Fuel vouchers are considered a form of employee welfare benefit.
This means that they are fully deductible for companies, as they fall under employee welfare measures. For employees, they are considered a fringe benefit, pursuant to article 51.3 of the Income Tax Consolidation Act (TUIR) which provides that fringe benefits up to €258.23 are not included in the calculation of an employee’s taxable income.
Article 2 of the Italian legislative decree of 21 March 2022 (“urgent measures to mitigate the economic and humanitarian effects of the war in Ukraine”) indicated that fuel vouchers up to the value of €200 given free of charge by private companies to employees to purchase fuel would not be included in the calculation of that employee’s taxable income, as provided for in Article 51.3 of DPR 917/1986.
Fuel vouchers also fall under "entertainment expenses" which, pursuant to art. 108, paragraph 2, of the TUIR are 100% deductible from a company's income, if the unit value of the vouchers does not exceed €50.