United Nations Pensions Programme

Alternative residence programme within EU

United Nations Pensions Programme


The United Nations Pensions Programme builds on the success of Malta’s reputation in attracting expatriates seeking an alternative residence in a jurisdiction with a favourable tax regime, and a Mediterranean lifestyle. The process to become a Malta resident under this Programme is completed within 3 months, after which, the applicant enjoys Schengen residency and a tax flat rate of 15% on income remitted to Malta.  To be eligible for the United Nations Pensions Programme, one must ensure that 40% of the UN Pension is received in Malta. One is also required to buy/rent a residence in Malta and pay a minimum annual tax of €10,000.

Taxation

Maltese residents are not subject to tax in Malta on foreign sourced income not remitted to Malta, nor are they subject to tax on any foreign sourced capital gains whether remitted to Malta or not. Beneficiaries under the United Nations Pensions Programme are exempt from taxation on their UN pension income or widows’ benefit received in Malta. Income arising outside Malta which is remitted to Malta by the beneficiary or his dependants is taxed at a special tax rate of 15%. Any income of the beneficiary or his dependants, generated in Malta is taxable at a flat rate of 35%.





Country Highlights

CAPITAL CITY: Valletta  LANGUAGES: Maltese, English
TIME ZONE: Central European Time Zone (UTC+01:00) CURRENCY: Euro €
TOTAL AREA: 316 km² POPULATION: 417,432
NEAREST COUNTRY: Italy, 255 km SCHENGEN STATUSFull Member


Legal Basis

The United Nations Pensions Programme regulations were enacted by virtue of Legal Notice 184 of 2015, under the Maltese Income Tax Act. The scope of these regulations is to determine the conditions of individuals residing in Malta under the United Nations Pensions Programme. 


Benefits

  • Fast Process of operation in 3 Months;
  • No Income Tax on the UN Pension Income;
  • Presence is not Required;
  • Remittance is a Basis of Taxation for 15% Flat Rate;
  • Applicant is getting Schengen Residence.


Eligibility

  • Beneficiaries must be in receipt of a UN Pension of which at least 40% received in Malta;
  • Pay a non-refundable administrative fee (€4,000) to the Commissioner for Revenue; 
  • Buy property in Malta, min €275,000 or Gozo, min €220,000 or rent property in Malta, min €9,600 or Gozo, min €8,750 (annually);
  • Pay a minimum annual tax in respect of the income arising outside Malta which is received in Malta excluding UN pension income or Widow’s benefit (€10,000) and an additional (€5,000) in the event that both spouses are in receipt of a UN Pension;
  • Applicant should be covered by an EU Health Insurance Policy. 


Process & Timeline




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Key Contacts

Dr Jean-Philippe Chetcuti

Managing Partner
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