Updated: August 31, 2021 | 18 minute read

    Malta Residency 

    Malta has triumphantly proved itself as the new hub for progress with stability.
    Nicely tucked between South of Sicily and North Africa. Malta’s geographical location is attracting settlers from all over the world. The Maltese archipelago works as a doorway to the European, African and Middle Eastern markets. Its consistent regulatory and skilled atmosphere attracts businesses not only from Europe but also from the rest of the world.
    Becoming a Resident of Malta can prove to be valuable for you and your family in many ways. But the important question which arises is, How can you become a resident of Malta?
    Endevio is committed to provide you updated and accurate information about Malta and our services. Read about acquiring permanent residency in Malta here. 
    Let us show you the Top 4 ways to Acquire Maltese Residency.

    Malta Residency 

    What are the types of Residency Programs in Malta?

    Malta offers various residency schemes under which you can obtain residency.
    If all the requirements are met, the programs listed below give you the opportunity you and your family to relocate to Malta, or to hold residency status in Malta for various reasons.
     

    Top 4 ways to Acquire Malta Residency

    • Malta Ordinary Residence Scheme;
    • Malta Residence Program;
     
    Let’s dig deeper and talk about the programs individually.
     

    Ordinary, Long-term & Temporary Residence

    It is understood that anyone who physically lives on the island for a duration of six months or more is an Ordinary resident of Malta.

    Any EU/ EEA/ Swiss nationals are eligible to apply as ordinary residents by providing evidence that they are financially stable or employed.

    EU/EEA/Swiss nationals and Non-EU nationals may accompany the main applicant provided that they prove that they are financially dependent on the latter.

    You can also apply as a student who will be receiving education in Malta. In the event that the student is under-age than the legal guardian can apply for a residence permit to accompany the student by confirming that they have a stable income.

    EU/EEA/Swiss nationals and their family members may apply for permanent residence upon completing a continuous five-year period of legally living in Malta. Applicants must not have absented themselves from Malta for more than six months a year.

    Non-EU nationals may apply for a residence permit if they will be working in Malta or upon opening a business in Malta provided certain criteria are satisfied.

    Long - Term Residence

    Long-term residence to Non- EU nationals is applicable if they have been legally residing in Malta for five consecutive years.

    Within those five years, the applicant must ensure that they did not leave the country for more than six months. Therefore, in the five-year period, the applicant has not been away for more than a total of ten months throughout this five-year period.

    Foreign partners of EU nationals may apply for residence in Malta provided that they confirm that they have a regular and stable income and that the relationship has existed for at least two years.

    Non-EU nationals who reside legally in Malta may apply for the reunification of their family members, namely the spouse being 21 years of age or over and minor unmarried children under the age of 18.

    A temporary residence permit may be granted to Non-EU nationals to reside in Malta for more than three months on a case by case basis.

    Ordinary Residence Scheme (Malta)

    This residence scheme is only available to EU/EEA nationals or national of Switzerland, Liechtenstein, Norway or Iceland.

    So, if you are one of these individuals, then you can benefit from it.  All you need is to prove your financial independence.

    This scheme gives you the right to move your tax residence (pay taxes in Malta) to a secure and tax-efficient jurisdiction.

    You would be required to either buy or rent a property in Malta to evidence ordinary residency.

    As an ordinary resident, you can also work or do business in Malta.

    If you hold an ordinary residence permit, you can convert it to other available residence schemes as well. Provided all the requirements are met with.

    If you are a non-EU national, your application will be approved at the discretion of the authorities.

    Now you must be wondering about:
     

    Taxation under the Ordinary Residence

    If you are a resident of Malta but not domiciled in Malta, you will be taxed on a remittance basis. All your foreign-sourced income will not be taxed unless brought to Malta.
     
    You will also not be taxed on any capital gains arising outside Malta, whether remitted to Malta or otherwise.

    Related:

    Application Process Time

    The processing time for the ordinary residence permit much less than other residence schemes and is probably the fastest of them all.

    We at Endevio can help you at every step. Our team of highly qualified professionals can assist you in achieving your desired goal.  Get in touch with us at info@endevio.com

    Moving on, there is another residency program which you can tap into if you intend on becoming a Maltese resident.

