What are the current Italian VAT (IVA) rates?

Italy has four active IVA rates as of 2024: the standard rate of 22% applies to most goods and services; a 10% reduced rate applies to hotel accommodation, restaurant meals, electricity, gas and many food products; a 5% reduced rate applies to social care services, certain medical products and baby food; and a 4% super-reduced rate applies to basic foodstuffs (bread, milk, eggs), books, newspapers, e-books and accessibility aids for disabled people. A technical zero rate also exists for intra-EU supplies and exports outside the EU.

How do I add IVA to a net price?

Multiply the net price by the IVA rate and add the result to the net price. For the 22% standard rate: a net price of 1,000 euros gives IVA of 220 euros and a gross price of 1,220 euros. This calculator does the arithmetic instantly for all four Italian rate bands.

How do I remove IVA from a gross (VAT-inclusive) price?

Divide the gross price by (1 + rate). For the standard 22% rate: 1,220 euros gross divided by 1.22 equals 1,000 euros net, so the IVA element is 220 euros. Never simply subtract 22% from the gross — that gives the wrong answer. This calculator applies the correct formula automatically.

Which goods use the 10% reduced IVA rate?

The 10% band covers hotel stays, restaurant and cafe meals, takeaway food, supplies of electricity and natural gas for domestic use, certain agricultural products including olive oil and pasta, and building work on existing residential properties. It also applies to some pharmaceutical products and medical devices not covered by the 4% super-reduced band.

What does the 4% super-reduced IVA rate cover?

The 4% band is reserved for socially essential goods and media. It covers basic food items (bread, cereals, pasta, milk, eggs, fresh vegetables, fresh fruit), books and newspapers in print and digital form (e-books and online news subscriptions), agricultural machinery used in primary production, and equipment and adapted vehicles for people with disabilities or severe impairments.

Is IVA the same as VAT?

Yes. IVA (Imposta sul Valore Aggiunto) is the Italian name for value-added tax and works identically to VAT in the UK or TVA in France. It is a consumption tax collected at each stage of the supply chain, with businesses reclaiming IVA on their purchases (input tax) and charging IVA on their sales (output tax). The net amount owed to the Agenzia delle Entrate is the difference between output and input IVA.

Italy VAT (IVA) Calculator

Italy’s value-added tax — officially IVA (Imposta sul Valore Aggiunto) — is governed by Presidential Decree 633/1972 and has been updated many times since Italy joined the EU. Today four non-zero rate bands coexist alongside the technical zero rate, making it one of the more nuanced VAT systems in Europe. This calculator lets you move instantly in either direction: start from a net (excl. IVA) price and find the gross, or start from a gross (incl. IVA) price and recover the net — for any of the four rate bands.

How IVA works in Italy

IVA is charged at every link in the supply chain. A manufacturer charges IVA on sales, deducts IVA already paid on raw materials and then remits the difference to the Agenzia delle Entrate (Italy’s revenue agency). End consumers cannot reclaim IVA, so the full tax lands on them. Businesses registered for IVA quote prices scorporato IVA (net of tax) on B2B invoices; consumer-facing retailers almost always quote IVA inclusa (tax inclusive).

The standard rate of 22% has applied since 1 October 2013, raised from 21% as part of budget consolidation. The reduced and super-reduced bands have existed in various forms since the tax was introduced in 1973, adjusted repeatedly to keep food, housing, media and social services more affordable.

The four rate bands

Rate	Italian name	Key goods and services
22%	Aliquota ordinaria	Electronics, clothing, vehicles, most professional services
10%	Aliquota ridotta	Hotels, restaurants, electricity, gas, select food products
5%	Aliquota ridotta	Social care, baby food, feminine hygiene products
4%	Aliquota super-ridotta	Bread, milk, books, newspapers, accessibility equipment
0%	Non-imponibile	EU exports, intra-EU supplies (shown for reference)

Worked example — adding IVA at 22%

A Milan software consultant invoices a client for a project at a net fee of €5,000. At the standard 22% rate:

IVA amount: €5,000 x 0.22 = €1,100
Gross total: €5,000 + €1,100 = €6,100

The client pays €6,100 but can reclaim €1,100 as input IVA if they are IVA-registered.

Worked example — removing IVA at 10%

A tourist sees a hotel price listed at €330 per night IVA inclusa at the 10% rate. To find the net room rate and the tax element:

Net: €330 / 1.10 = €300.00
IVA (10%): €330 - €300 = €30.00

Note that removing the 10% rate is not the same as subtracting 10% of the gross (which would incorrectly give €33 of IVA). The correct formula divides by 1.10.

How this calculator handles the maths

Adding IVA (net to gross):

Gross = Net x (1 + rate) and IVA amount = Net x rate

Removing IVA (gross to net):

Net = Gross / (1 + rate) and IVA amount = Gross - Net

All arithmetic is carried out in your browser using JavaScript floating-point, then rounded to two decimal places for display. No figures are transmitted to any server. The tool is suitable for quick checks and invoice preparation but is not a substitute for professional tax advice on complex or cross-border transactions.

Every calculation runs entirely in your browser — no amounts are uploaded or stored.