Malta’s Global Residence Program: The Ultimate Guide

If you’ve ever dreamed of immersing yourself in the heart of the Mediterranean while enjoying the perks of living in a vibrant, English-speaking community, Malta could be your perfect match. 

Known for its intriguing history, warm climate, beaches, architecture and favourable tax policies, Malta is a promising destination for those seeking residency.

In particular, the Malta Global Residence Program (GRP) could open the door to a world of opportunities, offering an attractive lifestyle with financial advantages. 

Whether you’re interested in taking advantage of Malta’s tax programs, attracted to the welcoming local expat community or find the country’s strategic location appealing for business, Malta is an ideal place for personal growth and professional success.

So, what should anyone considering Malta’s Global Residence Program be aware of? 

The answer is complex, which is why the Nomad Capitalist team has put together this in-depth guide to walk you through the ins and outs of the program, from its eligibility criteria and investment requirements to the myriad of benefits it offers. 

Why Malta?

Malta, a jewel in the Mediterranean often overlooked in favour of nearby Sicily or Sardinia, offers more than just breathtaking scenery and sun-drenched beaches; it’s a cultural melting pot with a rich history spanning thousands of years. 

Its strategic location between Europe and North Africa serves as a gateway for business and commerce, making it an ideal hub for high-net-worth individuals searching for global connectivity. 

The nation’s stable, low-crime environment attracts a diverse international community, including entrepreneurs, investors and expats, all drawn to its dynamic economy, low taxes and business-friendly approach.

Residents here, especially those earning foreign income, enjoy a high standard of living, in part due to the excellent year-round weather. 

Moreover, Malta extends enticing tax incentives and breaks to residents (yes, even those not participating in the Maltese Global Residence Program or similar schemes).

What is the Malta Global Residence Program?

The GRP in Malta, launched in 2013, allows participants to obtain a residence permit by investing in local real estate.  

Some of the key features include:

• Real estate investment through purchase (minimum of €220,000 if located in Gozo or South of Malta or €275,000 if located in other parts of Malta)
• Real estate rental (minimum of €8,750 if located in Gozo or South of Malta or €9,600 if located in other parts of Malta)
• Applicants can include a spouse or partner, dependent children under 25, siblings and direct relatives (including parents, grandparents), plus one or more members of household staff
• Freedom to travel across the Schengen Area, with the potential to gain long-term EU residency
• Although there is no minimum stay requirement, some presence is recommended (the applicant initially needs to go to Malta twice for biometrics and to collect their residence card).

As perhaps the most popular Malta residency scheme for US citizens, the program grants a Maltese residence permit, allowing holders to live in the country and enjoy unrestricted travel across the Schengen Area. 

While residency in Malta is not mandatory, to maintain their status here, investors must ensure they don’t reside in another country for more than 183 days annually (this only applies to the main applicant, not to other family members). 

Participants are required to become Maltese tax residents to benefit from a reduced tax rate; specifically, a flat tax rate of 15% applies to income earned abroad and remitted to Malta, with a minimum annual tax obligation of €15,000 per family. 

Benefits of the Malta Global Residence Program

The Malta Global Residence Program offers a host of advantages that make it an attractive option for global citizens looking for residency in a culturally rich environment. 

Some of the key benefits include:

• Favourable Tax Status: Beneficiaries of the program are subject to a flat tax rate of 15% on foreign income received in Malta. Capital gains earned abroad remain untaxed and, in addition, double taxation relief is available.
• Economic Opportunities: The island’s growing economy, especially in the real estate and gambling sectors, presents numerous investment opportunities for residents.
• Quality Lifestyle: Malta’s stunning Mediterranean setting, coupled with its unique culture and truly ideal climate, creates a quality lifestyle for Maltese residents. The island is renowned for its diving spots and is home to three UNESCO World Heritage Sites.
• Political Stability and Schengen Access: As a member of the Schengen Area, Malta offers political stability and the convenience of unrestricted, visa-free movement across the other 28 – soon to be 30 – Schengen countries.
• High-Quality Healthcare: Malta is consistently ranked highly by the World Health Organisation for both public and private healthcare facilities.
• English-Speaking Environment: With English as one of its official languages, Malta is accessible for international residents looking to relocate to a country that is somewhat easy to integrate into.
• Education and Work Access: After receiving their residence permit, program participants can work and study in Malta.

