Market Access

INVOICING

GME, given "g" as day related to the CIC market session, on day "g+1" makes available to each seller, for all transactions concluded, a communication with proforma invoice related to the sales made by the same, containing all the information necessary for preparation of the invoice to be issued to GME.

On day "g+2", GME issues the invoices related to the session concluded on day "g" to the purchasing Market Participants.
Within the same day, GME receives from the sellers the passive invoices related to the session concluded on day "g".

Participants, both buyers and sellers, each quarter, receive an invoice by GME, within the eight working days of the quarter following the one in which the sessions were held, the fees due for the services provided by GME for trading on MCIC.

The exchange of communications related to proforma invoice and invoices between GME and Participants takes place through the provision on "SetService" IT platform. Under the conditions set forth by the legislation in force from time to time on electronic invoicing and of the related implementing provisions, the invoices are transmitted to GME and participants through the Exchange System (SDI).

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TAXATION

The purchases and sales on the CIC market are qualified services, their VAT chargeability depends on the place where the purchasing participant is established.

Transactions with counterparties established in Italy will be invoiced by GME to the Italian Market Participants or by the latter to GME:

• without application of VAT if the subject of the sale are CICs issued for consumption of biomethane. In this case, the purchaser applies the reverse charge mechanism;
• with application of the ordinary VAT rate if the subject of the sale are CICs issued in relation to biofuels other than biomethane.

The VAT treatment of the following CIC types is shown below:
Biofuel CIC:

• if issued in relation to the production of biomethane, the VAT will be paid with the reverse charge mechanism;
• if issued in relation to biofuels other than biomethane, VAT will be paid according to the ordinary methods;
• CICB_MTAV advanced biomethane: VAT will be paid with the reverse charge mechanism;
• CIC_AV other advanced biofuels: VAT will be paid according to the ordinary methods.

Sales to foreign EU participants are made without the application of VAT if the purchaser is a taxable person in his own country.
In this case, it is the participant that applies the reverse charge.

Sales to non-EU participants are made without application of taxes. 

In case of purchase from both an EU and non-EU participant, GME receives an invoice without VAT and pays the VAT in Italy through the reverse charge.

The list and description of the VAT codes used by GME for invoicing payoffs and fees are available here.

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GME'S FEES

GME's fees are qualified as general services and their VAT chargeability depends on the place where the customer has established his/her/its business.

Therefore, GME shall issue an invoice with VAT at the standard rate, if the customer has his/her/its business residence in Italy.
If the customer declares a status of "esportatore abituale" (exporter on a permanent basis) by submitting a Statement (the so-called "dichiarazione d’intento"), GME shall issue an invoice without VAT.

GME, on the other hand, issues an invoice without VAT when the customer is a taxable EU participant in its own Country.
In this case, it is the participant that applies the reverse charge.

In case of a non-EU participant, GME issues an invoice without VAT.

Participants, based in Italy, for which the VAT payment system called ”split payment“, are required to submit to GME a specific self-certification made pursuant to Article 47 of the Presidential Decree 445 of 28/12/00 certifying its status.
An example of a declaration for the status of participant subject to split payment can be found here.

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