Italy E-Invoicing — FatturaPA and SDI Compliance

Italy pioneered mandatory B2B electronic invoicing in Europe with the launch of FatturaPA for public administration in 2014 and expansion to all B2B transactions in January 2019. The system routes all invoices through the Sistema di Interscambio central hub operated by the revenue agency.

FatturaPA requires businesses to generate invoices in standardized XML format and submit them to SDI for validation and delivery. The SDI validates invoice structure, checks digital signatures, and routes invoices to recipients based on codice destinatario or PEC email addresses.

The mandate covers all VAT-registered businesses in Italy for domestic transactions. Cross-border invoices follow different rules. The system provides legal certainty with timestamped delivery receipts and centralized storage of all invoice data for tax authority access.

The Sistema di Interscambio is the central platform managing all FatturaPA invoice exchanges in Italy. It operates as a clearance hub receiving invoices from issuers, validating content and format, and delivering to recipients through their designated channels.

Businesses submit invoices to SDI via web services, PEC certified email, or accredited service provider portals. SDI performs technical validation checking XML schema compliance and mandatory field presence. It also validates digital signatures using qualified certificates from approved certification authorities.

After successful validation, SDI routes the invoice to the recipient codice destinatario or PEC address. Delivery receipts are returned to the issuer confirming invoice acceptance or providing rejection reasons. SDI stores all invoices enabling tax authority audits without requiring direct business system access.

The FatturaPA XML schema defines mandatory and optional fields for electronic invoices. The format includes issuer and recipient identification with Partita IVA tax codes, invoice header data, line item details with descriptions and amounts, tax breakdowns, and payment terms.

Multiple schema versions exist with progressive enhancements. Current implementations use the latest schema which supports additional document types beyond standard invoices including credit notes, proforma, and self-billing scenarios.

The XML structure follows hierarchical organization with header section containing parties and dates, body section with line items and totals, and attachments section for supporting documents. Validation rules enforce field formats, cross-field consistency, and calculation correctness.

The codice destinatario is a 7-character alphanumeric code that identifies where SDI should deliver the invoice. Recipients register their delivery channel with the revenue agency and receive a codice that must be included in all invoices addressed to them.

The codice routes invoices to recipient systems integrated with SDI or to service provider platforms managing invoice reception. If a business does not register a codice, their certified PEC email address is used for delivery instead with XML attachment.

Generic codes exist for scenarios where recipients have no registered channel. The default code routes invoices to recipient personal SDI storage accessible via the revenue agency portal. Recipients are notified of invoice availability and must retrieve from central storage.

Every FatturaPA invoice must include a qualified digital signature created using certificates issued by Italian certification authorities. The signature ensures invoice authenticity, integrity, and non-repudiation meeting European eIDAS regulation requirements.

Businesses obtain qualified certificates from accredited providers. The certificate contains the legal representative identification and company details. Private keys must be stored securely with hardware security modules recommended for high-volume issuers.

SDI validates certificate chains during invoice processing. Expired or revoked certificates cause immediate rejection. Certificate management including renewal before expiry is critical to maintain uninterrupted invoice issuance capability.