Kevin F. Dingli, Dr. Veronica Delicata (Dingli&Dingli, Мальта)

1. The Malta Global Residence and Malta
Residence and Visa Programmes
Dr. Kevin F. Dingli Dr. Veronica Delicata

2. GLOBAL RESIDENCE PROGRAMME
(“GRP”)
- Dr. Veronica Delicata
Senior Associate
Dingli & Dingli Law Firm
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3. Global Residence Programme
 Programme intended to attract expatriates (non EU, non EEA or
non Swiss) who are not long term residents of Malta AND who are
seeking to establish an alternative residence base in the European
Union.
 Essentially a Tax Programme administered by the Maltese
International Tax Unit (the “ITU”) in terms of which a Beneficiary
can benefit from substantial tax saving opportunities.
 Programme does not preclude Beneficiaries from working in Malta
provided they obtain a work permit.
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4. Malta Residence Programmes
Options
 Ordinary Residence
 Business Immigration
 Malta Residence and Visa Programme
 The Global Residence Programme
 The Residence Programme
 United Nations Pensions Programme
 Malta Retirement Programme
 Qualifying Employment in Innovation and Creativity (Personal Tax)
Rules
 Highly Qualified Persons Rules
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5. Eligibility Criteria
1. Individual Applicants - excluding EU, Iceland, Norway,
Liechtenstein and Swiss nationals
2. Dependant Family Members and Household Staff may also be
included within the Application (provided they reside with the
Beneficiary in the Qualifying Property).
NOTE
►Applicants having dual nationality one of which is EU, EEA or
Swiss are not eligible under the Programme
►Beneficiaries under any of the other Malta residence
programmes are also excluded.
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6. Eligible Dependants
 Eligible Dependants may be included in the same GRP Application:
- Spouse / Partner in a stable relationship
- any Minor Child of the Applicant or of his Spouse / Partner,
including an adopted child
- any Adult Child of the Applicant or of his Spouse / Partner
(18 – 25 years of age and economically inactive)
- any Adult Child of the Applicant or of his Spouse / Partner
unable to maintain himself owing to serious illness or disability
- any Dependant Brothers, Sisters, Parents or Grand Parent of the
Applicant or of his Spouse / Partner
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7. Athorised Registered Mandatory
 Applicants must be introduced to the ITU and represented
throughout the application process by an Authorised Registered
Mandatory (“ARM”)
 Continued representation by the ARM at all times during the
Beneficiary’s participation under the Programme
 Dingli & Dingli Law Firm – recognised as an Authorised Registered
Mandatory
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8. Conditions
1. ►Own or Rent a Qualifying property
 Value of property depends on location thereof in the Maltese
islands
 In case of purchase, minimum value in range € 220,000 − € 275,000
 In case of rent, minimum rental in range €8,750 - €9,600 per annum
 Property already in ownership/ rent of Applicant can be used
 Property may not be let or sub-let to third parties
 Property to be occupied as principal place of residence worldwide
(Primary Residence)
 Property to be used exclusively by applicant, his dependants and
any household staff
 12 months from date of ‘Letter of Intent’ by the Authority for
condition of the Qualifying Property to be fulfilled.
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9. Conditions (contd.)
2. ►Be economically self- sufficient with stable and regular
resources
3. ►Possess a valid travel document
4. ►Possess worldwide health insurance cover (€50,000 per
person)
5. ►Ability to Communicate in English or Maltese
6. ►Is fit and proper
 Administrative Fee (non-refundable) of €6,000 / €5,500 (if
Applicant already owns property in the South of Malta)
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10. Submission of GRP Application
 Forms and Documents (fully complete and in the required format)
Administrative Fee paid
 Forms :
 (1) Application for Special Tax Status Global Residency Programme.
► this includes the authorisation of Authorised Registered Mandatory
(2) Questionnaire in Connection with Global Residency Programme
 Supporting Documents
 Original Supporting Documents (except where certified true copies of
originals are permissible) + authenticated English translations
Examples : Birth / Marriage / Police Conduct Certificates; Bank Statements etc.
