September 12, 2014

Malta Individual Investor Programme

Malta Individual Investor Programme

Malta Individual Investor Programme

The Malta Individual Investor Programme or the the MIIP as it is abbreviated to, allows for the granting of a certificate of naturalisation as a citizen of Malta to a successful applicant and his family. The successful applicant/s of the Malta Individual Investor Programme may subsequently apply for a Maltese passport.

Malta Individual Investor Programme

The Malta Individual Investor Programme is the first citizenship by investment programme recognised by the European Commission. The Malta Citizenship by Investment Programme allows for Non Maltese nationals and their dependants to gain Maltese citizenship through investment if all relevant due diligence checks are met and other conditions satisfied.

Citizenship by Investment in Malta

The Malta Individual Investor Programme is designed to attract high net worth individuals and their families who are of a reputable standing to the Maltese islands in exchange for a European passport.

Since Malta is a member of the European Union and part of the Schengen Area, non-EU applicants who successfully qualify for the Malta citizenship benefit from mobility within the member states of the EU and the European Free Trade Association. They are also able to avail themselves of visa-free travel to more than 160 countries, including the United States of America, Canada and the United Kingdom. Besides giving successful applicants an unrestricted right to live and work within all the member states of the EU, the acquisition of Maltese citizenship has no tax implications.

Eligibility for Individual Investor Programme Malta

Anyone is eligible to apply as long as the main applicant is at least 18 years of age and must meet all of the requirements stated below under the Malta Individual Investor Programme.

Fit and proper test
The Malta citizenship by investment program has some of the strictest due diligence standards ensuring reputable applicants are granted Maltese citizenship. As part of the Malta Individual Investor Programme, applicants must have a clean criminal record, whereby the Maltese government conducts extensive checks. As part of the due diligence procedure, applicants must also provide a police certificate before approved for European citizenship.

Good health
Applicants must be covered by an international health insurance policy.

Financial contribution
All individuals and families applying to the Malta Individual Investor Program must make a significant non-refundable contribution to the National Development and Social Fund. The following contributions must be made within four months of being issued a Malta IIP Letter of Approval in Principle:

  • Main applicant – €650,000
  • Spouse – €25,000
  • Minor children – €25,000 each
  • Children 18-26 (unmarried) – €50,000 each
  • Dependent parents & grandparents – €50,000 each
  • Adult children (physically or mentally challenged) – €50,000 each

Property purchase or rental
Applicants must commit to either buying a property in Malta for at least €350,000 and maintain ownership for at least five years, or leasing a property with a minimum annual rent of €16,000.

Investment in government bonds
Applicants are required to invest at least €150,000 in government approved financial instruments – bonds, stocks, and debentures that benefit the nation and must hold that investment for at least five years.

Residence status
When purchasing real estate or entering into an agreement of a property lease in Malta, Malta citizenship candidates are issued an identity card. Citizenship is granted after 12 months from date of property purchase or rental.

Dual Citizenship Malta

High net worth individuals who obtain a second citizenship by investment are not required by Maltese law to renounce their existing citizenship.

Malta citizenship through investment longevity

Malta citizenship through investment is granted by a Certificate of Naturalisation. The citizenship by investment programme under the Malta Individual Investor Program can be passed onto future generations.

How Fast Can I Obtain Second Citizenship?

The minimum amount of time needed to gain Europe citizenship by investment is 12 months. If you have already met that criteria of the Individual Investor Program, you can acquire citizenship in Malta in as little as six months.

Voting rights

People who acquire Maltese citizenship via the Individual Investor Programme can vote in political elections provided they have been resident in the country for 6 of the past 18 months.

Oath of allegiance

All applicants are required to take an Oath of Allegiance in order to officially receive citizenship of Malta. To finalize the process of becoming an EU citizen, the oath must be taken in person meaning the candidate should be in Malta.

Taxation under the Malta Individual Investor Programme

Once approved under the Malta IIP, the applicant will not have any tax consequences.

The standard VAT rate in Malta is of 18%. The corporate tax rate is 35%, however special tax concessions apply for non-resident/non-domiciled owners.

The Malta tax system is a full imputation system and unique. However, we recommend contacting us to further assist you.

Another great advantage is that Malta has double taxation agreements with over 65 countries.

As accredited agent and trusted Malta tax advisor, please contact us to advise you and your family throughout the whole process on the Malta Citizenship by Investment Programme.