In Italy, ABOs are legally required to open a Partita IVA (VAT number) if they earn more than €6,410.26 gross in a calendar year. This obligation applies regardless of residency status if the individual is registered as an Italian citizen.

Income Threshold and Bonus Payment Restrictions

Once an ABO’s earnings approach the €6,410.26 threshold, Amway will automatically block bonus payments until a valid VAT number is provided.

If the income does not exceed the threshold by the end of the calendar year, any blocked bonuses will be released automatically at the beginning of the following year.

Special Considerations for Residents in Tax-Free Zones

Even for individuals residing in a tax-free zone, the obligation to open a Partita IVA still applies if they are registered as Italian citizens and their income exceeds the €6,410.26 limit.

How to Open a VAT Number

There are two ways to open a Partita IVA:

1. Independently, on your own.

2. Through “Service Point”, an agency partnered with Amway since January 2023.

If you choose the Service Point option:

• The agency charges an annual fee of €210, which is deducted from Amway Rewards.

• You can contact them via email at: amministrazione@servicepointsas.com.

Once your VAT number is active, it is your responsibility to inform Amway immediately.

Closing Your VAT Number

If you close your VAT number after exceeding the income threshold, even once, Amway will not be able to resume paying bonuses until you open a new Partita IVA.

However, if you resign and remain inactive for one full year, you may rejoin Amway without needing a VAT number, provided you stay below the income threshold going forward.

Transferring Your ABO Code

You may transfer your ABO code to another individual who does not have a VAT number, but only if their projected income remains below €6,410.26 for the year. If the new ABO is expected to earn more, they must also open a VAT number.

Invoicing Requirements

ABOs may issue invoices using either their Codice Fiscale (tax identification number) or their Partita IVA, but not both simultaneously.

Consequences of Not Informing Amway About VAT Closure

If you close your VAT number and fail to inform Amway:

• Your invoices will be rejected.

• The Finance Department will investigate your case.

• If it is determined that your business cannot legally operate without a VAT number, your bonuses will be blocked, and you will be notified.

If the VAT is not reopened within 30 days, your ABO contract may be terminated.

Informing Amway in Advance

If you plan to close your VAT number, inform Amway in advance. Amway will assess whether your business can legally continue without it.

• If your business is allowed to operate without a VAT, you may remain active and continue placing orders.

Important Reminder

Amway Customer Service cannot provide tax advice.
For any personal or specific tax-related questions, you must contact a qualified tax advisor or your local tax office.