With these benefits, the Global Residence Program is a great option for anybody looking for a simplified path to EU residency or citizenship (after six years), especially if they want residence by investment in a country that doesn’t require them to spend substantial time there.

How to Qualify for Malta’s Global Residency Program

While the main requirements for the GRP include the purchase or rental of real estate somewhere on the island and a stable income, there are a few other criteria you need to meet to qualify for this residence program.

Namely, the main applicant must be represented by an Authorised Registered Mandatory (ARM), a professional entity to guide them through the application process. 

To apply, you must also be a third-country national. EU, EEA and Swiss nationals are not eligible for this program but may apply through the Malta Permanent Residence Program The name is very similar, so be careful you are researching the right one.

Other GRP eligibility requirements involve:

• Dependents: Spouses or partners, children (including those up to 25 who are not economically active or have certain disabilities), dependent siblings and direct ascendants are included. Household staff with a minimum two-year employment history can also be added to the residency application.

• Economic Self-Sufficiency: Applicants must demonstrate a stable income sufficient to support themselves and their dependents without relying on Maltese social assistance. There is currently no publicised minimum figure, but you must be able to demonstrate that you won’t be a burden to society or the social assistance system in Malta.
• Exclusion From Other Tax Programs: Applicants should not be benefiting from existing tax schemes in Malta like the Residents Scheme Regulations or the Highly Qualified Persons Rules.
• Valid Documents: A valid travel document and comprehensive health insurance are mandatory. Applicants must also be proficient in one of Malta’s official languages and meet the ‘fit and proper person’ criteria.
• Property Investment: Applicants must purchase property worth at least €220,000 in Gozo or South of Malta or €275,000 elsewhere. Alternatively, they may rent property for a minimum of €8,750 in Gozo or South Malta or €9,600 in other parts.

A non-refundable fee is also required, depending on the property location.

Investment Requirements for the Global Residence Program in Malta

To qualify for Malta’s GRP, applicants must fulfil the following obligations:

• Administration Fee: The administration fee is €6,000, reduced to €5,500 for properties in the south of Malta or Gozo.
• Property Purchase or Rental: As described above. 
• Annual Tax: You must pay a minimum annual tax of €15,000 alongside medical insurance costing a few hundred euros per year per person, depending on age and health.
• Document Processing: Document processing, including translation and notary fees, can easily reach thousands of euros, depending on family size and document count.

Additional costs to factor in when calculating the total cost of the GRP in Malta include taxes on property purchase and notary fees plus VAT, stamp duty and property tax. 

Documents Needed Apply for Malta’s GRP

Applying for Malta’s GRP involves two obligatory visits to Malta. First, you will need to visit to have your biometrics taken, and then you must visit a second time to collect the residence card. 

The entire application typically takes about four to six months to complete. 

To start, you’ll need to fill out the application form, which you can find here.

Remember, you must work with an Authorised Registered Mandatory and      they can also likely help you fill out and gather other documents, which could include:

• Valid passport copies for all applicants
• Proof of property purchase or rental agreement in Malta
• Evidence of stable income or economic self-sufficiency
• Health insurance policy 
• Police conduct certificates from home country
• Birth certificates and marriage certificates (if applicable)
• Medical examination reports
• Financial statements to demonstrate the financial standing
• Certified translations and apostilles of all non-English documents
• Proof of payment for the administration fee and other applicable fees

Note, however, that the Maltese authorities can ask for further documentation.

Malta Global Residence Program: FAQs

Is the Global Residency Program in Malta Right for You?

As a high-net-worth individual, diversifying your global strategy is key to growing and protecting your wealth. 

The Malta Global Residence Program provides tax advantages and investment opportunities, all without the pressure of a strict physical presence requirement like other residence-by-investment programs in Europe.

Just imagine enjoying Malta’s warm climate and friendly expat community while also gaining a special tax status on your non-Maltese income.

Whether you plan to establish a presence in Europe or simply have a versatile second residence in your back pocket, Malta offers many benefits worth considering.

However, to capitalise on these opportunities, careful planning is needed, and there might be a better option for you than a Malta Global Residence. Nomad Capitalist is here to guide you through this process and craft a bespoke strategy that aligns with your financial goals and lifestyle needs. 

Let us help you navigate this journey with expertise and precision. Find out how we do things here.