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Employment Legal Business EmploymentMore and more Spanish companies move workers temporarily to other countries to provide services to subsidiaries, clients or specific projects. However, a transnational movement of workers to Italy involves a series of labor, fiscal and administrative obligations that must be managed correctly to avoid sanctions and legal risks.
In this article we explain what this type of travel services is and what are the main obligations that both the company and the worker must take into account.
Transnational posting allows a Spanish company to temporarily send one of its workers to Italy to provide services for another Italian entity, without implying a new employment relationship with the receiving company.
In this case:
This figure is very common in international business groups, implementation projects, technical assistance, supervision of operations or provision of specialized services.
For the transfer to be valid in Italy, two fundamental requirements must be met:
The posting must be of a limited duration and cannot become a permanent provision of services in Italy. Therefore, it is necessary to delimit in advance How much would be the total length of the worker’s stay?.
The Spanish company must maintain a real business interest in the posting of the worker.
Likewise, it should be noted that companies have some essential obligations to comply with when they want to move their employees to the Italian country and among the most important are:
Before the start of the posting, the company must make a telematic communication using the “UNI_DISTACCO_UE” form through the portal of the Italian Ministry of Labor. This communication must be carried out within 24 hours prior to the start of work activity in Italy.
During the posting, the worker must benefit from the working conditions provided for by Italian regulations and by the collective agreements applicable in Italy (CCNL), provided that they are more favorable than those in Spain.
Among other matters, this affects:
The displaced worker is subject to Italian regulations on the prevention of occupational risks and safety at work.. The company must guarantee compliance with the training, prevention and protection obligations required by Italian legislation.
Aspects related to the employee’s accommodation and all expenses arising from their stay in the country must also be clearly established. Therefore, it is important to clearly regulate:
All of this must be correctly documented to avoid labor and tax contingencies.
When the posting is temporary—normally less than 24 months—the worker can continue contributing in Spain.
For this, It is mandatory to request the A1 certificate from the Spanish Social Security, a document that certifies that the worker is still subject to the Spanish Social Security system.
Italian regulations require appointing a representative or reference in Italy in charge of:
This obligation is especially relevant in the case of labor inspection.
Every foreign worker who carries out work in Italy, even temporarily, must obtain an Italian tax code. This identifier It is necessary for multiple administrative and fiscal procedures.
The company must analyze the obligations before the INAIL, Italian body in charge of coverage of occupational accidents. In many cases, it will be necessary to open a specific insurance position, especially when the risk level of the activity in Italy is different from that of the Spanish company.
In the construction sector there may be additional obligations related to the Cassa Edile. When an equivalent protection system does not exist in the country of origin, the company must open a position in this Italian organization.
At a tax level, it is also essential to make things clear, but this is something that can vary depending on the amount of time the person is going to stay in the country.
When the worker stays less than 183 days in Italy within a 12-month period, the income could be taxed only in Spain, provided that:
To calculate the 183 days, the following must be computed:
Even if the worker does not physically remain in Italy during all those days.
If the worker exceeds 183 days, he or she can acquire tax resident status in Italy.
Then:
The Convention to avoid double taxation between Spain and Italy establishes mechanisms to prevent the worker from being taxed twice on the same income.
The Spanish company can also assume tax obligations in Italy derived from the displacement.
Depending on the structure of the displacement, it may be necessary:
From January 1, 2025, personnel movements are subject to VAT in Italy in accordance with Decree Law 131/2024. This modification eliminates the exemption that previously existed on certain reimbursements of costs between the Spanish company and the Italian company.
The Agreement between Spain and Italy allows the application of tax credit mechanisms to avoid international double taxation. This allows taxes already paid to be deducted in a country in the other, avoiding duplicate taxation.
Incorrect displacement management can generate:
Therefore, it is essential to previously analyze each specific case and correctly coordinate the labor, fiscal and immigration aspects before the start of the displacement.
At UR Global we help Spanish and international companies manage transnational movements of workers to Italy, coordinating all labor, fiscal and administrative obligations necessary to guarantee regulatory compliance.
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