    Taxation under the Ordinary Residence

    Malta Residence Program (RPR)

    The Malta Residence Program is specially designed for High-Net-Worth individuals and their families. 

    If you are an EU, EEA or Swiss national but not a resident in Malta, and you want to relocate to Malta, then this is the program for you.
     
    You can benefit from the Tax Status that is granted to you under this program.
     
    It can be advantageous if you are seeking to enhance your tax position further.
     
    Under Malta RPR, your income will be taxed on source and remittance basis.
     
    Which means, all the income with Malta source or any other income sourced outside of Malta but received in Malta will be taxed at a special 15% rate under this program.
     
    You may also have the possibility to claim relief from double tax treaties. To date, Malta has concluded more than 72 double taxation agreements for the avoidance of double taxation.
     
    Find out more about the Malta tax structure here. 
     
     Important:  RPR only gives you a Special Tax Status with a tax number to remit your income in Malta.
     
    For you to be eligible for submission of an application under the Malta Residence Program application, you must:
     
    • Be an EU, EEA or Swiss national;

    • Hold an immovable qualifying property (Purchased or Rented) situated in Malta (including South of Malta or Gozo). In all cases, the said property must be occupied as the primary place of residence.

    • Have a stable and regular income for maintaining yourself and your family;

    • Have medical insurance that covers you and your family globally;

    • Have a certificate of good health from a reputable health system;

    • Never been denied a visa to a country with which Malta has visa-free travel arrangements;

    • Have a valid travel document; and

    • Be fluent in one of the official languages of Malta (English or Maltese)

    • Not stay in any other jurisdiction for more than 183 days in a year.

    Malta Residence Program (RPR)

              

    What is Malta Global Residence Program?

    The first thing you should know about the Malta Global Residence is the key concept is to offer applicants a better way to optimize their tax opportunities. This means that applicants can benefit from a flat - rate of 15% on income tax. What's more is that the requirements of the applicant are minimal.

    Here are the Requirements and Cost of Getting PR in Malta

    The main requirement for Malta's Global Residence Programme is to rent or buy a property in Malta and paying an administrative fee amounting to EUR 6,000.

    Key Feature:  To obtain your residence permit in Malta with the Global Residence Program, you do not need to reside in Malta. 

    Taxation of Maltese Global Residents

    This exclusive scheme grants you a Tax status under the Maltese jurisdiction.
     
    If you are a non-EU/EEA national, you can benefit from this program and can take up residence in Malta. You can benefit from the Tax Status that is granted to you under GRP.
     
    It can be advantageous if you are seeking to establish an alternate residence to enhance your lifestyle and tax profile further.
     
    Under GRP, your income will be taxed on source and remittance basis.
     
    Which means, all the income with Malta source or any other income sourced outside of Malta but received in Malta will be taxed at a special 15% rate under GRP.
     
    As we mentioned earlier, Malta offers special tax status by setting the personal tax rate on foreign source income remitted to Malta at 15%.

     

     Important: 

    GRP only gives you a Special Tax Status with a tax number to remit your income in Malta. 
     
    You can couple GRP with Malta Permanent Residency Program to get both Tax Status and a Residency card.
     
     

    Eligibility for the Maltese Global Residence Program

    To be eligible for submission of Global Residence Program (GRP) application, you must:
    • Be a 3rd country national;

    • Be a non-Maltese, EEA or Swiss national;

    • Have a stable and regular income for maintaining yourself and your family;

    • Have medical insurance that covers you and your family globally;

    • Have a certificate of good health from a reputable health system;

    • Never been denied a visa to a country with which Malta has visa-free travel arrangements;

    • Be fluent in one of the official languages of Malta (English or Maltese);

    • Not stay in any other jurisdiction for more than 183 days in a year;

    • Hold a qualifying property.

    ** The Malta Global residence program gives you tax status on Maltese Islands but not a residence card.

    Malta Global Residence can also be obtained by:

    • A spouse;

    • Adult children under 25 years of age;

    • Parents above 55 years of age.

    Residence permit in Malta can be obtained by other family members who are dependent on the main applicant.
     Noteworthy:  If you want, you can also include more than one household staff in your application. Provided they have been serving you for at least two years in a systematic manner.
    Eligibility for the Maltese Global Residence Program

    The Malta Permanent Residency Program?

