The Malta Residence Programme for EU nationals have just been launched to upgrade the already successful residence programme available to nationals of the EU, EEA or Switzerland, the High Net Worth Individuals (EU/EEA/Swiss Nationals) Rules. The Malta Residence Programme is designed to attract wealthy individuals and families who do not already enjoy permanent residence status in Malta, to take up residence in Malta.
The Malta Residence Programme rules shall be deemed to have come into force with effect from 1st July 2013 by virtue of Legal Notice 270 of 2014.
Tax Benefits under the Malta Residence Programme
The tax benefit will consist mainly of the right to pay tax at a flat rate of 15% on all foreign source income which is remitted to Malta. Any other income (such as local source income) is subject to a flat rate of 35% tax. This is subject to a reduced minimum annual tax liability of €15,000 covering the main applicant and dependents included on the same application.
Lowering of Min. Property Value
The applicant must own property in Malta which is purchased for not less than €220,000 if purchased in Gozo or in the Southern region of Malta and a minimum of €275,000 if purchased anywhere else in Malta. Alternatively, the applicant may opt to rent a property of which the minimum rental is €8,750 per annum if rented in Gozo or in the Southern region of Malta and a minimum of €9,600 per annum if rented anywhere else in Malta.
A non-refundable administrative fee needs to be paid in respect of any application for special tax status, including the Malta Residence Programme. The official application fee is that of six thousand Euros (€ 6,000) except where the qualifying owned property is situated in the South of Malta, in which case the administrative fee is reduced to five thousand five hundred Euros (€5,500).
For more information about the Malta Residence Programme for EU/EEA/Swiss nationals, contact us at your convenience.