INTERNATIONAL LOCAL REQUIREMENTS EXPLORATORY QUESTIONAIRE

Please list the country that this questionaire refers to here ITALY

Aim of Exercise
As part of the R12 Oracle re implementation, a key exercise is being undertaken to establish any differences
in Statutory reporting between US and local countries can be identified. The Aim of
of this is to understand the differences that exist and ultimately develop processes
in Oracle that will assist each country in producing Stautory reporting from Oracle.
Each Tab in this questionaire, as detailed below, has a list of questions devised to try and understand
your reporting needs in order to enable this to happen. Please provide as much information
as you can as this will help in developing robust system changes that will support the
localised country reporting requirements.

CONTENTS INDEX
QUESTIONS

1 Chart of Accounts C1-C3

2 Statutory Accounting S1- S23
3 Direct Taxes/Corporate Taxes DT1-DT16
4 Indirect Taxes IT1-IT14
5 Other Taxes/Statistical returns etc O1 - O6
6 Foreign Currency/Translation F1-F3
7 Future Changes FC1 - FC4

Please list all legal entities (and the Oracle company number) that are covered by this questionaire below:
ITALY
CHART OF ACCOUNTS

Question
No. Track Question Response Comment
C1 Is there a statutory requirement in Country to adhere to a specific chart of accounst
format. If Yes pleases provide the standard Chart of Account format required

C2 Please provide the chart of accounts that is used to produce any statutory account
reporting, the preparation of any returns statutory of otherwise or for the calculation
of any taxes.
C3 Is the current chart of accounts used fit for purpose. If the answer is no how can this
be improved. For suggested improvements, please state how any changes might
help you in your obligations to provide statutory information. Please also state
whether the changes detailed are mandatory (ie legally we are obliged to show this
information seperately or improvements nice to have to help us perform our
reporting duties better.

C4
C5

C6

C7
C8
C9
C10
C11
C12
C13
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STATUTORY REPORTING

Question
No. Track Question Response Comment/Example
S1 Please indicate the financial yearend for submitting statutory reports.
S2 Please indicate the final date for submissions.
S3 Please provide a copy of the latest localised Statutory Accounts that are sent to the
authorities
S4 What was the Annual 2014 Turnover?
S5 How many staff are employed in country at the end of 2014?
S6 Are your accounts Audited? If Yes please provide details of the Auditor
S7
Who prepares the accounts? Is this done inhouse or by an external third party?
S8 What system is used to provide the data? Do you use any third party software? If
yes please provide details.
S9
What information is taken from Oracle to produce statutory accounts?
S10
What transaction level reports are needed for Statutory Reporting?
S11 Is there a requirement for any part of the systems used, to be certified by the local
authorities in order to prepare statutory accounts?
S12

Is there a mandatory format that is required to be applied to the Profit and Loss,
Balance Sheet, cashflow and supporting notes? Please provide details as
necessary.
S13 How is the data changed to turn the Oracle information in to Statutory accounts.
Please list all the adjustments that are made to turn management books to statutory
books and provide a brief description on the process adopted to make this happen.

S14 If third party systems or third party information is used to prepare statutory accounts
independantly of the oracle information what process is adopted to reconcile the
records between the two systems. If applicable please advise how this is done and
the frequency ie monthly, yearly etc)
S15 Other than financial statements and tax returns(covered in detail later) what other
statutory reports are required to be prepared. Please provide a list of other reports
produced and detail what information is used to prepare the reports. Please provide
copies of the reports produced and highlight any difficulties you have with preparing
this information and what could be changed to make it easier for you.

S16 What is the language requirement for any statutory reporting.

S17 What is the language requirement for any statutory reporting for booking journal
entries in the statutory books. Is it possible to book journal entries in English or is
there a statutory requirement for these entries to be in local language..

S18 Please detail any currency requirements that any statutory information is governed
by.
S19 Is there a requirement or the ability for any statutory account returns to be
submitted electronically. If yes please if possible provide copies of the electronic
format. Is the electronic format mandatory or optional.
S20 Please detail any sequencing requirements in order to produce the transactionaly
based stat reports or detail any other requirements that we need to comply with for
our statutory reporting information.
S21 What improvements in the Oracle reporting would you like to see to make Statutory
reporting easier for you.
S22 Are there any other differences in statutory reporting not covered above that needs
to be considered currently or in the future that needs to be brought to our attention.

