Committee for Fiscal Neutrality in the Healthcare, University and Research Sectors

Our goal is to stimulate reflection and debate on the impact of VAT in sectors crucial for the country’s development.

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VAT Adjustment

Containing operating costs and improving competitiveness

Fiscal Equity

Promoting a fairer and more transparent tax system

Citizen Rights

The right to care according to the best available methods.

Encouraging Reflection and Debate on VAT's Impact

The Committee for Fiscal Neutrality aims to stimulate reflection and debate on the underexplored topic of VAT’s impact in sectors crucial to our legal system. The current VAT regime significantly limits available resources and hinders the transformation of entire sectors, especially healthcare, universities, and research.

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VAT Exemption and Its Consequences

Introduced during a time of low technological prevalence and predominant self-production by dedicated organizations, VAT exemptions were initially a significant benefit. However, this benefit came with the inability to deduct VAT on the purchase of goods and services.

Today, the growing need for advanced equipment and machinery, often procured through diverse contractual arrangements, has negated the maximum benefit of exemptions. This has led to distortions in fiscal burdens and organizational decisions, particularly in the healthcare sector.

Impact on the Healthcare Sector

Hidden VAT negatively affects the healthcare sector both in investments—where its incidence now reaches 22% for technologically advanced equipment—and in ongoing operations, where it exceeds reduced VAT rates.

Its impact grows with the introduction of technology and outsourcing, particularly burdening centers of excellence.

Committee Objectives

The Committee aims to encourage adjustments to the VAT regime to positively address interconnected objectives.

The citizen’s right to care using the best available methodologies, in line with constitutional provisions.
Structural containment of operational costs through increasingly efficient processes for the entire socio-economic system.
Support for improving international competitiveness in the sector and related production chains (e.g., attracting international service users, students, and researchers; spreading high-value technological production, pharmaceutical systems, and care models internationally).

Hidden VAT: How to Gather More Resources for the National Health Service?

20 February 2024

Screen Video Evento "Sanità e neutralità dell'IVA"

Healthcare and VAT Neutrality

14 February 2022

Resources

Council Directive (EU) 2022/542 of 5 April 2022 amending Directives 2006/112/EC and (EU) 2020/285 as regards rates of value added tax.

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Council Directive 2006/112/EC of 28 November 2006 on the common system of value added tax

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Establishment and Regulation of Value Added Tax in Italy. Decree of the President of the Italian Republic of 26 October 1972, No. 633

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Raising Awareness and Reform

The Committee seeks to raise awareness among scholars, professionals, and policymakers regarding the urgent need for VAT regime reform to strengthen the system’s fiscal neutrality while remaining consistent with the original exemption objectives.

The EU Council has already adopted a directive allowing Member States to revise the system of reduced VAT rates. This directive, in particular, permits exemptions with the right to deduct VAT on the purchase of goods and services.

Based on discussions and studies conducted over the years, this new EU regulatory development could provide an immediate solution to the aforementioned problems. The Committee intends to continue studying and quantifying the hidden VAT phenomenon, designing potential legislative transformations in Italy and the EU in close collaboration with sector operators.

Contacts

For any information or request, please fill out the form. You will be contacted as soon as possible. Thank you.