Information on residing in Itlay

Residence Permit – EU Citizens

If you intend to live in Italy permanently or to stay for more than 3 months at a time, you need a Residence Permit (permesso di residenza – commonly referred to as Residenza). The application for Residenza can be made to the Immigration Office (Officio di Immigrazione) of the province where you will live or to the Provincial Police Department (Comissario Provinciale di Polizia). Alternatively, you can use the services of a business agent (Gestore) to handle your application for you.

The period of validity will vary according to your length of stay in Italy as well as your category, i.e. short term employment contract. However, the normal temporary permit is up to a maximum of five years and a permanent residence permit obtained after this expires.

Dealing with Italian bureaucracy can sometimes be frustrating, but is no different to many other European countries. Perseverance and patience are pre-requisites!

One last point – Having established the location of the Officio di Immigrazione or the Comissario Provinciale di Polizia, ring to check if there are any special office hours, as it can be quite infuriating to travel a distance to find they are closed for the siesta or only deal with Residenza on certain days of the week.

Health and Social Security

When moving to Italy or even anywhere in the EU, it is important to remember that the healthcare rights of Nationals living in states other than their country of birth or passport, are governed by European convention. Under these conventions, a National of any state visiting or resident in any other state where rights are transferred by any means are not entitled to healthcare as they would be in their native country. They are entitled to that level of care better or worse which is provided to a National of the state visited or in which they are resident.

In addition, on becoming resident, it may not be possible to return to the UK for anything but accident and emergency treatment.

On the brighter side, in a recent World Health Organisation report, Italy was listed in the top 10 countries in the world for healthcare (the UK was listed 18th). The rating was based on a comprehensive assessment of medical treatment, including factors such as availability of medical insurance and pharmacies and included the overall level of health of the population.

However, in reality, although there have been big improvements in the last few decades, the public health service is hugely over-burdened and there are long waiting lists to see specialists or have non-emergency operations. If you are unable to qualify for the public system, then it is essential to have private medical insurance and this will almost certainly be required to obtain a residence permit (Residenza). Over 90% of the population in Italy are covered by the Servizio Nazionale Sanitario (SNS). This is the equivalent of the National Health Service.

If you are working in Italy, either employed or self-employed, you must pay Italian Social Security (Securita Sociale) and this will entitle you to free or subsidised medical and dental treatment much in the same way as in the UK. If you are of retirement age in receipt of a State pension, you can apply for an E121 and once you obtain a Residenza you will also be entitled to this cover. Any enquiries relating to an E121 should be addressed to the DSS Overseas Branch, Newcastle-Upon-Tyne, NE98 1YX.

On being registered as a member of SNS you will be given a social security card (Cartella) and then assigned to a general practitioner (Medico) at a health centre (Centro Sanitario) in the area where you live. You will also be given a list of hospitals and general information about services and charges. If you are receiving an invalidity pension or other social benefits on the grounds of ill health you should establish how living in Italy would affect these benefits. There may be some reciprocal agreements regarding invalidity rights but the onus is on you to confirm they will apply in your case.

It is important to note, however, that whilst it may be possible to elect to change the GP you are assigned will depend on their availability. A number of doctors do not speak good English and any that do will very quickly have their patient list filled. When you do visit a public health doctor no payment is made and all you have to do is produce your Cartella. There are large number of foreign doctors practising in Italy but these tend to operate in the private sector and, unless you have private medical insurance offering out-patient benefits, you will have to pay to see them.

Drugs and medicines prescribed by a GP are obtained from a pharmacy (Farmacia) and, as in the UK, a contribution has to be made toward the cost (up to 40% of the cost of medication) unless you are a pensioner. A number of pharmacies still close during the lunch period and there is usually a 24- hour pharmacy in each town.

If you are unfortunate enough to require hospitalisation, there are differences in the system between Italy and the UK. Besides the obvious language problems, nursing care is not as complete in Italy and family members are expected to assist with a number of daily routines that are taken for granted in the UK. A number of facilities, especially in the private sector, allow an extra bed for a member of the family to use.

Tax Identification Number

Whether you become a resident in Italy or remain non-resident, if you have financial affairs in Italy, i.e. ownership of property, you must obtain a tax identification number. Italian nationals have a ‘Numero di Codice Fiscale’ or ‘NCF’.

Non-Italian residents have a tax reference number referred to as a ‘NCF’ or ‘Numero di Codice Fiscale’.

You can apply for an NCF at any national police station (comissario) that has a finance department. You will need to take a photocopy of the important pages of your passport.

Your NCF is unique to you (like your National Insurance Number) and is used in all your dealings with the Italian tax authorities, for example, when paying property taxes.

You are also required to provide your NCF number when making deposits or receiving credits or loans to a Italian bank. You have up to 30 days to provide your NCF number to the bank. The bank, in addition to reporting these types of transactions, must also report any issuing of cheques against deposits. Failure to comply with either of these and the bank’s and in some cases, individuals can be heavily fined.

The Tax System

Whether you live in Italy or you have a second home there, you are bound to become involved with the Italian tax system. At the very least, you will pay local taxes (like the old British rates system) and if you own property in Italy, it will be subject to Italian inheritance tax. If you are considered tax resident in Italy for which there are various criteria, all your income and assets worldwide are potentially liable for Italian tax.

In theory, you may also be liable for UK tax, but in practice, there is a double tax treaty between Italy and the UK which protects you from paying twice.

On the positive side, a move to Italy gives you a window of opportunity to do some effective tax and investment planning.