Maltese Permanent Residence Program
The Malta Permanent Residence Programme (MPRP) was launched in 2021 to replace the Malta Residence Visa Programme (MRVP). The MPRP is a residence by investment program that provides permanent residency in Malta to foreigners investing in real estate.
Residency by Golden Visa
The permanent residence does not lead to citizenship, as the naturalization process is not straightforward in Malta. Malta citizenship is possible with the Malta Exceptional Investor Naturalisation, a citizenship-by-investment program.
The MPRP requires the applicant to buy or rent a property in Malta and donate at least 70,000 EUR to the state fund and NGOs. The real estate investment must be held for at least 5 years. If you are approved, you will be able to include your spouse, children and parents to the application.
Malta is also one of the friendliest tax jurisdictions in Europe. As a tax resident, you are only taxed on what you remit to Malta at a rate of 15%. Only 90 days of physical presence in Malta are required to become a tax resident.
Malta Crypto Environment
Unlike most other jurisdictions, Malta saw the crypto boom as an opportunity to welcome a new and innovative industry to complement its already burgeoning services sector. Keen to have the first-mover advantage, Malta was the first jurisdiction to enact a comprehensive legislative package aimed at creating a regulatory ecosystem in which the industry could operate and proliferate.
Mobility: EU (indefinitely),
Download our free factsheet with more detailed information about this program.
Who Can Qualify?
In 2021, the Malta Permanent Residence Programme was created to replace the Malta Residence Visa Programme. The new golden visa is very similar to the old one; only a few changes were made. As an applicant, investing in real estate in the South of Malta or in Gozo will require less investment. You are given the possibility to buy or rent a property in Malta. But be aware that renting will require you to donate to the state 30,000 EUR more than if you bought the property. The real estate investment must be held for at least 5 years.
Application fees are of 40,000 EUR. They include the application fees and all due diligence fees of the main applicant, the spouse, and the children. Parents and Grandparents will need to pay 7,500 EUR each. Any other dependents you wanna include in the future in your application, such as a new spouse or a new-born will require a 5,000 EUR fee.
You will first have to make a philanthropic donation of 2,000 EUR to a registered cause (cultural, sports, animal welfare, etc…). In addition, you will have to either:
- Make a 68,000 EUR donation to the state if you are going to buy the property OR;
- Make a 98,000 EUR donation to the state if you are looking to rent the property
The Malta golden visa requires accommodations in the country. If you decide to use financing to buy a property, you will need your down payment to be above the minimum investment requirement. You will need to keep your accommodation for at least 5 years from the moment you receive your permit. The property cannot be let or sublet to a third party during that period. Accommodations can take the form of:
- The purchase of a residential property of at least 350,000 EUR, OR 300,000 EUR if made in the South of Malta or Gozo
- The lease of a residential property with an annual rent of at least 12,000 EUR OR 10,000 EUR if made in the South of Malta or Gozo
Malta offers one the best tax environment in Europe, and English is the official language. It’s one of the warmest places in Europe and is an idyllic location for a vacation home. There are also some excellent English private schools on the island.
Under the program, the principal applicants will be able to include their spouse or the facto partner. They will also be able to include their unmarried minor children. Adult children requiring support and care from the main applicant due to a handicap also qualify.
Parents and grandparents of the main applicant or the spouse can be included if they are financially dependent.
The Malta PRP is run by the Residency Malta Agency. The agency is tasked with evaluating the application. There is a 4-tier due diligence process applied to each application.
There are several requirements unrelated to the investment to fulfill:
- You will need to show proof of at least 500,000 EUR of net worth with 150,000 EUR should be held in financial assets. You will need to prove the legitimate acquisition of these assets.
- You will need to provide a Police Certificate from every country you have stayed a cumulative period of 6 months or more (even in intermitted periods) over the last 10 years.
- You will need to provide a medical certificate stating that you and your family members are not suffering from contagious diseases and are in good health.
- You and your family must have Global Health Insurance coverage for at least 30,000 EUR for an indefinite period for each member of the family.
Malta Residency Application Process
The application process can takes at least 4 months. You can apply to the golden visa before investing in the country. There is a 10,000 EUR non-refundable fee payable, but if approved, you will be given up to 8 months to finalize the investment.
- Verify eligibility
- Start client onboarding process with Global RCG.
- Global RCG helps you gather the required documents.
- Global RCG assists you in making your investment.
Access to the US
With the Malta Permanent Residency Card, you will receive a multi-exit visa allowing you to travel in and out of the Schengen Area. As an American, you can already spend 90 days in 180-day period in the Schengen area. But your PR Card will guarantee you entry in Europe even during COVID-19 travel restrictions.
The Maltese Golden Visas do not offer a path to citizenship.
Access to the US
More and more Americans are considering renouncing their American citizenship for multiple reasons. They want to know how they can circle back to the US with their new citizenship. The Malta PRP would not be useful in that situation on its own as it doesn’t lead to citizenship. Most investors combine the Maltese PRP with another European citizenship or the Grenada CBI. Wealthy European relocate to Malta for tax purposes.
Malta is one of the most popular tax jurisdictions in Europe for wealthy people. You can obtain a tax residence certificate with only 90 days of residence in Malta if you don’t spend over 183 days in another single country. When applying for the Malta citizenship by investment program, you become eligible for the non-domicile tax regime. As such, your personal income will only be taxed on what you remit to Malta. The rate is capped at 15% but requires a minimum contribution of 25,000 EUR annually. This applies only if you want to become a tax resident in Malta.