ITALY Law and Practice Contributed by: Paolo Ludovici and Andrea Mirabella, Gatti, Pavesi, Bianchi, Ludovici
taining instructions as to the type of investments that can be made and the way the assets are managed. This last aspect will depend on the type of mandate granted, ie, static or dynamic (see 6.1 Prevalence of Corporate Fiduciaries ). Trust Companies Usually, the trust deed and the governing law contain regulation on how the trust assets shall be invested. 6.4 Fiduciary Investment Fiduciary Companies Usually, assets administered include mainly securities, financial instruments and foreign insurance policies. It is not common for real estate to be held in the name of a fiduciary company. There is no standard or investment theory applicable to investments held through a fiduciary company, and diversification is not required. Especially with refer - ence to the “static” fiduciary mandate, the fiduciary company acts according to the instructions of the principal. Trust Companies Trusts can hold any type of asset, and – in accordance with the provisions of the trust deed – the trustee has discretion in managing and investing the trust fund. No specific authorisation is required to hold active businesses. 7. Citizenship and Residency 7.1 Requirements for Domicile, Residency and Citizenship Residence and Domicile Article 43 of the Italian Civil Code provides for the definition of residence and domicile of individuals. Residence is the place where an individual habitually resides. The application for residence is filed to the municipality to which the applicant moved within 20 days from the relocation. Depending on the municipality, the declaration of resi - dence can be submitted through the national registry
portal using a digital identity, via email, or by in-person appointment, submitting the following documents: • a valid passport or identity card (for EU citizens) or a residence permit (for non-EU citizens); • the Italian tax identification number ( Codice Fiscale ); • documents proving ownership; and • possession or availability of a property, to establish habitual residence. Domicile is the place where a person has established the principal centre of their personal and economic interests. It is determined by both objective factors (such as economic, family and social ties) and the indi - vidual’s intention to establish that centre of interests. In certain cases, domicile is determined by law (eg, for minors). No formal declaration or registration is required to establish domicile in Italy. Non-EU nationals who intend to reside in Italy are required to obtain an entry visa and a residence per - mit. Among other categories, Italian immigration law provides for various types of visa designed to facilitate entry into and lawful stay within the country, including the following. • Investor Visa – a two-year residence visa (renew - able for a further three years) available to non- EU nationals who undertake to invest in assets deemed strategic for the Italian economy and society. Specifically, eligible investments include: (a) EUR2 million in Italian government bonds; (b) EUR500,000 in shares or quotas of an Ital - ian limited liability company, whether listed or unlisted (including SICAVs and SICAFs); (c) EUR250,000 in an Italian innovative start-up; and (d) EUR1 million in a philanthropic initiative. • Elective Residence Visa – this visa category is intended for individuals who wish to relocate to and reside in Italy without engaging in any employ - ment or business activity, and who are able to demonstrate the possession of substantial and stable passive income. • Digital Nomad/Remote Worker Visa – this visa category is designed for individuals intending to reside in Italy while performing work activities
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