Malta offers an interesting programme for people who wish to move to the country. The Global Residence Programme is aimed at non-EU, non-Swiss and non-EEA citizens who can obtain a residence permit and live in Malta. Another attractive incentive is that foreign sourced income remitted to Malta is taxed at 15%. However, certain conditions have to be met when taking part in this programme and to benefit from the tax rate.
According to the rules of the GRP, the residence permit holder must either rent or purchase property that will then be his primary residence worldwide. The value of the purchased property must be either a minimum of €220,000 or €275,000, depending on the location in Malta. A rented property needs to be leased for at least 12 months, and the rent has to be a minimum of €8750 or €9600 per year, also depending on the location.
When applying for the Global Residence Programme of Malta the applicant will also have to prove that their financial resources are stable and sufficient to support the applicant and their dependents, if applicable. It is also necessary to provide health insurance cover for the applicant and dependents. It is also a requirement to have a good understanding of the English language and to not already benefit from other tax programmes, such as the program for high net worth individuals.
When taking part in this residence programme, the permit holders are not allowed to stay in another country for more than 183 days of the year, but they can leave Malta as they wish, and there is no minimum time they need to spend here. It is also possible to apply for a work permit in Malta. The minimum income that needs to be remitted to Malta in order to benefit from the 15% tax rate is €15.000 a year.
The application for the GRP has to be carried out through an authorised registered mandatory and the application is subject to a registration fee. If you are interested in more information about the programme you are welcome to contact us at the legal office of Dr. Werner & Partner for a personal consultation.
