previous year stays within the limit set by law and if your contract does not forbid it. You cannot invoice your own employer, nor anyone who was your employer in the previous two years.
Contributions and tax are paid only on the self-employed activity; your employer keeps withholding IRPEF from your salary as before.
Does the 5% apply to everyone for the first five years?
It applies to those starting a genuinely new activity: it must not be the continuation of work previously done as an employee or self-employed person, and in the three years before you must not have carried on a business or professional activity.
If the conditions are met, the tax stays at 5% for five tax years, then moves to 15%.
What happens if I exceed the €85,000 threshold?
If revenue exceeds the threshold but stays below the higher limit set by law, the flat-rate scheme ends from the following year. If it also exceeds that limit, the exit is immediate: VAT has to be charged already in the current year and the bookkeeping changes straight away.
This is why we check revenue halfway through the year: with a little notice, the move to the ordinary regime is planned without surprises.
Do I need an accountant for a flat-rate VAT number?
The law does not require one. In practice the initial choices (ATECO code, pension fund, requirements), the calculation of taxes and contributions and the income tax return are the points where a mistake costs more than the service.
A flat-rate scheme followed by the practice costs you little in terms of your own time: invoices in order, deadline reminders, F24 forms ready and one tax return a year.
Let's talk
Thinking of opening a flat-rate VAT number in Turin?
A half-hour conversation, at the office or by video call, is enough to work out whether the flat-rate scheme is right for you and what you need to get started. The quote arrives in writing before any work begins.