Global Residence Programme (GRP)

In June 2013, the Government of Malta launched Global Residence Programme (‘GRP’) – a residence and tax program which offers favourable tax incentives to non-EU Nationals who decide to take up residence in the Maltese Islands. The programme allows non-EU Nationals, non-EEA nationals and non- Swiss nationals to live with their families in a property which they can either buy or rent in Malta and Gozo, with the added benefit of acquiring a tax residence permit.

Maltese residents benefiting under GRP are not subject to tax in Malta on foreign sourced income not remitted in Malta. A GRP holder will be subject to an annual flat tax rate of 15% on any income declared in Malta, with a minimum tax of €15,000 payable to the Inland Revenue Department every year in advance.

GRP holders will be entitled to work or to set-up business in Malta and will be taxed at a flat rate of 35% on income arising in Malta.

In order to qualify for residency under the GRP, a non-EU National will need to satisfy the following conditions:

  • Property purchased in the island of Malta must have a minimum value of €275,000; or
  • Property purchased in the island of Gozo or in the South of Malta must have a minimum value of €220,000; or
  • If the applicant opts to rent a property instead of purchasing it, the property must have a minimum annual rental value of €9,600 (or €800 a month) in Malta and €8,750 (or €730 a month) in Gozo or in the South of Malta.
  • Upon application, a standard registration fee of €6,000 is payable to the authorities if a property is purchased in Malta and €5,500 if the property is purchased in Gozo or in the South of Malta;
  • GRP holders and their respective dependents must also take out a health insurance.

 

 

For further information on the above please contact Dr Olga Finkel on olga.finkel@whpartners.eu.