S23 Are you required to produce any consolidated accounts, if yes please provide
copies and details on the process adopted to prepare consolidated accounts
ITALY
INDIRECT TAXES - such as sales tax. GST or VAT which are levied on the provision of goods and services

Question
No. Track Question Response Comment
IT1 Please provide details of what transaction reports are required to fulfil our ability to complete the Indirect Taxes are taxes such as sales tax, GST or VAT which are levied on the provision of goods and
statutory reporting for indirect taxes. services.
IT2 For each report please provide a brief description of the nature of the tax.
IT3 Please provide copies of all indirect tax returns submitted and a brief description of how the information
is extracted from the Oracle systems.
IT4 For each Indirect tax what are the tax rate charges and rules for each category of tax. Please make us
aware of any any special conditions regarding certain transactions that might need to be treated
differently.
IT5

For each tax report indicate the frequency that they are required to be submitted and the due date.
IT6 Do you ever have difficulty in submitting your returns on time. Have you ever had to pay penalties as a
result. What has caused any delays.
IT7
Is there a requirement or is it possible for any statutory tax returns to be submitted electronically? If yes
please if possible provide copies of the electronic format. Is the electronic format mandatory or optional? Please provide details of all government electronic reporting requirements
IT8 How is the data changed to turn the Oracle information in to Statutory tax returns Please list all the
adjustments that are made to convert the Oracle information to statutory returns and provide a brief
description on the process adopted to make this happen.

IT9 What are the language requirements for submitting any returns. Spanish

IT10 Please detail any sequencing requirements in order to produce the transactionaly based tax reports or This would include requirements to have sales invoices for the country numbered sequentially
any detail any other requirements that we need to comply with for our tax report information.

IT11 Please detail any currency/exchange requirements that any tax information is governed by.
IT12 Do you use any third party software to derive any calculations, If yes please provide details.
IT13 Is there anything that could be improved to make reporting indirect taxes easier for you. Are there any
specific accounts which are required to make this happen.
IT14 Is there any requirement to pay any taxes on account, how might the calculation of the payment on
account amounts be derived. Are there any special conditions, exclusions and any special treatments
to taxes that you think that you have not mentioned previously that we need to be aware of.

tax pack
ITALY
OTHER TAXES/ STATISTICAL RETURNS etc

Question
No. Track Question Response Comment
O1 Please provide details of any other tax returns/statistical returns that are currently
provided which you have not disclosed in sections 1 to 4. Please provide a copy of
the returns and any workings that you use to produce the information.
For example any reports based on working time directives or mileage record keeping for vat purposes.
O2 Provide a brief description on the frequency of the returns
O3 Give a description on how this information is provided. What records are taken from
Oracle and how is this changed to produce what is required.
O4 What transaction level reports are needed.
O5
Are there any specific requirements that we are struggle to provide and how might
the data be changed/ordered to make the process easier.
O6 Is there a requirement to make any other decductions from salary (non tax items)
and to pay these to another authority or company not listed in the other sections eg
pensions, union dues?
ITALY
Foreign Currency /Translation

Question
No. Track Question Response Comment
F1 Are there any requirements to use exchange rates provided by a state institution YES
such as the national bank when booking foreign currency journals in statutory Some countries in Eastern europe dictate the exchange rates to be used when booking statutory book
books? keeping entries
F2 Is there any requirement to translate transactions to a specified number of decimal YES, 2 decimals
places?
F3 Do any of the current statutory returns have to be adjusted so as to comply with
differing exchange rate rules? Please provide details on how the information needs
to be changed in order for you to provide the reports that are required.

F4
ITALY
Future changes

Question
No. Track Question
FC1 Are you aware of any future legislative changes that we need to be aware of, in
order for us to meet future statutory reporting obligations?
FC2 Can you provide a brief description of such changes and any potential impacts and
advise in your opinion how likely these changes need to be effected.
FC3 Please advise what the consequence would be if we did not make provision to
comply with this future obligation
FC4 Are you aware of any future changes in the organisation (ie growth/decline) that we
need to be aware of in order for us to meet future statutory reporting obligations?
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