Italy-Residency by investment
Italy’s Diamond visa: much more than a Golden Visa!
Italy’s residency by investment scheme is gaining popularity amongst international investors
What are the benefits?
- NO MINIMUM TIME: The investor visa does not require, for its renewal, that the holder spends a minimum amount of time in Italy. Indeed, holding an investor visa does not imply by itself the acquisition of Italian tax residence. However, the investor visa holders may (according to the ordinary rules) become Italian tax resident depending on the strength of the ties with Italy
- TAX: in any event, Italy offers a TAX RELIEF SCHEME for new residents who can benefit from a substitute tax on income generated abroad by paying a flat-rate tax of EUR 100,000 for each tax year
- WORK: The Investor Visa allows also to work and can be converted into a work permit, if the individual meets all requirements for conversion
- COMPANY: The application for the Italy Investor Visa Clearance (“Nulla Osta”) can be filed also using a company controlled by the applicant
- NO LANGUAGE TEST: Investor permit holders are exempted from the Integration Agreement obligations, i.e. language test
What are the most popular investments?
- purchase at least € 2 million in government bonds; or
- invest at least € 500,000 purchasing shares of a listed company
How to apply for an investor visa
The individual must register and apply on line through the Government’s dedicated portal. The application is in Italian or English. Any supporting documents which need to be submitted, if not available in Italian or English, must be translated with a certified translation.
What information applicants must submit?
1. A detailed Curriculum vitae,
2. Selection of the type of investment
3. A detailed bank statement with sufficient funds and confirmation that the bank has carried out the due diligence requested by the FATF international standards on anti-money laundering and anti-terrorism
4. certificates of non-existence of criminal convictions and pending charges
What are the main steps
- Application is filed online on the Ministry’s portal
- if approved, the Ministry will issue a clearance to be used for the visa (Nulla Osta)
- Investor can apply for the visa at Italian Consulate. Investor Visas are given priority appointments
- Investor can enter Italy and will need to (i) register with the Police within 8 days from entry (investors are given priority appointments); and (ii) execute the investment withn 3 months from the date of entry
- Ministry must be informed as soon as the investment is executed. Investment shall be kept in custody with an Italian bank or broker.
Maintaining and renewing the residence permit
The investor visa holder must maintain the investment for the entire duration of the residence permit, otherwise the permit will be revoked and it will not be possible to renew it. The beneficiary must retain the original investment. Even when the permit has already been issued, the holder may not alter the destination of the investment under any circumstances, otherwise the permit will be revoked and cannot be renewed. The investor residence permit is valid for two years and can be renewed for further three year periods if the investment is maintained.
Last but not least …… Investor will obtain residency not citizenship!
Beware of any source or websites which publicize that you can obtain citizenship: this is not true!.
In Italy, citizenship by naturalization can be obtained only after 10 years of residence (i.e starting fro the date a person is registered with the City Hall) and it is also requested to submit tax retrns filed in Italy for the last 3 years.
- EU report com_2019_12_final_report.pdf (europa.eu)
- Investor Citizenship Schemes | European Commission (europa.eu)
- Italy ‘s investor visa Why invest in Italy (mise.gov.it)
- Tax relief scheme Individuals — Personal Income Tax — Irpef — Benefits for transferees of residence to Italy — Agenzia delle Entrate (agenziaentrate.gov.it)
- Easier path for the Italian Investor Visa | Mazzeschi
- My home is my castle | Mazzeschi
Disclaimer: The information provided on this article (i) does not, and is not intended to, constitute legal advice; (ii) are for general informational purposes only and may not constitute the most up-to-date legal or other information (iii) this website may contain links to other third-party websites. Such links are only for the convenience of the reader; (iv) readers should contact their attorney to obtain advice with respect to any particular legal matter.