The Permanent Residence Scheme
The Maltese Permanent Residence Scheme was an attractive residence scheme available to EU and non-EU nationals alike, seeking to transfer their tax residence to a safe, high quality and tax-efficient jurisdiction such as Malta. Persons with a stable financial position and who purchased or leased a residence in Malta could take up residency as permanent residents of Malta. Permanent residents may live and enter into Malta freely without any visa or immigration restrictions. Residents of Malta under the permanent residency scheme and who are not domiciled in Malta are taxable on a remittance basis at a flat rate of 15%. Accordingly, permanent residents are not taxable on foreign source income not received in Malta and also not taxable on any capital gains arising outside Malta, whether remitted to Malta or otherwise. Permanent residence is suitable for persons seeking to take up residence in Malta whether they intend to live physically in Malta or otherwise.
The Malta Permanent Residence Scheme have evolved into new High Net Worth Individual Tax Rules that offer permanent residence permits to HNWIs along the lines of the original PR Scheme but subject to a number of new rules, including new minimum property value thresholds for property purchased or leased in Malta and new applicable minimum tax levels but with the possibility of taking up employment and conducting a business activity in Malta and subject to the same flat rate of personal tax of 15%.
Our Residence Services
Led by Dr Jean-Philippe Chetcuti and Dr Priscilla Mifsud Parker, Chetcuti Cauchi's award winning Immigration & Relocation Law team is the oldest specialised immigration law practice in Malta. We have successfully represented individuals and families ranging from expatriate retirees, emigrants seeking employment, to HNW individuals listed in Fortune 500. We advise on the legal and tax rules and implications of taking up ordinary residency in Malta as well as handle residence applications as authorised registered mandataries. Our advice covers the rules applicable to immigrating to Malta under a number of available residence schemes as well as practical relocation assistance ranging from transportation and insurance to schooling and health insurance coverage.