The Global Residence Program (GRP) in Malta was launched in June 2013, under Global Residence Program Regulations 2013. This scheme is designed to attract third country nationals who dont want to become permanent or long term residents of Malta. EU/EEA nationals cannot apply.
GRP scheme is one of the three investor citizenship and residence programs run by Malta to attract HNW clients. The Key benefit of Maltese Global residence scheme is special tax status. Once you acquire long term residency or become a citizen, this special tax benefit is gone and you will be liable to worldwide taxation. This is why you should seek no permanent residency and no citizenship under this scheme. If you want PR or citizenship this scheme is not for you, opt for Malta Residence Visa (MRV). This program is similar to non-habitual tax regime offered by Portugal and Italy to HNW individuals.
There are no minimum investment required under this scheme except beneficiaries must pay a minimum €15,000 tax annually or 15% flat tax. This minimum tax covers income of the beneficiary and his / her dependants. Another important benefit of this scheme is, household employee is an individual who is paid to provide a service within their employer’s residence. This perk is not available with MRV golden visa scheme
- Safest country in the world
- Gateway to the EU with full access to single EU market
- Malta is full member of European Union and Schengen Agreement
- Warm weather in a sunshine country
- World class education and health care benefits
- Opportunity to invest in Maltese real estate market.
- Destination for EU Yacht registrations with VAT benefits
- Tax Residency in Schengen country
- No investment required
- Household staff (one or more) can be added
- Pay a flat 15% tax on foreign remittance or pay minimum 15K euro annual tax.
- No Capital gains tax from outside Malta.
- No taxes for dependents.
- Free movement in the schengen area
- Fast processing times (3-4 months)
- English is official language and drives left (UK)
- Family members also get residence benefits
- No minimum residence or living requirements
- Spend no more than 180 days in a single jurisdiction.
- Eligibility to apply for work permit to pursue employment opportunities
- Special tax benefits passed down to beneficiary after death or can be opted out anytime
1. Person is a not a Maltese national, EU/EEA and Swiss citizen.
2.Housing – Rent a Immovable property situated in Malta other than in the south of Malta (see below): €9,600 per annum ii. Immovable property situated in the south of Malta: € 8,750 per annum iii. Gozo: € 8,750 per annum (OR) Purchase an Immovable property situated in Malta other than in the south of Malta (see below): €275,000 ii. Immovable property situated in the south of Malta (see below): € 220,000 iii. Gozo: €250,000
3. Not a beneficiary in terms of any of the below tax programs: (these statuses must be renounced)
a. Residents Scheme Regulations;
b. High Net Worth Individuals Rules;
c. Malta Retirement Programme Rules;
d. Qualifying Employment in Innovation and Creativity Rules; or
e. Highly Qualified Persons Rules.
4. Produce police and other clearance certificates to prove clean criminal record.
Special Tax Status
Beneficiaries of special tax status granted requires you to to pay a minimum tax of €15,000 annually under GRP regulations.
An individual who has been granted special tax status in accordance with the GRP, hereinafter referred to as “beneficiary”, will be subject to tax at a rate 15% or fifteen cents (0.15) on every euro thereof on any income that is received in Malta from foreign sources by the beneficiary and his/her dependants indicated below. This rate of tax will apply from the year of confirmation of the special tax status up to year of cessation of status, both years included.
Dependants who will be able to benefit from this special tax:
– The beneficiary’s spouse;
– Minor children including minor children and children who are in the care and custody of the beneficiary or the beneficiary’s spouse;
– Children including adopted children and children who are in the care and custody of the beneficiary or the beneficiary’s spouse, who are not minors but who because of circumstances of illness or disability of a serious gravity, are unable to maintain themselves.
A household staff would be subject to tax in Malta at the rates set out in Article 56(1) and is precluded from benefitting from the 15% tax rate must be registered with tax office in Malta.
An individual who benefits from special tax status must submit the Annual Tax Return
A Tax Residence Certificate (‘TRC’) may be issued by the Maltese Inland Revenue Department.
Note: It is important to make your international tax planning BEFORE you apply for immigration status in Malta.
Applications may be submitted by high-net-worth beneficiaries for GRP for the purpose of Economically self sufficient residence permit at Identity Malta or at a consulate abroad.
The processing time for applications is 4 months
Beneficiary or household staff taking up work or employment must apply for a work permit issued by the Employment and Training Corporation (ETC) to be able to work in Malta
The following fees apply for GRP scheme
|Immovable Property Purchase||€275,000||€220,000|
Please contact us for more information.