Conversion Law 132/2018 introduces new changes to the Highway Code regarding the circulation of foreign-registered vehicles.

What the new regulations provide for

The new legislation prohibits those who have established residence in Italy for more than sixty days from driving a foreign-registered vehicle. Violation of the provisions of the law is subject to an administrative penalty ranging from 712 euros to 2,848 euros and the immediate cessation of circulation of the vehicle and its transportation and storage in a place not subject to public transit. To avoid incurring a further penalty, the owner has 180 days from the date of the violation to be able to register the vehicle or apply for the issuance of waybills to take it across national borders.

Exemption cases

In addition, the law provides an exemption for the following cases where the vehicle is found to be:

(a) leased or rented without a driver by an enterprise established in another member state of the European Union or the European Economic Area that has not established a branch or other effective office in Italy;

(b) granted on a gratuitous basis to a person resident in Italy and bound by an employment or cooperation relationship with an enterprise established in another member state of the European Union or a member of the European Economic Area that has not established in Italy a branch or other effective office.

In such cases, it is obligatory to keep on board the vehicle a document signed by the holder and bearing a certain date showing the title and duration of the vehicle’s availability. In the absence of such a document, the availability of the vehicle is considered to be in the hands of the driver. Article 132 of the Highway Code stipulates that all vehicles registered abroad are allowed to circulate in Italy for a maximum of 1 year, so this document, for the purpose of enforcing the regulations on the prohibition of vehicles with foreign license plates, is valid for 1 year.