How to create a request for payment after a prestazione occasionale.
If you are reading this, you are fiscally resident in Italy but do not have a Partita Iva.
Consequently, your work on any Smarter English project is considered to be a prestazione occasionale.
As with any prestazione occasionale, your total pay is subject to a 20% withholding tax, which Smarter English pays to the friendly Italian tax authority on your behalf.
Such is life.
But we have some good news:
To reduce the amount of tax withheld, you can present receipts for travel expenses, food purchases and other agreed expenses together with your request for payment.
These documented expenses are considered “spese anticipate” and are not subject to the withholding tax.
Example.
We agree to pay you €500 for teaching services plus €300 in travel expenses. (€800 total).
But you have receipts documenting train and bus travel expenses totalling €200.
Only the difference (€600) is subject to the 20% withholding tax.
Creating the document
When creating your request for payment you should include an itemised list of the documented expenses under the heading: “Spese anticipate ex art 15 DPR 633/72”.
We have a handy template to help you produce your payment request:
And we have a handy calculator (in case maths isn’t your forte)
Of course if you still have questions, your local tax advisor will surely be able to answer them.