Malta Residence Permit for Retired Persons

Introduced in 2013 under the Immigration Act, the Malta Retirement Program allows EU/EEA/Switzerland nationals and their dependents (spouse, children under 26 and parents) who intend to retire in Malta to obtain a residence permit. The permit has 5-year validity, renewable provided that requirements are still met.

You must not be an employee, although you may carry non-executive posts on the boards of companies, foundations or other organizations.

You must have a pension, which must be received in full in Malta and represent at least 75% of your income chargeable in Malta. This means that any income other than your pension cannot be more than 25% of the total income remitted to Malta.

The pension may be a government pension, periodic payments in respect of past employment, remunerations paid as lifetime or temporary annuities or regular income from an occupational retirement scheme, personal overseas retirement plan or insurance policies. Lump-sum pensions do not qualify.

You will be required to purchase a residential property with a value of at least €275,000, if located in Malta, or €220,000 if located in Gozo or in the South of Malta. The property cannot be leased to a third party, if you hold the residence permit under this scheme.

Alternatively, instead of purchasing a property, you may rent a property in Malta, with a minimum annual rent of €9,600, if in Malta, or €8,750 if in Gozo or in the South of Malta. You must reside at least 90 days per year in Malta on average over a five-year period.

You must be a tax resident in Malta, and therefore you must not reside in another country more than 183 days per year.
Your period of stay under this program does not qualify for a long stay/permanent residence visa.

Under this program, your income accrued outside Malta, remitted to the country, will be taxed at a flat rate of 15%, provided that the minimum tax payable is €15,000. You may also benefit from the tax treaties concluded by Malta to claim a tax relief for tax paid abroad.