Why Malta?
Malta packs unbelievable variety into its small archipelago. From ancient temples, fossil-decorated cliffs, and secret coves, to world-class scuba diving – the country is blessed with natural wonders and remarkable history. Maltese residents enjoy a high quality of life, an excellent healthcare system, low crime rates, outstanding schooling opportunities, and a culture that supports sustainability and personal wellbeing. This makes Malta all the more appealing for non-European nationals looking to truly widen their horizons by pursuing the Malta Global Residence Program.
Malta runs two investment programs for individuals looking to settle down in Malta and call this gorgeous nation home — the Malta Permanent Residence Program (MPRP) and the Malta Citizenship by Naturalization for Exceptional Services by Direct Investment (CES) program.
Malta runs two investment programs for individuals looking to settle down in Malta and call this gorgeous nation home — the Malta Permanent Residence Program (MPRP) and the Malta Citizenship by Naturalization for Exceptional Services by Direct Investment (CES) program.
Malta Permanent Residence Program
For non-European nationals who’ve always dreamt of living in a safe and stable country, the Malta Permanent Residence Program (MPRP), which was previously referred to as the Malta Global Residence Program, offers just that — a direct route to permanent residency.
After the Malta MPRP changes, qualified and vetted applicants must invest a minimum of €110,000 to be considered for the scheme, and be eligible to receive their Malta residence permit. Investments are made through a combination of qualifying property investments, government contributions, and charitable donations.
The Malta residency program MPRP enables foreign investors to tap into Malta’s dynamic property market, and provides qualified individuals with the right to settle and reside in Malta permanently, and extend residency status onto their immediate family members.
After the Malta MPRP changes, qualified and vetted applicants must invest a minimum of €110,000 to be considered for the scheme, and be eligible to receive their Malta residence permit. Investments are made through a combination of qualifying property investments, government contributions, and charitable donations.
The Malta residency program MPRP enables foreign investors to tap into Malta’s dynamic property market, and provides qualified individuals with the right to settle and reside in Malta permanently, and extend residency status onto their immediate family members.
Maltese Citizenship By Naturalization Program
Launched after the Malta Citizenship by Investment changes occurred, the Maltese Citizenship by Naturalization for Exceptional Services by Direct Investment (CES) acts as a new policy for what was previously known as the Malta citizenship by investment program, and provides non-EU nationals and their immediate family members with Maltese citizenship by way of naturalization. Its main qualification requirements stipulate that the primary applicant must invest a minimum of €600,000 in the country’s economic development, and pass strict due diligence processes.
Successful applicants to this program become eligible for Maltese citizenship by way of naturalization, provided they meet the program’s criteria and maintain their investments for the stipulated period. Only then can they qualify for a Malta passport and enjoy the right to live, work, and study in Malta. Once they are successfully naturalized, they get to benefit from the full set of rights other EU citizens get to enjoy throughout the European Union and Schengen area.
Successful applicants to this program become eligible for Maltese citizenship by way of naturalization, provided they meet the program’s criteria and maintain their investments for the stipulated period. Only then can they qualify for a Malta passport and enjoy the right to live, work, and study in Malta. Once they are successfully naturalized, they get to benefit from the full set of rights other EU citizens get to enjoy throughout the European Union and Schengen area.
| Comparison | Malta Permanent Residence Program Purpose: Permanent Residency Only | Maltese Citizenship By Naturalization Program Purpose: Residency OR Citizenship by Naturalization |
|---|---|---|
| Benefits | • Obtain Maltese residency within approximately a year of starting your application • Right to permanently reside in Malta with full set of rights under Maltese law • Lower investment threshold than Malta’s CES program | * Only program in Europe that offers citizenship by naturalization in a year • Unrestricted visa-free or visa-on-arrival access to 170 destinations • Malta residence permit can be obtained three weeks after submitting the application |
| Eligibility Criteria | • Be non-EU, non-EEA and non-Swiss • Not belong from a sanctioned country • Have enough financial resources to qualify for the program (including capital assets) • Hold a clean criminal record • Possess health insurance policy & travel insurance | • Be non-EU, non-EEA and non-Swiss • Not belong from a sanctioned country • Have a clean criminal record • Possess significant funds to successfully complete the investment • Fulfill all investment requirements |
| Visa Validity Period | The Malta residence card needs to be renewed every five years, although the Permanent Residence Certificate is valid for life. In the case of children, they must renew their cards when they turn 14 and 18. | Successful applicants are naturalized for life provided they fulfill the annual compliance requirements for the first five years. |
| Investment Requirements | Minimum investment of €110K that combines the following three investment routes: 1)Buy OR rent qualifying property 2)Non-refundable government contribution 3)Charitable donation | Minimum investment of €600K that combines the following three investment routes: 1)Buy OR rent qualifying property 2)Non-refundable government contribution 3)Charitable donation |
| Application Processing Timeline | Approx.12 months + | Approx.12 months + or 36 months + depending on the investment route |
Qualification Requirements
Anyone interested in pursuing the new schemes of the Malta Global Residence Program and obtaining Malta residency by investment, or citizenship by naturalization, will have to submit the necessary documents for their applications, and fulfill a certain set of requirements placed by the Maltese government to prove their eligibility for the schemes.
