Over the past two decades, Indians have relocated to Italy for a better quality of life, higher education, and entrepreneurial and career development opportunities, among other reasons.
There were 160,000 Italian residency permits issued to Indians in 2019 – the fifth highest of any country in the world. In 2020 Italy hosted the second-largest population of Indians in Europe, with over 200,000 Indians including students residing in the country.
“Historically, a number of Indians came to Italy to work in agricultural production, but in more recent years we have seen a new generation of Indian entrepreneurs seeking to move to Italy with 20% of the Indian population now engaged in the commercial sector. More than 30% of Indian immigrants to Italy now live in the area around Italy’s financial capital Milan and the Indian population earns an average of 15% more than other non-EU migrants in the country,” Pietro Pennisi, Italian immigration attorney at Davies & Associates, said.
Despite the interest, there are many questions surrounding immigration pathways that are most beneficial for Indians and other foreign aspirants. Simply moving to Italy or buying a property does not give foreign nationals an immigration status. However, there are a variety of options that can be availed. The most popular among these is the ‘Investor Visa Program’ which is often deemed as the Golden Visa program.
Also read: The 5 best countries to migrate with your family
About the Program
The Investor Visa for Italy is a two-year, renewable visa for foreign nationals intending to make a large investment or donation in Italy.
The Investor Visa for Italy Program attracts high net worth Individuals from across the globe who wish to have a piece of the Italian life in exchange for a significant investment in the economy. The investor's spouse, dependent children and parents are also eligible to request for a visa at no additional cost. The investor visa is valid for two years and can get renewed every three years subsequently. After an investor has maintained five years of regular residency in-country, they are eligible to apply for long-term EU residency. Investors must rent or purchase a residential property after the approval of their visa, which can take between 90 to 120 days from the application date. At present, no real estate investment option is available.
“A lot of Indians get hooked on the idea of the so-called 'One Euro Home' project, but then broaden out their goals once they discover the wide range of tax incentives and residency option on offer in Italy. As well as the investor visa, there is an option for Indians to establish their residence in Italy if they can prove they have €32,000/year in funds earned outside Italy to support themselves. The Italian government is currently offering a 110% tradable tax credits on certain home renovation work and has low taxes for new residents for the first five to ten years. After five years of Italian residency, Indians can apply for a European Union Long Residence Permit giving them working rights across the entire bloc,” Matteo Tisato, Senior Immigration Analyst at Davies & Associates said.
Key Benefits of Italian Investor Visa Program
- Allows visa-free travel to all Schengen Zone countries for up to 90 days within a 180-day period
- Ability to apply for citizenship after 10 years
- Access to a world-class education and healthcare ecosystem
- Investors residing in Italy can take benefit of the flat tax option
Foreign nationals must qualify for one of the below enclosed criteria to avail the benefits of the program:
- Invest a minimum of Euro 2 million in Italian government bonds
- Invest Euro 1 million in projects of public interest in Italy. These could range from culture, education, arts and more to ecology, research & development and more
- Invest Euro 500,000 in Italian shares or Euro 250,000 if it is an innovative start-up
Italian residents can apply for one of the two available tax options:
- First is the flat tax option wherein there is a maximum cap of Euro 100,000 on foreign-earned income. Investors can avail this by obtaining residence and consecutively applying for a lump-sum tax option. However, earnings within Italy will be subject to taxes as per Italian regulation
- The special Italian tax regime for Impatriati is an attractive tax option for employees, retirees and the self-employed. This is especially advantageous for those foreign nationals who haven’t been taxpaying residents of Italy over the last two years. Under this, such residents can apply to pay taxes on just 30% of their income with maximum tax rate for personal income being 13%.
The application for an Italy investor visa is separated into two parts:
- The online application for a Nulla Osta (certificate of no impediment)
- The application for a visa at the Italian Embassy or Consulate
Once the Italy Investor Visa Committee reaches a decision, you have six months to apply for a visa at the nearest Italian Embassy or Consulate. After the visa is approved and you arrive in Italy, you will have to personally go to the Questura (Police Headquarters) to request an Italian Investor Visa Residence Permit. The Residence Permit is valid for two years, starting from when you enter Italy.
About Italy
- Total area: 301,340 km²
- Population: 60,341,753
- Capital: Rome
- Official Language: Italian
- Currency: Euro
- Passport Power: 4th in the world (Guide Passport Ranking Index)
- Safety Index: 68th safest place in the world (Safety Index by Country 2020)
- Peace Index: 32nd in the world (Global peace ranking)
- Cost of Living (estimated monthly cost): Family of four: €3,133; Single person: €1,512 (Source: www.expatistan.com)
- Rome
- Venice
- Milan
- Florence
- Naples
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