Representative Office in Italy

Thinking of expanding your business into Italy? We're here to simplify the process. Let's guide you through setting up a representative office in the country.

What is a Representative Office?

A Representative Office, or “Ufficio di Rappresentanza,” serves as a strategic outpost for a foreign company, acting as a conduit for communication and fostering relationships with Italian stakeholders.

Unlike subsidiaries, these offices do not engage in profit-generating activities but focus on market research, promotion, and facilitating business connections. They serve as a vital link between the parent company and the Italian market, providing insights and support for strategic decision-making.

Establishing a representative office offers a cost-effective entry point into Italy’s market landscape, positioning your business for future growth and expansion.

Looking to establish a Representative Office in Italy?

Let's see the requirements

Here are the criteria the foreign company must satisfy:

 

  • LEGAL STRUCTURE

Ensure your foreign company is a limited company

  • TRADING STATUS

Demonstrate active trading status to showcase your business’s vitality

  • FINANCIAL STABILITY

Display financial stability to reassure stakeholders of your reliability. (Minimum annual turnover € 12,000)

  • DOMICILIATION

Be domiciled in a WTO country for seamless international operations

Navigating the Representative Office Visa

For individuals seeking involvement in a representative office in Italy, obtaining the Representative Office Visa is paramount.

This visa category enables non-EU citizens to reside in Italy temporarily, specifically for managing or working within a representative office.

Employees of international companies who have been employed by the parent company for at least 6 months are eligible to apply for the Italian Representative Office Visa.

The Representative Office Visa in Italy serves as a pathway for foreign companies to establish a non-commercial presence within the country. Unlike visas permitting business activities, this visa is solely dedicated to representative functions.The primary objective of a representative office is to advocate for and represent the interests of its parent company in Italy. It is prohibited from engaging in direct commercial or revenue-generating operations.

This visa falls under the national working visa category and can be either subordinate or self-employed based on agreements with the company, ensuring a streamlined immigration process.

 

How to apply for the Representative Office Visa: Step by Step

The Steps:

Step 1

The company needs to request the Director’s and the company’s Codice Fiscale (National Insurance Number) from the local tax office, in order to be registered at the local Chamber of Commerce.

Step 2

Establish a Representative Office in Italy and get it registered with the Italian Chamber of Commerce. To achieve this, you’ll need to procure a Certificate of Good Standing from the foreign companies registry.
This certificate should outline essential details as:

  • the company name
  •  the registered address
  •  the director’s name
  • a concise overview of the business activities conducted

Step 3

After the Representative Office is officially registered, you’ll need to secure three clearances from various entities: the Chamber of Commerce, the Department of Labor, and the Immigration Office. Each of these offices will review and confirm that the criteria for the Nulla Osta are met.

Step 4

The last step is to get the “Nulla Osta” (certificate of no impediment) from the Italian Immigration Office.

This certificate enables you to apply for the type-D visa at the Italian consulate in your current foreign location.

Don’t hesitate contact us if you need help!

Our team provides comprehensive support throughout the entire process, overseeing document preparation and meticulously monitoring each stage.
Our commitment is to ensure seamless execution and complete client satisfaction!

Validity and Renewal of the ROV

The validity of the Representative Office Visa is 1 year.

To renew your temporary Representative Office Visa (ROV) each year, you must demonstrate a taxable income from worldwide sources that exceeds the minimum Italian welfare payment, currently set at EUR 6542.

This threshold increases by 50% for your spouse and by 20% for each dependent child. Your income can be earned from either foreign or domestic sources and can be in various forms. Additionally, the foreign company must pay its appointed representative office staff at least €8,500 annually.

Importantly, maintaining an active representative office is not a requirement for visa renewal.

Next Step: Apply for a Permit of Stay in Italy

Once your arrival in Italy, your next step is to apply for a temporary residence permit (Permesso di Soggiorno) within 8 days.

This application is submitted to the local immigration authorities (Questura) in the city where you intend to reside. You will need to provide required documents, attend appointments, and await approval. Once approved, you will receive your temporary residence permit. Remember to renew it annually according to the regulations set by the immigration authorities.

Need some help? Don’t worry! We’ve got it covered.

An immigration lawyer will handle the processing and communication with the authorities until your working residence permit is prepared.

Is corporate tax applicable to representative offices in Italy?

In order to understand which costs should be borne by a representative office in Italy, it is necessary to differentiate between “mere representative office” and “non-mere representative office”.

A “mere representative office,” primarily for promotional and advertising aims, doesn’t constitute a permanent business establishment and isn’t subject to taxation. Therefore, it’s not obliged to log financial transactions or submit financial statements, VAT, or income returns.
Conversely, it must maintain standard accounting records, documenting costs and expenses to be covered by the foreign parent company. It also needs registration by the legal representative of the foreign company, or through a designated attorney, with the Registro delle Imprese (REA). This registration involves submitting the Single Communication, following which the Revenue Agency will assign a Fiscal Code to the mere representative office.

Meanwhile, a “non-mere representative office,” although exempt from engaging in production and commercial activities, can provide non-commercial services to third parties on behalf of the foreign company. As it may qualify as a permanent establishment, it must: be listed in the REA, possess a fiscal code, keep records of financial transactions, acquire a VAT identification number, annually file VAT and income returns to the Revenue Agency, and present the foreign company’s annual accounts to the Chamber of Commerce (CCIAA).

Explore limitless possibilities with us! Whether you dream of launching a Limited Liability Company (SRL), expanding through a local branch, or establishing a representative office, we’ve got your back. Our expert consultants will navigate you through the options, ensuring you find the perfect fit for your business venture in Italy.
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In Y-Nos we aim to provide a top service at a reasonable price to cover the cost of professional and experienced staff working in a long and difficult process; when we present or manage an investment, we always take as a priority the benefit of the investor. This is our philosophy and we are looking forward to assisting more and more people along the journey of their new life in Italy.

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