Accounting

Accounting Obligations

Italian companies and Italian branches of foreign enterprises are required to keep the following pieces of accounting books:

  • Journal book
  • Inventory book
  • VAT registers
  • General ledger book
  • Register of fixed assets
  • Goods-in-stock book

Italian Companies are required to maintain copies of all business related documents sent and recieved.

 

Archiving of Accounting Records

Italian companies and Italian branches must keep the accounting books and related accounting documents for a period of 10 years.

 

Accounting functions

It is possible to have the accounting function for Italian companies and Italian branches outsourced in another country, but the accounting functions have to comply with Italian Law. Hard copies must be kept in Italy and ccounting records must be available and auditable in Italy on request.

Statutory Financial Statements

Italian companies are required to draw up annual Startory Financial Statements including:

  • The Profit & Loss Account
  • The Assets & Liabilities Account
  • The Cash Flow Statement
  • Explanatory Notes

For Smaller Companies & Micro Companies there have simplified formats of Statutory Financial Statements.

 

For more information regarding Accounting in Rome, refer to the PricewaterhouseCoopers Report, ‘What About Italy?’ ‘Chapter 12. Accounting and tax compliance obligations’. Click here to download the Report.