Italy has a standard value added tax (VAT) rate or IVA of 22%. There are two reduced rates on VAT. 10% VAT is applied on pharmaceuticals, passenger transport, hotels, restaurants. Highly reduced rate of 4% is applied on food, medications and books.
Italy has a standard value added tax (VAT) rate or IVA of 22%. There are two reduced rates on VAT. 10% VAT is applied on pharmaceuticals, passenger transport, hotels, restaurants. Highly reduced rate of 4% is applied on food, medications and books.
Italian VAT system follows European Union value added tax regime. Value Added Tax also known locally as Imposta sul Valore Aggiunto (IVA) was first implemented in the year of 1972.
Find the VAT price and net price in Italy (GST % is 22) for an amount of 25000 €
Solution :
GST % = 22
Amount = 25000
Step 1 :
GST Price = (25000 * 22 ) / 100
= 5500 €
Step 2 :
Net Price = 25000 + 5500
= 30500 €
Hence the VAT Price is 5500 € and Net Price is 30500 €
Solution :
GST % = 22
Amount = 25000
Step 1 :
GST Price = 25000 - (25000 * ( 100 / (100 + 22)))
= 25000 - (25000 * 0.82)
= 25000 - 20491.8
= 25000 - 20491.8
GST Price = 4508.2 €
Step 2 :
Net Price = 25000 - 4508.2
= 20491.8 €
Hence the VAT Price is 4508.2 € and Net Price is 20491.8 €
Italian VAT system follows European Union value added tax regime. Value Added Tax also known locally as Imposta sul Valore Aggiunto (IVA) was first implemented in the year of 1972.
