Italy Services

Italy Overview

Italy is a country located in Southern Europe, known for its historical and cultural significance.

Capital and Major Cities: The capital of Italy is Rome. The country’s largest cities include Milan, Naples, Turin, Palermo, and Florence, among other important centers.

Official Language: Italian is the official language of the country. Additionally, various regional dialects and languages are spoken in different parts of Italy.

Population: 60,461,825

Area: 301,338 square kilometers

Currency: Euro (€) (EUR)

Geography: Italy is situated in the southern part of Europe and is primarily located on the Italian Peninsula. It also includes large islands such as Sicily and Sardinia. The northern regions are home to the Alps, while much of the country consists of mountainous or hilly terrain.

Borders: Italy shares land borders with France, Switzerland, Austria, and Slovenia to the north. Additionally, independent countries like Vatican City and San Marino are located within Italian territory.

History: Italy holds significant historical importance as the birthplace and growth site of the Roman Empire. The Renaissance period marked a major revival in art and culture, with Italy hosting many renowned artists and scientists during this era.

Culture: Italy is known for its contributions to world cuisine. Dishes like pizza, pasta, risotto, and lasagna are prominent in Italian cuisine. The country is also famous for its contributions to opera, fashion, and art.

Tourism: Italy is one of the world’s most popular tourist destinations, attracting visitors with its historical and cultural riches, beautiful beaches, and stunning landscapes. Landmarks such as the Colosseum in Rome, the canals of Venice, the Medici Museums and Art Galleries in Florence, and the iconic Leaning Tower of Pisa, as well as the islands of Sicily and Sardinia, capture the interest of tourists.

Economy: Italy is one of the leading economies in the world, with strengths in sectors such as automobile manufacturing, fashion, design, food products, and tourism.

Political Structure: Italy is governed as a republic with a parliamentary system. The President of Italy serves as the head of state, while the Prime Minister is the head of government.

Italy has maintained its presence as a prominent actor in Europe, thanks to its historical and cultural riches.

As Zirve Legal Law Office, we offer various legal services in Italy. The core services provided by Zirve Legal in Italy include:

Company Formation:

Information about the process of establishing a company in Italy and the types of companies is provided. The most common company type in Italy is known as a “Limited Company” or “S.r.l.,” which offers limited liability to its partners. Capital requirements are flexible, with a minimum capital of 1 Euro.

A “Public Limited Company” or “S.p.A.” is also an option, but it requires a minimum capital of 50,000 Euros and is suitable for companies wishing to be listed on the stock exchange.

The process of setting up a company involves signing articles of association prepared by a notary and registering with the Chamber of Commerce. Obtaining a tax identification number (codice fiscale) and fulfilling other tax obligations may also be necessary.

Opening a Branch:

A foreign company can open a branch in Italy, considered an extension of the parent company abroad. The branch must appoint a representative based in Italy and is responsible for its obligations and liabilities.

The process of opening a branch begins with a contract prepared by a notary and requires registration with the Chamber of Commerce.

Opening a Representative Office:

A foreign company can establish a representative office in Italy, primarily used to promote and represent the foreign company’s products and services. However, it cannot engage in commercial activities or sell goods and services. The representative office must fulfill tax obligations, and the parent company is fully liable for its assets.

The process of opening a representative office starts with registration with the Chamber of Commerce.

Foreign investors interested in doing business in Italy should choose the most suitable business structure based on their business type and needs. It is also essential to comply with local legal requirements and tax rules.

Residence Permit through Investment:

To obtain a “Residence Permit through Investment” in Italy, you need to apply for this permit. It is granted to foreigners who wish to reside in Italy by making an investment or starting a business. The general requirements and process for obtaining a residence permit through investment in Italy are as follows:

Types of Investments: Individuals seeking a residence permit through investment in Italy must undertake one of the following investment types:

Real Estate Investment: To obtain a residence permit by purchasing real estate in Italy, you typically need to invest a specific amount (usually 300,000 Euros or more) in real estate.

Entrepreneurial Investment: Making an investment to establish a new business or acquire an existing one in Italy. The investment amount is generally 500,000 Euros or more.

Investment in Investment Funds: Investing at least 1 million Euros in venture capital or private equity funds in Italy.

Investment in Government Bonds or Capital Market Instruments: Investing a minimum of 2 million Euros in Italian government bonds or other capital market instruments.

General Requirements:

Foreigners seeking a residence permit through investment in Italy must meet the following general requirements:

The investment must come from legal and clean sources.

The intention should be to establish permanent residency in Italy.

The applicant should not have the purpose of working or studying in Italy.

Application Process:

Visa Application: The first step is to apply for a visa at the Italian Consulate or Embassy. This visa allows you to enter Italy and initiate your investment.

Residence Permit Application: After entering Italy, you need to apply for a residence permit while carrying out your investment. This application is processed by the Italian Ministry of the Interior.

Residence Permit Process: The application process usually takes several months. You will need to provide the necessary documents to obtain the permit. Additionally, you may be called for an interview by Italian authorities.

After Obtaining the Residence Permit: Once you obtain the residence permit, you can continue your investment in Italy and reside in the country for a specified period. You may have the option to renew the permit regularly.

Corporate Taxes in Italy:

The taxes paid by companies in Italy can vary based on different criteria and types of companies.

Here is some basic information about corporate tax rates in Italy:

Corporate Income Tax (Imposta sul Reddito delle Società – IRES):

One of the most significant taxes that companies pay in Italy is corporate income tax, or IRES. The corporate tax rate is typically 24%, but lower rates may apply in exceptional cases.

Regional Business Tax (Imposta Regionale sulle Attività Produttive – IRAP):

The regional business tax, IRAP, has varying rates depending on different regions of Italy and is calculated based on a company’s net income. IRAP rates usually range from 3% to 4%.

Value Added Tax (Imposta sul Valore Aggiunto – IVA):

Companies in Italy pay Value Added Tax (VAT) on goods and services. The standard VAT rate is generally 22%, but lower rates (4%, 5%, or 10%) may apply to specific products and services.

Other Taxes:

Companies in Italy may also be subject to other taxes such as property tax, withholding tax, and local taxes. These taxes can vary depending on the region and sector in which the company operates.

As Zirve Legal Law Office, we provide legal and accounting services in Italy related to real estate investments, company formations, residence permits, foreign capital investments, legal services, business acquisitions, and international trade, partnering with our expert associates in the fields of law and tax in Italy.