The main specifications that would determine whether or not an applicant would qualify for either one of the programs are primarily that they:
– Are third-country nationals, non-EU, non-EEA, or non-Swiss
– Do not belong from a sanctioned country, as stipulated by the Residency Malta Agency, nor benefit from other regulations and schemes
– Have stable and regular resources to sustain themselves and their family members, without leaning on Malta’s social assistance system
– Hold a clean criminal record, and be considered a fit and proper person
– Do not pose any potential threat to Malta’s national security
– Hold a valid passport, or a valid travel document recognized by Malta
– Have a health insurance coverage policy that covers all risks across Malta, and the Schengen area
– Meet the minimum investment threshold stipulated by the programs
– Fulfill all the necessary investment requirements and pass a stringent due diligence process
The main specifications that would determine whether or not an applicant would qualify for either one of the programs are primarily that they:
– Are third-country nationals, non-EU, non-EEA, or non-Swiss
– Do not belong from a sanctioned country, as stipulated by the Residency Malta Agency, nor benefit from other regulations and schemes
– Have stable and regular resources to sustain themselves and their family members, without leaning on Malta’s social assistance system
– Hold a clean criminal record, and be considered a fit and proper person
– Do not pose any potential threat to Malta’s national security
– Hold a valid passport, or a valid travel document recognized by Malta
– Have a health insurance coverage policy that covers all risks across Malta, and the Schengen area
– Meet the minimum investment threshold stipulated by the programs
– Fulfill all the necessary investment requirements and pass a stringent due diligence process
There are, however, additional requirements that must be met, depending on which program the individual is applying to. One example would be that the Malta permanent residence scheme (MPRP) requires that an applicant demonstrates that they have enough capital assets of no less than €500,000, from which a minimum of €150,000 must be in financial assets.
Another example would be that the Malta citizenship by naturalization scheme (CES) demands that an applicant neither has been previously denied a visa to a country that has a visa waiver agreement with Malta, nor has conducted business or has significant ties or connections to the following countries: the Islamic Republic of Afghanistan, the Islamic Republic of Iran, and North Korea.
For individuals to succeed in their applications and be legitimately considered as potential permanent residents or citizens of Malta, they would have to lodge their application with a Licensed Agent, and cover all additional administrative fees under the program.
Establishing Tax Residency in Malta
When applying for permanent residency or citizenship in a new country, you may ask yourself what taxations you’d be subject to. In Malta, tax status is not measured based on citizenship, rather on the individual’s tax residency and source of income; meaning the Maltese law determines your taxability solely based on your domicile and residence status.
Even if you succeed in acquiring permanent residency Malta will not necessarily consider you a tax resident there, as tax status is not a direct outcome of obtaining your Maltese residence permit via the MPRP. In fact, to be considered as a tax resident in Malta, you would have to spend over 183 days in one calendar year on Maltese grounds, or show strong proof of your intention to reside there indefinitely, and thereby be domiciled there.
Additionally, if you obtain your residency or citizenship status in Malta and choose not to be domiciled there, you will only have to make a tax contribution to the Maltese government on income tax accruing from business conducted in Malta. This rule is also applicable to capital gains tax in Malta, where you would only be subject to taxation on capital gains arising in Malta, however, even those are subject to certain exemptions under the Maltese taxation law.
Even if you succeed in acquiring permanent residency Malta will not necessarily consider you a tax resident there, as tax status is not a direct outcome of obtaining your Maltese residence permit via the MPRP. In fact, to be considered as a tax resident in Malta, you would have to spend over 183 days in one calendar year on Maltese grounds, or show strong proof of your intention to reside there indefinitely, and thereby be domiciled there.
Additionally, if you obtain your residency or citizenship status in Malta and choose not to be domiciled there, you will only have to make a tax contribution to the Maltese government on income tax accruing from business conducted in Malta. This rule is also applicable to capital gains tax in Malta, where you would only be subject to taxation on capital gains arising in Malta, however, even those are subject to certain exemptions under the Maltese taxation law.
Tax Efficient Benefits
As stipulated by the Maltese tax law, not everyone who acquires Maltese citizenship or residence status is subject to taxation in Malta, unless their income is accrued from business conducted there, or are otherwise registered tax residents. This means that non-tax residents are not subject to taxation on their worldwide income, only on income arising from local business profits, rental income, salaries, or pension income accrued in Malta.
Malta’s tax law makes the archipelago all the more alluring for foreign investors who want to earn consistent profit from property investment, or other investment opportunities, all the while maintaining their foreign-sourced income and capital gains.
Those who want to invest in Malta and benefit from its economic boom, or even a second residency or citizenship, can rest assured knowing they have exceptional tax benefits. Not only is Malta in double taxation relief treaties with a multitude of countries, it also adopts a remittance basis of taxation under Malta’s Income Tax Act, which even exempts Maltese nationals and tax residents of certain liabilities.
Moreover, it is important to note that Malta offers many other tax benefits and exemptions, as it does not impose inheritance tax, estate duty tax, wealth tax, municipal taxes, or property tax.
Malta’s tax law makes the archipelago all the more alluring for foreign investors who want to earn consistent profit from property investment, or other investment opportunities, all the while maintaining their foreign-sourced income and capital gains.
Those who want to invest in Malta and benefit from its economic boom, or even a second residency or citizenship, can rest assured knowing they have exceptional tax benefits. Not only is Malta in double taxation relief treaties with a multitude of countries, it also adopts a remittance basis of taxation under Malta’s Income Tax Act, which even exempts Maltese nationals and tax residents of certain liabilities.
Moreover, it is important to note that Malta offers many other tax benefits and exemptions, as it does not impose inheritance tax, estate duty tax, wealth tax, municipal taxes, or property tax.
Why us?
We offer a service tailored to your specific needs and requirements. Our team of local experts will work diligently from start to finish, ensuring a successful application. Professionalism and integrity are at the core of all we do.