 Certified copies of documents and authenticated translations need to
be legalised by Apostille (Hague Convention 1961) unless done in
Malta
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11. Indicative Time Line (in Weeks)11
Submission of Application Forms and Documents to ITU
ITU issues Acknowledgement Letter and commences Due
Diligence
ITU invites Applicant for an Interview in Malta
Letter of Intent / Notice of Primary Residence issued
Qualifying Property secured / Notice of Primary
Residence submitted (Tax Reg. No. issued)
Payment of initial minimum Income Tax of €15,000
Letter of Confirmation of Special Tax Status issued
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10
12
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12. Malta Residency Cards
(Economic Self Sufficiency)
 Malta E-Residency Cards may be obtained by the Beneficiary and
his Dependants on grounds of economic self-sufficiency
 Application is made to Identity Malta
 Charge of €55 per applicant
 Capture of Biometric Data of Beneficiary and Dependants
 E-Residency Cards issued within 6 weeks
 E-Residency Cards must be collected in person
 E-Residency Cards are issued for a validity of 2 years
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13. Malta Residency Cards
- Requirements
 Requirements :
1 Letter to Identity Malta by the ARM giving reasons for application
2 Completion of relevant Application Forms (Form K / Form ID-1A)
3 Copy Letter of Confirmation of Special Tax Status
4 Copy of Passport
5 Recent Bank Statements (proof of financial means)
6 Evidence of Comprehensive Worldwide Health Insurance (€50,000
minimum)
7 Copy of Residential Lease Agreement
8 Copies of Birth and Marriage Certificates
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14. Residence <=> Domicile
Domicile
Origin (Birth)
Choice
(Permanent
Resettlement)
Residence
Factual -183
days
Residence
Programmes
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15. Global Residence Programme –
Tax Treatment
 As Resident Non-Domiciled individuals, beneficiaries would be subject to:
 Tax on Malta source income & foreign source income received in Malta,
 Foreign source Capital Gains are exempt even if received in Malta.
 Special Tax Status
 Flat rate of 15% on foreign source income received in Malta,
 Minimum tax of €15,000 per annum
 Double Tax Relief available but subject to minimum tax payment.
 35% rate on Malta source income:
 Such as over bank interest (MT bank account) and dividends (MT company)
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16. Global Residence Programme –
Continued obligations
 Status holders not required to give count of actual physical presence in Malta
but must ensure not to spend 183 days or more in any 1 other country;
 Annually file Income Tax Return + effect payment of Income Tax
 Annual Declaration to be submitted
 Continued fulfilment of the eligibility criteria;
 Not cause threats to :-
 Public safety,
 Protection of public order,
 National security,
 Territorial integrity,
 Public health or morals.
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17. Global Residence Programme –
The Benefits
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Fast
process –
completed
in weeks
Remittance
basis of
taxation +
special tax
rate
No
minimum
presence
required in
Malta
Freedom of
movement
within the
Schengen
Area
Can include
family
members +
domestic
staff

18. MALTA RESIDENCE AND VISA PROGRAMME
(“MRVP”)
- Dr. Kevin F. Dingli
Managing Partner
Dingli & Dingli Law Firm
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19. Malta Residence and Visa
Programme (“MRVP”)
 Programme established by Regulations made under the
Immigration Act in 2015 (Legal Notice 288/2015)
 Leads to the acquisition of a permit to reside, settle or stay
indefinitely in Malta
 Identity Malta is the Government Agency responsible for the
administration of the Programme
 Applications are introduced to Identity Malta by Registered
Accredited Persons (“RAPs”)
 English is the language of the Programme
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20. Malta Residence and Visa
Programme (“MRVP”)
 Programme intended to fill a gap in the various residency and
citizenship programmes already available
 Applies to third country nationals (non EU, non EEA or non Swiss
citizens) (nationals of Afghanistan and North Korea are excluded)
 Not a tax programme
 Programme does not preclude beneficiaries from working in Malta
provided they obtain a work permit
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21. Malta Residence and Visa
Programme
 Programme centres around a Main Applicant and his Eligible Dependants
 Residence Certificate issued once the established Conditions are satisfied
 Certificate Entitles the Beneficiary and his Dependants to reside, settle or
stay indefinitely in Malta
 Residence Card also issued (valid for 5 years)(renewable)
 Beneficiary not entitled to any other rights mentioned in the Immigration
Regulations
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22. Main Applicant
 The MRVP is focussed on the Main Applicant (‘Head of the
Family’), who must have the following qualifications :
 be at least 18 years of age
 meet the application requirements
 commit himself to provide proof of title to a Qualifying
Property
 commit himself to invest in a Qualifying Investment
 commit himself to pay the Contribution
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23. Eligible Dependants
 Eligible Dependants may be included in the same MRVP
Application :
- Spouse / Partner of the Main Applicant
- any Minor Child of the Main Applicant or of his Spouse (less than
18 years of age), including an adopted child
- any Unmarried Adult Dependant Child of the Main Applicant or
of his Spouse (18 – 26 years of age)
