Practical guide
How to invoice the manager fee
A condominium manager's fee is compensation for a professional service and, as such, must be invoiced under the ordinary rules that apply to professionals or service companies. The condominium specific requirement comes earlier: the invoiced amount must match what the assembly resolved under Article 1129 of the Italian Civil Code, which requires the fee items to be itemized analytically already at the time of appointment or renewal. This guide explains how to structure a correct invoice, what changes between ordinary management and extraordinary assignments, and which duties accompany issuing the document to the condominium as the client.
The resolution as the basis for the invoice
Before even discussing electronic invoicing, the substantive condition for validity is the assembly resolution. Article 1129, paragraph 14, of the Civil Code states that the manager's appointment must, on pain of nullity, specify the amount due as a fee in an analytical manner. This means the manager cannot invoice indistinct or lump sum amounts that do not correspond to what was recorded in the minutes: every item, from ordinary management to additional activities, must have a precise reference in the appointment or renewal minutes.
An invoice reporting amounts inconsistent with the resolution exposes the manager to challenges in the assembly and, in more serious cases, to a liability action. For this reason it is established practice to reference in the invoice the minutes that determined the fee, so the link between the resolution and the invoiced amount remains traceable.
Electronic invoicing: the condominium as the client
The condominium, although it lacks a distinct legal personality separate from the individual owners, is a recipient for electronic invoicing purposes and receives invoices under its own tax code. A manager operating as a self-employed professional or through a service company must issue an electronic invoice through the Exchange System, indicating the condominium's tax code as the client, the appropriate recipient code (or certified email), and a description of the service.
The description should clearly state the reference period, such as the current annual mandate, and the nature of the service, ordinary or extraordinary, to allow correct accounting classification in the condominium financial statement that the manager must present to the assembly at the end of the mandate under Article 1130-bis of the Civil Code.
Ordinary fee and extraordinary activities: two separate items
Ordinary management, covering the typical activities set out in Article 1130 of the Civil Code such as convening assemblies, keeping the condominium register, collecting contributions and executing resolutions, is normally covered by the fixed annual fee set in the resolution. Extraordinary activities, such as managing a contract for extraordinary maintenance works, participating in legal proceedings, or handling complex insurance claims, instead require an additional fee that must also be resolved in advance, not simply reported after the fact.
It is good practice to issue separate invoices, or at least separate line items on the same invoice, for the ordinary fee and for extraordinary items, so the condominium financial statement makes immediately clear to the owners how much was paid for ongoing management and how much for specifically authorized additional activities.
- Ordinary fee: matches the annual amount resolved for Article 1130 activities
- Extraordinary fee: requires a specific prior resolution, it is never automatic
- Invoice description: always refers to the mandate period and the nature of the service
- Traceability: the link between resolution and invoice prevents challenges at statement approval
Tax duties and classification in the financial statement
For tax purposes, the manager's fee follows the ordinary regime applicable to the chosen legal form: an individual professional with a VAT number and possible withholding tax if the condominium acts as withholding agent, or an invoice from a service company subject to ordinary VAT. The condominium, acting as withholding agent for fees paid to individuals, is required to apply and remit the withholding tax and to issue the related annual tax certification.
Once issued and received, the invoice flows into the annual condominium financial statement among the expense items for professional services. Managing this with dedicated software such as AmministraPro makes it possible to link the fee invoice directly to the corresponding budget line and to the allocation among owners according to their ownership shares, reducing the risk of manual errors in preparing the statement and simplifying verification when the assembly approves it.
Frequently asked questions
Must the manager's fee always be resolved before it can be invoiced?
Yes. Article 1129 of the Civil Code requires that the fee amount be specified analytically already at the time of appointment or renewal, on pain of nullity of the appointment itself. Any invoice must therefore correspond to items already resolved: a fee not provided for in the resolution, even if reasonable, cannot be invoiced without a specific supplementary resolution approved by the assembly.
How should the ordinary fee be distinguished from extraordinary activities on the invoice?
It is advisable to show on the invoice, or in separate lines of the same invoice, the item relating to ordinary management (the activities under Article 1130 of the Civil Code, covered by the fixed annual fee) and the item relating to any extraordinary activities authorized by a specific resolution, such as managing an extraordinary maintenance contract. This separation makes the condominium financial statement easier for owners to read.
Must the condominium apply withholding tax on the manager's fee?
If the manager operates as an individual with a VAT number and the condominium acts as withholding agent, withholding tax must be applied under the ordinary rules for self-employment income, followed by remittance and issuance of the annual tax certification. If the service is instead provided by a service company, the ordinary VAT regime applies without withholding tax on the professional fee.
What happens if the fee invoice does not match what was resolved?
An invoice with amounts differing from what was set out in the appointment or renewal minutes exposes the manager to challenges from the owners when the financial statement is approved, and can support a liability action or removal for just cause. It is therefore essential that every invoice accurately reflects what the assembly resolved.
Can management software help link invoices and resolutions on the fee?
Yes. Tools such as AmministraPro allow the resolution that determines the fee to be archived, the received invoice to be linked to the corresponding line in the financial statement, and the amount to be allocated among owners according to their ownership shares, keeping the connection between what the assembly resolved and what was actually invoiced and recorded traceable at all times.
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