E-invoicing becomes mandatory for B2B transactions between San Marino and Italy

July 23, 2021

Companies from San Marino will use the Italian e-invoicing system, Sistema di Interscambio (SdI), when issuing invoices to Italian business customers. This change will be implemented later this year, and will become an obligation, starting from July 2022. This was decided in a joint agreement between the Italian Ministry of Economy and Finance and the San Marino government.

When will the changes be implemented, and who do they concern?

The transition period will begin on October 1, 2021. 

On July 1,  2022, e-invoicing will be mandatory for San Marino businesses who have B2B transactions with Italy. Companies who wish to make the switch earlier than the official July 2022 deadline, will be able to do so, starting from October. 

Italian businesses who have customers in San Marino will also be able to use the Italian electronic invoicing system, Sistema di Interscambio (SdI). 

What’s the Italian e-invoicing system like? 

Italy was the first EU country to deploy a real-time e-invoicing system that uses a clearance model. In it, the supplier of goods or services needs to submit each invoice for approval to the Italian administration (in this case, Agenzia delle Entrate), before they can charge the buyer. Once the administration checks the invoice and makes sure it meets all requirements (regarding its formatting and content), it gives their approval. The invoice can then be sent to the client, who can see that the invoice has already been automatically checked by the tax administration. This gives Italian tax authorities instant visibility into the movement of money between businesses, and also into the VAT that is collected and needs to be remitted. 

San Marino companies will be subject to the same invoicing procedures, when dealing with Italian B2B customers.

Some South American countries use this model, together with Russia. To make e-invoicing mandatory, Italy needed the EU’s authorization, which was initially granted until the end of 2021, but will probably be extended to 2024. As the Italian model proved to be successful, other EU countries, such as France and Poland; are looking into implementing a similar system. This is also one of the reasons behind San Marino’s decision, beyond the close economic ties between the two countries.

Fonoa Automated Real-time Invoice Reporting Solution

We are aware that new regulations have a substantial impact on how businesses operate. That’s why we built Fonoa Reporting, a solution that automatically reports sales transactions to tax authorities around the world, including Italy.



If your business is affected by real-time invoice reporting obligations anywhere in the world, reach out to us, and we will help you automate the invoice reporting process.