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Malta
Global Residency Program
2013 saw the introduction of an upgrade
programme to the existing Malta Permanent Residency program creating the
attractive Malta Global Residency Program.
 Malta is one of the most
attractive locations in Europe for tax-efficient private residence. Non-European persons
have the possibility of acquiring Malta Residency
under the
Malta Global Residency program. Persons of non-EU nationality are eligible to apply for
Malta Global Residency permits.
A Malta Global Residency permit
entitles its holder to reside permanently in Malta with the freedom to come and
go any time. Moreover, since Malta joined the European Union in 2004 it forms
part of the Schengen Area agreement immediately which means that a resident of
Malta has the possibility of travelling within the Schengen Area without
the need of obtaining a visa. A permanent resident enjoys a privileged tax
status while at the same time benefiting from Malta's wide network of double
taxation treaties. A further advantage of this status is that as long as the
resident abides by the rules of the permit, the permanent resident need not
spend any particular time actually residing in Malta.
Eligibility for Malta
Global Residency Program
Unlike the
Malta Golden Visa, applicants for Malta
Global Residency need not tie any sums in investments to be held for a minimum
period. They only need to buy or rent a house in Malta (min. Eur220,000 or
Eur9,000 rent per year). The only cost to residency is the minimum tax to
be paid at Eur15,000 per family every year. This covers the first Euro100,000
taxable income, if any, received in Malta. If no income is received in Malta
then no further tax is due over and above this minimum.
Benefits of Malta Global Residency
Program
Schengen Residency
Holders of Malta Global Residency enjoy Schengen
residence, and accordingly, they are allowed to live indefinitely in, come and go
from Malta any time and to travel
freely within the Schengen area and remain in another Schengen country for up
to three months in every six month period.
No Minimum Stay Requirements
Golden Visa residents are not required to
demonstrate a minimum period of physical presence in Malta for Malta tax or
immigration purposes.
Low Flat Rate of Tax on Foreign Income Received
A 15% flat rate of tax applies to foreign
source income received in Malta. No tax is due on foreign income not used
or received in Malta. No tax is due on any foreign capital gain even if
received in Malta.
Remittance Basis of Taxation
Malta's tax system was inherited from British colonial times
and the 1948 Malta Income Tax Act preserves
the classical concepts of residence and domicile, without the subsequent changes
applied under UK tax law.
Persons holding Malta Global Residency
enjoy a remittance basis of taxation. They are subject to Maltese taxation
only on foreign source income only if this income is transferred to or used in Malta.
Any foreign source capital gains are not subject to tax in Malta even in received or
used in Malta. Taxation is due on income and capital gains arising in
Malta. (See
Tax Savings on
Pension Income).
Exemption from customs duty
Your used household and personal
effects, furniture and other domestic articles (excluding firearms and weapons
of all kinds) may be imported free of duty if imported within six months of your
arrival in Malta. In such cases import licences are not required.
One private motor-vehicle may be
imported free of duty provided:
- it has been in your possession
for a continuous period of at least six months immediately before the issue of
the said residence permit;
- all charges due thereon have
been paid prior to the vehicle’s arrival in Malta, and
- it is imported within six
months of either your arrival in Malta, or of the issue-date of your residence
permit (whichever date is the later)
 If you are married, you and your
spouse will only be able to import one car between you on these terms. Customs
duty will become payable on the value of the vehicle as assessed by the Customs
Department, at the time it is transferred to a non-entitled person. A first
registration fee is payable according to the vehicle’s horsepower.
Repatriation of your capital
and income
This applies to:
- Any unspent remainder of the
capital you brought to Malta
- Any income this has accumulated
during your stay
- Any proceeds from the sale of
your property and/or other investments in Malta.
No death duties are payable in
Malta
Though no death duties are payable
in Malta, Transfer Duty (according to the Duty on Documents Transfers Act of
1993) is charged on:
- Immovable property in Malta
- Any shares in a locally
registered company (excluding those companies listed on the stock exchange)
Official References:
Malta Global Residency,
Malta Global Residence Program
Residency Pages |
Tax Relocation |
Malta Residence |
Taxation of
Pension Income in Malta |
Malta Golden Visa Residency | Malta Global Residency
Program |
Malta Citizenship by Investment
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