Newsletter Pharma, Healthcare and Life Sciences


The Italian Tax Authorities clarify VAT treatment of price adjustments for API sales

In private ruling No. 529 of 6 August 2021, the Italian Tax Authorities clarified the VAT treatment of certain price adjustments, agreed by two pharmaceutical companies in relation to the sale of an Active Pharmaceutical Ingredient (“API”). The legal and tax advisors of our Pharma, Healthcare and Life Sciences Business Unit review this private ruling, in the framework of the contractual arrangements between the relevant companies.