FAQ: Italian Custom/Express Platform using a Direct Charge configuration for its Connected Accounts and charged fees stated on the Stripe Pricing Page

I’ve never received a VAT e-invoice before; why am I receiving one now?

Prior to 1 January 2023, our business structure was not subject to Italy’s e-invoicing requirements—which is why you have not received an e-invoice from us before.

Due to a change in our business structure, we now have a local presence in Italy, which makes us subject to Italy’s e-invoicing requirements. To comply with these requirements, we must issue e-invoices via Sistema di Interscambio (SDI) to all Italian businesses that use Stripe from 1 January 2023 onwards.  

As a Custom/Express Connect platform based in Italy, Stripe provides you with payment processing services subject to the fees displayed on the Stripe Pricing Page. Because you have selected a direct charge configuration for your connected accounts, we debit our Stripe fees from your connected account(s). To comply with Italy’s VAT requirements, however, we are required to collect VAT from you and issue an invoice for the services provided to your platform. We recommend that you consult with your tax adviser on your obligations with respect to your connected accounts.

I see that Stripe fees are being deducted from my connected account(s). Are you charging the same fees twice?

No. As you have contracted with Stripe for payment processing services, the invoice we have issued to you represents the Stripe fees that we have debited from your connected accounts and Italian VAT that we have debited from your account. We do not debit those same fees directly from your account. We also do not not debit the same VAT directly from your connected accounts.

If you would like to reimburse your connected accounts for Stripe fees, you can use the Send funds button in the Balance section.

Where can I see Stripe fees charged to my connected account in my Dashboard?

For connected account direct charge transactions, we debit Stripe fees from your connected account(s) on your behalf. The 22% Italian VAT due on this fee is debited from your account.  

Please refer to the connected account details page Payments section, where you can click on individual transactions for more details.

Once in the Payments section, you can click on the transaction for more details. You can see a breakdown of the Stripe fees debited from your connected account on your behalf by hovering your mouse cursor over the gray “info” icon next to the Fee amount.

Do I need to collect any e-invoicing details from my connected accounts?

We recommend consulting your tax adviser to better understand your obligations with respect to your connected accounts.