Chinese companies can open subsidiaries or branches in Italy without requiring an Italian shareholder or director. Directors do not need a visa or permit to be appointed but may need one to live in Italy if the company is over 3 years old. Directors must have an Italian tax code even if they do not live in Italy. A company does not need a physical office at incorporation but can use a lawyer or accountant's office as its registered address. Opening a bank account can be difficult due to strict Italian and European money laundering regulations which require banks and professionals to verify customer identities and ownership structures and monitor transactions for suspicious activity.

1. Legal risk prevention of Chinese-funded Enterprises investments in Italy
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Avv. Marco Mazzeschi

2. Frequently asked questions
• Can a Chinese company or indivisual open a subsidiary or branch in Italy?
YES
• It is necessary to have an Italian shareholder in the company?
NO
• It is necessary to appoint also an Italian citizen as Director??
NO
• The Chinese directors need to have a visa/permit of stay to be appointed?
NO
• Only if they want to live in Italy (Companies older than 3 years)

3. • The directors must have a tax code (codice fiscale) even if they do not live in
Italy? YES
• Can a Chinese appointed officer obtain a visa based upon his appointment?
NO
• Only if the company is older than 3 years
• The company must have a physical office upon incorporation
NO
• The registered office can be at the office of a lawyer or CPA

4. Opening a bank account: why can be so difficult?
Strict money laundering regulations in Europe and Italy
Banks, lawyers, accountants must:
- Know your customer (KYC): identify the beneficial owner. For
companies, trusts, etc. they must take risk-based and adequate
information and measures to understand the ownership and control
structure of the customer
- Assess possible risks: monitor any transactions undertaken
throughout the course of that relationship to ensure that they are
compliant with AML regulations
- Report suspicious transactions: they are obligated to report suspicious
transactions to the Authorities