- any medically certified Disabled Adult Child of the Main
Applicant or his spouse
- any Dependant Parent or Grand Parent of the Main Applicant or
of his Spouse
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24. Appointment of Registered
Accredited Person
 Applications are introduced to Identity Malta by a
Registered Accredited Person (“RAP”)
 RAP acts as the Main Applicant’s Representative on all
applications, correspondence and dealings with Identity
Malta
 The Main Applicant issues a Power of Attorney in favour of
the RAP (and sometimes also enters into a Letter of
Engagement with the RAP)
 RAP completes and submits an Official Compliance Form
(Form “MRVP5”) annually for first 5 years, and subsequently
once every 5 years (also signed by Beneficiary)
 RAP processes Residency Card renewal requests with
Identity Malta
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25. Proof of Assets or Income
• Capital Assets
Requirement€500,000
• OR Annual Income
Requirement (alternative)€100,000
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26. MVRP in a Nutshell
Application Forms + Documents +
Administrative Fee
Due Diligence Phase
Property + Investment + Contribution +
Comprehensive Health Cover
Compliance with Ongoing Obligations
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27. Submission of MVRP Application
 Forms + Documents (fully complete and in the required format)
 On acceptance for processing Identity Malta issues Invoice for
Administrative Fee
 Forms (1) Application Forms : MRVP1 for Main Applicant (to be
sworn/affirmed before a Commissioner for Oaths and apostilled)
MRVP4 for Dependants; (2) Administrative Forms : (i) Form MRVP2
(Personal Details, and Source of Funds and Wealth for Main
Applicant), MRVP3 (Medical Report) and MRVP6 (Clearance Form)
 Original Supporting Documents (except where certified true
copies of originals are permissible) + authenticated English
translations
Examples : Birth / Marriage / Police Conduct Certificates; Bank
Statements etc.
 Certified copies of documents and authenticated translations
need to be legalised by Apostille (Hague Convention 1961) unless
done in Malta
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28. Administrative Fee
€5,500 payable on Application
Non-Refundable
on account of Contribution
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29. Letter of Approval in Principle
Conditions
to be
satisfied
Letter of
Approval in
Principle
Due
Diligence
Phase
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30. Qualifying Property
Purchase of Residential Property at
minimum consideration €320,000
or Lease of Residential Property at
minimum annual rent of €12,000
to be held for a minimum of 5 years
from date of Certificate
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31. Qualifying Investment
In the form of Malta Government
Stocks
Having an initial market value of
€250,000
To be held for a minimum period of
5 years from date of Certificate
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32. Financial Contribution
€30,000 one-time contribution
Payable to the Government of Malta
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33. Comprehensive Health Cover
Full Hospital Coverage (EU)
Main Applicant and Dependants
€30,000 per person per annum
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34. Indicative Timeline (months)
1
• Submission of Application and Supporting Documents to Identity
Malta (including initial vetting of Application Pack by Identity Malta)
4
• Completion of Due Diligence Phase by Identity Malta – Letter of
Approval in Principle issued
5
• Payment of Contribution, satisfaction of Property and Investment
requirements and Comprehensive Global Health Cover
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35. Indicative Timeline
6
• Issuance of Residency Certificate / Letter of Invitation
6
• Visit to Malta for Biometric Data to be captured
6
• Issuance of E-Residence Cards to Main Applicant and Dependants
• (within 3 – 5 working days of capture of biometric data)
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36. Ongoing Obligations
 The Beneficiary is obliged to continue to meet the
Conditions imposed by the Regulations
 In particular the Beneficiary is to have left Malta either for
6 consecutive months or for 10 months cumulative in a 4
year period
 Failure to do so could lead to the revocation of the
Certificate
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37. Revocation of Certificate
 If the Beneficiary becomes a Maltese, EEA or Swiss
national
 If the Beneficiary becomes a Long-Term Resident in Malta
 If the Beneficiary ceases to satisfy the Investment and
Property requirements or any other conditions laid down
 If the Beneficiary’s continued stay in Malta is not in the
Public Interest
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38. Personal Income Tax Considerations
 The MVRP is not a tax programme
 The MVRP does not require a Beneficiary to become tax resident
in Malta
 Once obtainted, the Certificate does not itself imply tax
residency in Malta
 A person only becomes tax resident in Malta if he physically
spends 183 days + in Malta during any fiscal year (“Ordinary
Residence”)
 A Person who is Ordinarily Resident in Malta becomes liable to
personal tax in Malta on income earned in Malta and/or remitted to
Malta (Ordinary Tax Rates apply)
 A Person who is both Ordinarily Resident and Domiciled in Malta
becomes liable to personal tax in Malta in respect of his
worldwide income
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39. Benefits
Residency
Rights
No
Prejudice to
Dual
Citizenship
prohibition
Visa Free
Schengen
Travel
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40. вопросы?
Dr. Kevin F. Dingli Dr. Veronica Delicata
kevin@dingli.com.mt veronica@dingli.com.mt