Malta is an island state in the Mediterranean Sea, neighboring Italy, and being a member of the EU as well as part of the Schengen Zone. The country attracts foreigners with the opportunity to legally reduce tax burdens, its excellent climate, and well-developed education and healthcare systems. Another significant advantage is the recognition of English as the official language in the country. An excellent opportunity to move to Malta and take advantage of the benefits of its residency is provided by the Malta Global Residency Program.
The Malta Global Residence Programme is designed for citizens of countries not part of the EU/EEA and allows for significant tax optimization by combining tax preferences with the opportunity to reside in sunny Malta.
Advantages of the Malta Global Residence Programme
- 0% tax on income earned outside Malta;
- 0% inheritance tax and no luxury tax;
- 15% tax on income earned outside Malta and transferred to Malta;
- Along with the main applicant, spouses, children up to 25 years old, financially dependent persons of the main applicant, and dependent relatives can participate in the program;
- It is possible to work or conduct business in Malta. It is worth noting that in this case, the tax on income earned in Malta will be calculated at a progressive rate from 0% to 35%.
Requirements for participation in the Global Residence Programme
To participate in the program, it is necessary to purchase or lease property in Malta. The requirements for the purchase or lease amount vary depending on the region.
To participate in the program, you need to:
- Purchase property in Malta for a minimum amount of 275,000 euros or in the south of Malta, on the island of Gozo, for a minimum amount of 220,000 euros, or
- Lease property in Malta for a minimum amount of 9,600 euros or in the south of Malta, on the island of Gozo, for a minimum amount of 8,750 euros;
- Obtain medical insurance;
- Provide a certificate of no criminal record issued no later than 6 months before the date of document submission;
- Confirm financial security;
- Pay an official participation fee of 5,500-6,000 euros depending on the region of property purchase or lease.
Requirements for extending status
- Pay a minimum tax obligation of 15,000 euros per year. Please note that the amount must be paid regardless of whether you transfer funds to Malta or not. If you transfer more than 100,000 euros, the tax obligation on transferred funds will be calculated using the formula: amount of transferred funds x 15% = tax obligation.
- Not stay outside Malta for more than 183 days per year
- Have a current lease agreement for the next year (in case you rent housing).
In conclusion
Malta can become not only a wonderful tourist destination for you but also a place of residence. The Malta Global Residence Programme will significantly optimize tax burdens if you receive income from foreign sources. Moreover, you can also engage in business or employment in the country.
You can find out about other migration programs in Malta by following this link.
If you are interested in the Malta Global Residence Programme, feel free to contact us for consultation or document processing. We are official partners of a reputable accredited Maltese legal company.
