Capital
City of San Marino
Currency
Euro
Languages
Italian
Population size
0.034M
Average Monthly Salary
€1600
EU
Not a Member
Region
Southern-Europe
Gift Giving Norms
Small, high-quality items
Major Corporate Gift Days
Christmas, National Day
Customs Complexity
Low
VAT - Standard Rate
22%
Duty Free Threshold
€150
Ave Duty Rate
2%
1. Employee Swag vs. Gifts
Under San Marinese law, non-cash benefits provided to employees can be classified as taxable if they primarily serve a personal purpose rather than a work-related one. The Office for Control and Supervision of Economic Activities (and the Tax Office) oversees whether swag is considered part of an employee’s remuneration or a non-taxable corporate identity measure.
1.1 Swag for Employees
Work-Related (Generally Non-Taxable)
Uniforms & Essential Equipment
If branded uniforms or protective gear are necessary for daily tasks, they typically remain non-taxable.
Branded Accessories
T-shirts, mugs, or stationery bearing a clear company logo—given consistently to all staff—are often viewed as corporate identity items rather than personal perks.
Potentially Taxable Benefits
High-Value or Personal-Use Goods
Electronics, designer apparel, or items with minimal relevance to daily work might be treated as part of an employee’s taxable wage. The employer would then handle any applicable wage taxes or social contributions.
Frequent Gifting
Multiple gifts over a single tax year could draw scrutiny, suggesting disguised remuneration. Seek local tax advice if planning repeated swag distributions for employees.
1.2 Gifts for Non-Employees (Clients, Partners, Event Attendees)
Tax & Deductibility
Business gifts for promotional or relationship-building purposes can be tax-deductible under specific value thresholds. Repeated or high-value gifts lacking commercial rationale may face scrutiny from the relevant authorities.
Compliance & Anti-Corruption
San Marino enforces anti-corruption standards, particularly where dealings may involve public officials. Keeping documentation of significant or repeated gifts can help avoid suspicion of improper influence.
1.3 Marketing Swag
Items (e.g., branded tote bags, T-shirts, pens) handed out at fairs, product launches, or corporate events typically qualify as marketing expenses, provided there is supporting evidence (invoices, distribution lists) confirming their promotional function.
2. Shipping, Customs & Duties
San Marino is not within the EU Customs Union. Goods entering San Marino typically pass through Italy, so Italian customs procedures may apply before San Marinese formalities.
2.1 Shipping
Border Formalities
Even though San Marino uses the euro, it maintains its own separate customs zone. Items often clear Italian customs first, then proceed to San Marinese authorities.
Possible Bilateral Exemptions
If swag originates from the EU or Italy, certain bilateral agreements can re
2.2 Importing
Import Duties & VAT/GST
Goods from outside the EU (and Italy) may be subject to duties and local taxes (e.g., import VAT or equivalents) upon arrival via Italy, then verified by San Marinese authorities.
2.3 DDP vs. DAP
Delivered Duty Paid (DDP)
The sender covers duties/taxes, simplifying the process for the San Marinese recipient.
Delivered At Place (DAP)
The recipient pays upon arrival, which could cause delays if they are not prepared for additional charges.
2.4 With Monday Merch
We ship from Rotterdam (the Netherlands). We can provide the documentation required for entry into Italy, which then applies to San Marino transit—helping keep your approach tax compliant and minimize any potential duties.
3. Cultural & Local Etiquette
3.1 Swag customs
Focus on Personal Touch
San Marino’s business environment is small-scale and relationship-driven. Thoughtful, modest gifts typically resonate more than extravagant items.
Occasions for Gifting
Christmas is a common time for corporate gifts, but some businesses also give tokens at local festivals or major trade events.
Discreet & Quality
Overly lavish gestures may be uncomfortable or raise questions. Moderately priced, high-quality items generally strike the right balance.
4. Sustainability & Local Regulations
4.1 Sustainability & Regulations
Eco-Conscious Packaging
While not as heavily regulated as some larger markets, sustainable or recyclable packaging is increasingly welcome. Choosing environment-friendly swag often enhances brand perception.
Product Safety & Labeling
Goods like electronics or toys may require CE marking (under relevant EU frameworks also adopted in part by San Marino). Verify local or Italian bridging regulations for wide distribution.
5. HR & Employee Relations Considerations
5.1 HR & Employee Relations
Remote Employees
Storing personal addresses for shipping calls for data protection measures. While San Marino may not follow GDPR exactly, mirroring those standards is prudent.
Onboarding & Retention
Providing welcome kits (like branded apparel or stationery) is typically non-taxable if the cost is modest and clearly linked to the company’s identity.
6. Summary and Key Takeaways
6.1 Summary & Takeaways
Employee Items vs. Taxable Benefits
Uniforms and necessary tools are non-taxable High-value or personal items could be taxed as salary.
B2B Gifting & Marketing
Legitimate corporate gifts are deductible; track costs. Promotional swag is counted as marketing expenses if documented.
Shipping & Customs
San Marino is not in the EU Customs Union but often cleared via Italy. Monday Merch can assist from Rotterdam with documents for Italy and subsequent transit to San Marino, keeping shipments tax compliant.
Cultural Nuances
Modest, thoughtful gifts are preferred. Christmas is a significant gifting season, though smaller events can also see gift exchanges.
7. Frequently Asked Questions
7.1 Questions & Answers
Do staff uniforms get taxed?
If mandatory for work, typically no; personal items might be taxed as salary if high-value.
Are corporate gifts deductible?
Yes, if clearly promotional or goodwill-focused, with careful cost records.
Local nuance?
San Marino’s environment is small and traditional—gifts should be tasteful, modest, and respectful.
Sources
Tax Office of San Marino (Ufficio Tributario) – Official info on taxes and corporate obligations.
San Marino Customs (via Italian Customs) – Guidance on crossing the Italy–San Marino border with goods.
Chamber of Commerce of San Marino – Business compliance resources and local insights.
Disclaimer
This guide is informational only and does not constitute legal or tax advice. Always verify details with San Marinese authorities or a local expert to remain fully tax compliant.
