U.S.–Italy Business Structuring | LLC, SRL, P.IVA | JSBC
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For Founders, Freelancers & Operators

Pick the right entity the first time.

Restructuring later costs five to ten times what choosing right at the start does. We help cross-border founders make the entity decision — LLC, SRL, sole proprietor, freelancer — with both tax codes on the table at once.

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The default entity is almost always wrong cross-border.

The default in the U.S. is "LLC." The default in Italy is "SRL." Both are right for some cross-border situations and wrong for others. The S-corp election that saves U.S. self-employment tax becomes an Italian tax bomb the day you become an Italian resident. The single-member LLC that's invisible to the IRS is fully visible — and fully taxed — by the Agenzia delle Entrate.

This is where most cross-border founders lose money. U.S. attorneys form LLCs without asking where you live. Italian commercialisti form SRLs without asking about your U.S. citizenship. Each one is doing their job correctly inside their own system. The mismatch only shows up at the second tax season, when both returns have been filed and they contradict each other.

JSBC sits in the middle. Entity recommendation modeled under both tax systems, formation in the right jurisdiction, EIN and Partita IVA registration, and ongoing compliance — Italian e-invoicing through SDI, U.S. corporate returns, transfer pricing basics, withholding management. The right structure the first time, plus the people to keep it filed every year after.

What's included

Decision, formation, then ongoing compliance.

Entity selection analysis

Written recommendation comparing your options under both tax systems. We model after-tax outcomes — not just "LLC because it's flexible." If two structures are close, we say so and explain the tradeoffs in writing.

Formation & registration

LLC, SRL, SRLS, or forfettario setup. EIN with the IRS. Partita IVA with Agenzia delle Entrate. INPS and INAIL registration where required. SDI e-invoicing setup for Italian entities.

S-corp & disregarded-entity risk review

If you're a U.S. owner moving to Italy, your S-corp or disregarded LLC creates Italian tax problems the treaty doesn't fully resolve. We diagnose and recommend a restructure before the move triggers Italian residence. See why Americans in Italy shouldn't own S-corps.

Ongoing dual-country compliance

Annual U.S. corporate returns (1120/1120-S/1065 plus K-1s), Italian bilancio plus IRES and IRAP filings, SDI e-invoicing operations, transfer pricing review when intercompany flows exist, books that reconcile across both jurisdictions.

How we work

Discovery, modeling, formation, then operations.

01

Discovery

What's the business, where are you tax-resident now, where will you be, who are your clients, what's the 24-month plan.

02

Modeled scenarios

Two or three entity scenarios with after-tax outcomes in both countries. Written recommendation, not just a verbal call.

03

Formation

Whichever option you pick, we form and register — including EIN, P.IVA, share capital, SDI setup, and any required INPS/INAIL.

04

Compliance setup

Ongoing calendar, e-invoicing operations, payroll where needed, books that reconcile across both jurisdictions.

Common questions

Questions we hear about cross-border structuring.

Should I form an LLC or an SRL?
Depends on where you live, where your clients are, and whether you're a U.S. citizen. LLC works for many U.S.-resident owners. SRL is typical for Italian-resident owners. If you're crossing the line — moving to Italy as a U.S. owner of an LLC, or vice versa — we model both before formation. See opening an LLC as an Italian resident and SRL taxation for Americans.
I have an S-corp and I'm moving to Italy. What happens?
Italy doesn't recognize the S-corp election. The pass-through entity becomes a regular corporation in Italian eyes, creating double taxation that the treaty doesn't fully resolve. We restructure before you trigger Italian tax residence — not after. See why Americans in Italy shouldn't own S-corps or disregarded LLCs.
What's the difference between forfettario and ordinario partita IVA?
Forfettario is a 15% flat tax (5% for the first five years), simplified accounting, revenue cap €85,000, limited deductions. Ordinario is regular IRPEF rates with standard deductions. Forfettario usually wins for low-revenue freelancers; ordinario wins for higher-revenue or expense-heavy practices.
Do I need an Italian tax pro and a U.S. tax pro?
You need both perspectives. JSBC does both in-house so you don't manage two firms that don't talk to each other — which is exactly where the cross-border mistakes happen.
What's the cost of forming an SRL?
Roughly €2,000–€4,000 all-in for setup (notary, share capital deposit, registrations). Annual maintenance is typically €1,500–€3,000 depending on activity and reporting requirements. We quote against your specific scenario.

Structure once. Don't redo it twice.

30-minute consult, no obligation. We'll tell you what entity actually fits your situation and what the next twelve months look like.

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