Global Residence Programme Malta
The Global Residence Programme was launched in 2013 through Legal Notice 167 of 2013 with the purpose of attracting High Net Worth Individuals by offering a special tax status. It is one of a number of Malta residence programmes seeking to attract affluent investors to the Maltese islands. The Malta Global Residence Programme is available to persons who are not EU, EEA or Swiss nationals and their dependents. On successful application of the Global Residence Programme, the applicant and their dependents are issued with a residence permit that allows the beneficiaries to reside, settle or stay indefinitely in Malta.
What are the conditions?
In order for the Malta Global Residence Programme application to be successful a number of conditions must be satisfied and these include:
- The applicant of the Malta Global Residence Programme must be a non EU/EEA/Swiss national;
- The applicant of the Malta Global Residence Programme must be in receipt of regular and stable income which are of a sufficient level to be able to support himself/herself and his/her dependents with needing the assistance of the social security system in Malta;
- The applicant of the Malta Global Residence Programme must not be a person whom is benefiting from any other Malta residence or employment programme;
- The applicant of the Malta Global Residence Programme must hold a valid travel document;
- The applicant of the Malta Global Residence Programme must hold health insurance for himself/herself and any dependents;
- The applicant of the Malta Global Residence Programme must be able to communicate adequately in one of the official languages in Malta. That being Maltese or English;
- The applicant of the Malta Global Residence Programme must be a fit and proper person and pass a due diligence exercise carried out by the Maltese Inland Revenue Department prior to the granting of the special tax status.
Malta Global residence programme
Property Requirement for the Malta Global Residence Programme
In addition to the above, the applicant of the Malta Global Residence Programme must hold a qualifying property. The qualifying property should be a property situated in Malta purchased at a consideration of at least €275,000. The consideration value can be lowered to €220,000 if the property be situated in Gozo or the South of Malta.
The Malta Global Residence Programme allows for the leasing of a qualifying property. The qualifying property if situated in Malta should be leased for not less than €9,600 per annum. The lease per annum can be lowered to €8,750 for properties leased in Gozo or the south of Malta.
In all cases the property should be occupied by the applicant of the Malta Global Residence Programme as his/her primary residence. It should not be shared with other individuals except his/her dependents, including spouse, parents and children.
What are the tax benefits of the Malta Global Residence Programme?
On the successful completion of the Malta Global Residence Programme application process the applicant would qualify for a special tax status and would qualify for a flat rate of 15% tax. It should be noted that the minimum tax payable in respect of any year shall be €15,000 after taking into consideration and double taxation relief.
A person qualifying under the Malta Global Residence Programme rules must not stay in another jurisdiction for more than 183 days in any calendar year.
How much does the Malta Global Residence Programme Cost?
Applications for the Malta Global Residence Programme may only be submitted to the Commissioner of Inland Revenue through the services of an authorised registered mandatary. A non-refundable application fee of €6,000 (€5,500 if the applicant is settling in Gozo or the south of Malta) is payable to the Commissioner of Inland Revenue on application.
Malta: Malta’s global residence programme
Who can be deemed as dependents of the Malta Global Residence Programme?
The Malta Global Residence Programme allows for the following persons to be classified within the definition of dependents:
- The applicant’s spouse or a person with whom he/she is in a stable relationship;
- Minor children, whom are in the custody of the applicant;
- Persons under the age of 25, including adopted persons who are in the custody of the applicant;
- Children, including adopted who are in the care and custody of the applicant because of illness or disability.
Trusted and Authorised Advisors of the Malta Global Residence Programme
An applicant must authorise an authorised registered mandatory to act on his/her behalf in respect of all applications, correspondence, submissions, filings, declarations and notifications contemplated under the Malta Global Residence Programme rules.
As Trusted Malta Tax Advisors, we are an accredited agent and fully licenced to handle and submit applications for the Global Residence Programme.