I suggest a block quote format. Chicago Manual of Style, the U.S. English book manuscript and publication format style manual, recommends block quote for letters as well (section 11.39). Also, italics formatting is recommended for publication format if a letter was handwritten. Generally, though, not italics for the manuscript format, but as a suggestion to the publisher if the house is unaware of the practice, as newer or smaller, inexperienced houses may be.
If your story is science fiction, why not create your own letter format that works for your fictional world/environment?
I'm writing a novel where creatures at one point put their signatures on a written message. In their language, the name, date, and country of origin are all part of one word. Some languages on Earth blend multiple words together (German) or even build in verb conjugations into their nouns (Russian). Why must a fictional entity conform to our style of writing?
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