AI agents for business finance: what they can and can't do
What AI agents can do in bookkeeping, close, collections and compliance today, where a person must stay in charge, and how to judge a product.
The short answer
For a service to a business client in Nigeria, the Italian invoice carries the annotation "operazione non soggetta", citing article 21, paragraph 6-bis, letter b of DPR 633/1972, with the service under article 7-ter and Natura code N2.1. "Inversione contabile" (reverse charge) is the wording for EU business clients, not for Nigeria.
Why the wording matters
An invoice without IVA has to say why there is no IVA. The annotation tells the Agenzia delle Entrate which rule you rely on and tells the client how to read the document. Using the wrong phrase is one of the most common mistakes on invoices to Nigerian clients, because accounting software often defaults to the EU reverse charge text.
The wording, line by line
Euroconference News, setting out the rules for cross-border services from 1 July 2022, gives the treatment for a business client outside the EU:
- Annotation on the invoice
- "Operazione non soggetta" (art. 21, comma 6-bis, lett. b, DPR 633/1972)
- Territoriality reference
- Art. 7-ter DPR 633/1972 (service to a business established abroad)
- Natura code in the XML
- N2.1
- IVA amount
- Zero; no IVA line
- Recipient code
- XXXXXXX
A sample line you can adapt with your commercialista: "Operazione non soggetta ad IVA ai sensi dell'art. 7-ter del DPR 633/1972 – art. 21, comma 6-bis, lett. b, DPR 633/1972." Because your client reads English, add a translation beneath it: "Service supplied to a business established outside the EU; not subject to Italian VAT."
Reverse charge versus "non soggetta"
| Client | Annotation | Extra reporting |
|---|---|---|
| Business in an EU country | "Inversione contabile" | Listed on the Intra 1-quater form |
| Business outside the EU, such as Nigeria | "Operazione non soggetta" | Through the SdI with code XXXXXXX |
Both use Natura N2.1 in the XML, which is why software can confuse them. The text in the invoice is what differs. If your template says "reverse charge" for a Lagos client, change it.
Extra lines for a forfettario
If you are in the regime forfettario, your invoice also needs to make clear that you are not charging IVA because of the regime, and that no ritenuta d'acconto applies. Money.it notes that forfettari invoices are not subject to ritenuta d'acconto and advises telling clients in advance. Ask your commercialista for the exact text referring to the regime's law, and keep the non-EU annotation as well, because the two explain different things: one your regime, the other where the service is taxed.
Lines a Nigerian finance team will look for
The Italian annotation satisfies Italian rules; your client has its own. A Nigerian company that deducts withholding tax issues a receipt showing the gross amount, the tax deducted and the nature of the transaction, according to Mondaq's overview of the 2024 regulations. Help it by stating on the invoice:
- A short description of the service in plain English, such as "software development services, March 2026".
- The gross fee, so withholding is calculated on the right base.
- Whether the contract fee is gross or net of Nigerian withholding tax.
- Your bank details and the currency of payment.
A sample layout
| Invoice section | Example content (illustrative) |
|---|---|
| Supplier | Ada Okafor, Via Roma 1, Torino; P. IVA (your number) |
| Client | Example Ltd, Victoria Island, Lagos, Nigeria; Tax ID as supplied |
| Description | UX design services, 1 to 31 March 2026 |
| Amount | €3,000.00, IVA not applied |
| Annotation | Operazione non soggetta ad IVA, art. 7-ter e art. 21, c. 6-bis, lett. b, DPR 633/1972 |
| English note | Service supplied to a business established outside the EU; not subject to Italian VAT |
| Stamp duty | €2 stamp duty paid virtually |
| Payment | Currency, account details and due date |
The names and amounts above are invented; the annotation and references come from the sources listed. If you spot an error after the invoice has gone through the SdI, do not edit and resend the same number. Ask your commercialista how to correct it, usually with a credit note and a new invoice, so both appear in your records.
Common mistakes
- Writing "reverse charge" or "inversione contabile" for a Nigerian client.
- Writing "esente" (exempt) or "non imponibile" (zero-rated), which refer to other rules.
- Leaving the Natura code blank or using one meant for goods exports.
- Using the B2B wording for a private individual without checking the rule for private clients.
- Forgetting the €2 stamp duty on invoices above €77.47 without IVA.
Where Pryme fits
Pryme's invoicing lets you send Nigerian clients a payment request in the invoice currency, and the Finance agent can match each payment to its invoice for you to approve. See also whether you charge IVA to a client in Nigeria and the e-invoice fields. For the Nigerian side of withholding receipts, see withholding tax on invoices.
Questions people ask
What do I write on an invoice to a Nigerian company from Italy?
"Operazione non soggetta", citing art. 21, c. 6-bis, lett. b, DPR 633/1972, with the service under art. 7-ter and Natura N2.1, as Euroconference News sets out.
Is it reverse charge for a client in Nigeria?
No. "Inversione contabile" is for EU business clients. Non-EU clients get "operazione non soggetta".
What Natura code is used for a non-EU service?
N2.1, for services not subject to IVA under article 7-ter.
Do forfettari use the same wording?
Yes for the non-EU annotation and N2.1, plus a line about the regime and no ritenuta d'acconto; ask your commercialista for the exact text.
Sources
- Euroconference News: Forfettari e servizi con l'estero dal 1° luglio 2022 (7 Jun 2022) · accessed Oct 2026
- Money.it: Regime forfettario 2026, come funziona, requisiti, limiti e novità (Patrizia Del Pidio, updated 21 Oct 2026) · accessed Oct 2026
- Mondaq: An overview of the Nigerian Withholding Tax Regulations of 2024 (Jul 2024) · accessed Oct 2026
- Euroconference News: Operazioni con l'estero e fatturazione elettronica dal 1° luglio 2022 (8 Jun 2022) · accessed Oct 2026
This article is general information, not financial, legal or tax advice. Products described are provided under the terms on this site and are subject to regulation and eligibility.