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Italy at a glance
Italy is an EU member state with its own national company forms and registration rules. Compare company types, capital, tax, timing and signing requirements before you choose. The proposed 28th Regime (EU Inc) is a separate option that is not available yet.
Company types in Italy
- SRL (Società a responsabilità limitata) Italy's standard private limited company, the most popular form for SMEs and foreign founders. It can legally start with EUR 1 (EUR 10,000 is the traditional figure); shareholders may be individuals or companies, resident or not.
- SRLS (simplified SRL) The simplified SRL: capital of EUR 1 to EUR 9,999 paid fully in cash, members must be natural persons, and it uses a fixed ministry template with no notary fees.
Company formation in Italy: key facts (last reviewed July 2026)
- Corporate tax
- Companies pay IRES (corporate income tax) at a flat 24% plus IRAP (regional production tax) at about 3.9%, a combined burden of roughly 27.9% (IRAP varies slightly by region).
- VAT rate
- Standard VAT (IVA) is 22%, with reduced rates of 10%, 5% and 4%. Domestic e-invoicing through the SDI system is mandatory.
- Dividends & payroll taxes
- Dividends carry a 26% flat tax. Personal income tax reaches 43% plus regional surcharges, employer social contributions run near 30%, and the 3.9% regional IRAP still applies to many companies on top of corporate tax.
- Minimum share capital
- An SRL can be formed with as little as EUR 1, though EUR 10,000 remains traditional. Capital under EUR 10,000 must be paid fully in cash, and at least 20% of net annual profit goes to a legal reserve until capital and the reserve together reach EUR 10,000. An SPA requires EUR 50,000.
- Setup time
- Once documents (tax codes, bylaws, KYC) are ready, an SRL is typically incorporated within about one to three weeks, built around a notary deed and registration with the Business Register. Reaching fully operational status (VAT, bank account) can extend to 8 to 12 weeks for non-residents.
- Remote setup
- Yes. Non-residents can incorporate remotely through a power of attorney notarised abroad, apostilled and translated into Italian. A founder still needs an Italian tax code (codice fiscale), a certified email (PEC) and a digital signature.
- Director / residency
- No residency requirement. An SRL needs at least one director, who may be a non-resident, and a single non-resident can own 100% of the shares. All directors and shareholders need an Italian tax code (codice fiscale).
- Banking options
- A corporate account is usually opened after the deed, subject to strict KYC. Options include Italian banks (Intesa Sanpaolo, UniCredit, BPER) and EU fintechs (Qonto, Wise, Revolut Business). Many banks prefer in-person onboarding.
- Our formation service
- from around €100 to €200 (estimated). You get a fixed quote in your free plan before you commit.
Italy is an EU and eurozone member. Domestic e-invoicing via SDI is mandatory, and every company needs a certified email (PEC) and digital signature. The SRLS carries no notary fees but only individuals may be members; SRLs under EUR 10,000 must build a legal reserve from 20% of profit.
How to register a company in Italy
Step by step, this is how a Italy formation actually runs:
- Choose SRL or SRLS. The standard SRL allows custom articles; the SRL semplificata uses a fixed statute, EUR 1 to 9,999 capital and waives notary fees.
- Get Italian tax codes. Each founder needs a codice fiscale, obtainable through consulates or a local representative.
- Sign the deed. A notary executes the incorporation, in person, by video procedure, or through a notarised, apostilled and translated power of attorney.
- Register with the Registro Imprese. The notary files electronically; registration follows within days, alongside VAT number activation.
- Banking and INPS/INAIL. Open the corporate account under strict KYC and register with social security bodies if employing.
We can help coordinate documents, address requirements and filings with licensed local counsel. The steps and timing depend on your company and circumstances.
What company formation in Italy costs
A traditional SRL costs real money: notary, taxes and registry commonly total EUR 1,500 to 2,500. The SRLS route cuts the notary fee to zero, leaving roughly EUR 300 to 500 of taxes and duties. Annual accounting for a small SRL typically runs EUR 150 to 350 a month, plus separate government and chamber charges. The annual government levy for company books is EUR 309.87 when capital or the endowment fund is no more than EUR 516,456.90, and EUR 516.46 above that amount. This is not the chamber-of-commerce annual fee; confirm that fee separately.
Plan your Italian company formation
Tell us where you live and what you are building. Our formation service fee is from around €100 to €200 (estimated). We help you compare structures and prepare a quote with the scope, costs and expected timing. Government charges, capital and ongoing services are separate unless included in that quote.
Get your free planWho can form a company in Italy
Check ownership eligibility separately from director, local-address and licensing requirements. Permission to own shares does not automatically give you permission to live or work in Italy. The director and residency information above identifies the main formation conditions to review.
Italy fits businesses with Italian clients, founders relocating under the impatriati tax incentives, and anyone needing a local vehicle for property or operations. As a pure remote EU base it is heavier and costlier than the Baltic options; the SRLS softens entry but not the running costs.
After registration: what Italy expects each year
Annual financial statements are approved and filed with the Registro Imprese (filing fee around EUR 130), the corporate tax return follows late in the year, and VAT settlements are periodic with an annual return. Budget the annual government company-books levy separately from chamber dues and applicable stamp duties. Small SRLs avoid audit below thresholds.
Plan beyond the registration fee
Use these guides alongside the national rules for your company. The cost and filing examples cover Estonia, Ireland and Portugal.
Italy and the 28th Regime (EU Inc)
EU Inc, the proposed 28th Regime, would add a harmonised company form in EU member states. Registration is not open and no launch date is confirmed. A national company in Italy is available under existing rules, but a later EU Inc conversion would depend on the adopted law and eligibility. Read how to prepare an EU Inc company, or compare current options in company formation in Europe.
Sources and review scope
Use the linked registries, authorities and specialist references to check the requirements for your company. A review of formation costs and filings does not replace a review of your tax position.
Topics checked
These dates apply to the named topics. Other figures and indicative service prices have separate review needs.
- Low-capital SRL reserve calculation Checked . Source 1
- Annual government levy for company books Checked . Source 1
Reference links
Frequently asked questions
Can a foreigner open a company in Italy?
No residency requirement. An SRL needs at least one director, who may be a non-resident, and a single non-resident can own 100% of the shares. All directors and shareholders need an Italian tax code (codice fiscale).
How long does company formation in Italy take?
Once documents (tax codes, bylaws, KYC) are ready, an SRL is typically incorporated within about one to three weeks, built around a notary deed and registration with the Business Register. Reaching fully operational status (VAT, bank account) can extend to 8 to 12 weeks for non-residents.
What corporate tax does a company in Italy pay?
The headline summary is ~28% (24% + IRAP), with standard VAT of 22%. Company form, activity, size and where the business operates can change the treatment. Read the detailed tax information and confirm the rules for your case.
Can I form a company in Italy remotely?
Yes. Non-residents can incorporate remotely through a power of attorney notarised abroad, apostilled and translated into Italian. A founder still needs an Italian tax code (codice fiscale), a certified email (PEC) and a digital signature.
What does it cost to form a company in Italy?
A traditional SRL costs real money: notary, taxes and registry commonly total EUR 1,500 to 2,500. Our formation service fee is from around €100 to €200 (estimated). Government charges, capital and ongoing services must be budgeted separately unless the written quote includes them.