They were produced up to the changeover, but I don't think they had been used since the sixties. There were also a 1 and 2 lire used up to the end of the fifties.
It looks from Krause like the lowest denomination used up to the changeover was the 20 lire as it appears in a circulated condition up to that time.
I remember there were between 1 and 2 thousand lire to the pound when they changed to Euros. So a 10 lire would have been about as much use as a US cent today.