EU nationals, nationals of the European Economic Area and Swiss nationals

European Union nationals, those from the European Economic Area and Swiss nationals who are eligible have the right to pay tax at a beneficial rate of 15% on foreign source income (with the possibility to claim double taxation relief), subject to a minimum payment of €20,000 per annum, plus an additional minimum tax of €2,500 per dependent.

The permanent resident, who must be a non-Maltese domiciliary and be in possession of a health insurance along with stable, regular resources, must own a property worth €400,000 or rent a property for €20,000 per annum. 

The qualifying property must not be a shared property, and the HNWI must pass a fit and proper test through an international due diligence exercise processed by an Authorised and Registered Professional. There is an application fee of € 6,000.

Permanent residents must retain their qualifying property, their health insurance and stable resources. Although they must reside in Malta for a minimum of 90 days a year they cannot become Maltese domiciles and cannot live in any other country for more than 183 days a year (so as not to become tax residents there).

HNWI Residents will now be able to work or operate a business in Malta. Income earned from such activity is charged at 35%. 

Applications for HNWI Residency are normally processed in three months. The minimum amount of tax shall be payable within thirty days of approval of the application and shall be credited against the tax due for the first year of residence. The holder of a permit must take up residence within 12 months from the issue of the said permit.


Non-EU nationals country nationals

HNWIs who are not EU, EEA and Swiss nationals have the same rules as EU, EEA and Swiss nationals with the following additions. If the beneficiary intends to become a long-term resident or is already a long-term resident, he/she must enter into a qualifying contract of a financial bond of €500,000 and an additional €150,000 per dependant to cover potential social/medical costs.

A qualifying contract is an agreement that is entered into between the Government of Malta and the applicant wherein the applicant delivers to the Government of Malta a sum of €500,000 and €150,000 for every dependent (“The Bond”) which the Government of Malta holds by title of gratuitous voluntary deposit. This Bond will be returned to the applicant if he/she declares and proves to the Government of Malta that he/she has renounced to the special tax status granted under HNWI Rules, prior to the expiration of four years from the date of the qualifying contract. 

If the applicant either intends to become a long-term resident prior to the expiration of four years from the date on which he has applied for special tax status in terms of high Net Worth Individuals Rules, or becomes a long-term resident prior to the expiration of four years from the date on which he has applied for special tax status in terms of the High Net Worth Individuals Rules he/she will forfeit all the rights over the Bond. In other words a non-EU Resident may become a permanent resident under the new scheme after four years, once he/she forfeits the €500,000 Bond. 

Under the new regulations, residents will now be able to work or operate a business in Malta, whereby income derived from such activity is charged at 35%.