    If you are a third-country national, then the MRVP allows you and your family to relocate to Malta. This can be done by taking up a residency by an investment program.
     
    The MRVP can grant you and your family the right to reside, settle and stay indefinitely in Malta. It is done by issuing you with a lifetime Permanent Residency Certificate together with a Malta residence card. 
     
    In simple words, you and your family can take up Malta permanent residence through the MRVP. 
     
    Given that Malta is a member of the European Union and also the Schengen area, you enjoy unrestricted entry into Malta as well as free movement within the Schengen Area, within the Schengen agreement. This means you can cross internal borders without checks.
     
    You might also be interested in:
    By obtaining MRVP, you are entitled to:

     

    • Visa-free travel within the Schengen area;

    • The right to reside, settle and stay indefinitely in Malta;

    • The eligibility to apply for naturalisation as a Maltese citizen;

    • The possibility of tax benefits under the Global Residence Program;

    • European Long Term Residence permit after five years in Malta;

    Now that you know what the MRVP is and the benefits it entitles you to,
    Let us jump to the next big question,
     

    What are the eligibility criteria for MRVP?

    For you to be eligible for the MRVP, you must meet several Malta immigration requirements, namely:
     
    • Be at least 18 years of age;

    • Have an annual income of not less than €100,000 arising outside of Malta, or have a global net worth in excess of €500,000;

    • Have a stable and regular income for maintaining yourself and your family;

    • Have medical insurance that covers you and your family globally;

    • Have a certificate of good health from a reputable health system;

    • Never been denied a visa to a country with which Malta has visa-free travel arrangements;

    • Not be considered a potential national security risk;

    • Not having a reputational risk; and

    • Not subject to criminal proceedings.

    Let’s now dive a bit deeper and discuss another important question:
     

    What is the cost of obtaining a residence status under the Malta Residence Program?

    Several financial obligations have to be met with to get the Malta residence permit under RP.
    the Malta residence program cost (MRP)
    Other than this you would be required to fulfil:
     

    Malta Residency Requirements 

    The RPR list a set of continuing obligations that need to be satisfied by all successful applicants.

    For that, you must continue the following annually:
     
    • Not become a Maltese or a third-country national;

    • Retain the Qualifying Property;

    • Not become a long-term resident or permanent resident;

    • Retain insurance for yourself and your family;

    • Continue to have stable income resources; and

    • Must not stay outside of Malta for a period of more than 183 days in a calendar year.

    Before we discuss the benefits of taking up dual residency, there are two more ways by which you can take up Malta residency by investment (for Non-EU nationals).
     
    • Malta  Permanent Residency Program and
    • Global Residence Program (GRP).
     
    Moving on,
    Let us now discuss the:
     

    Benefits of becoming a dual resident

    We thought we would make it easier for you and list out a few of these benefits : 
     
    • Buying a Second Home:

    The dual residency gives you the option to turn your dream destination into a place you can call your second home. It can also make you a part of one of the most welcoming communities like Malta. You can make the most of the buoyant real estate market in Malta.
     
    Related:
     
    • Education:

    All parents want to give their children the best possible start to their working life. Becoming a Maltese resident can facilitate access to better education.
     
    • Investment:

    Dual residency can open doors to an abundance of business and entrepreneurial opportunities. You can base your operations in one of the European Union’s fastest-growing and most robust economies.
     
    • Family Lifestyle:

    You and your family can relax in one of the safest countries in the world with access to leading health care institutions.
     
    • Tax Efficiency:

    You can benefit from the tax-efficient system on both personal and corporate basis.
     
     
              

    Conclusion

    Malta can be an attractive option if you are looking for options to relocate.
    If you are thinking of becoming a Resident of Malta, some of the many factors that rank Malta amongst the top ones are:
     
    • Steady economic growth;

    • Political stability;

    • Its geographical location;

    • Booming sectors including financial services, maritime, aviation, gaming and real estate;

    • Tax-efficient systems;

    • One of the world’s safest countries.

    Everyone who decides on shifting to Malta is attracted to its natural beauty and architecture; relaxed lifestyle; the affordable cost of living along; and its rich historical culture.  
     
    If you are interested in knowing more about your relocation options; for all the assistance you require, please write to us at info@endevio.com