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The Malta Retirement Programme (MRP): Eligibility & Application Process

The Malta Retirement Programme (MRP): Eligibility & Application Process

 

The Malta Retirement Programme (MRP) is a scheme introduced under Maltese law which allows retirees (EU/EEA/Swiss and nonEU nationals) to obtain taxresidence status in Malta under preferential conditions.

It grants special tax status to qualifying pensioners who relocate to Malta and remit their pension income locally. Applications are filed via an Authorised Registered Mandatary (ARM) and subject to specific eligibility and procedural requirements.

Who Can Apply – Key Eligibility Criteria

Pension income: at least 75% of chargeable income, remitted to Malta.
Applicant must not be employed in Malta.
Property requirement (owned or rented):
  – Owned: €275,000 (Malta) or €220,000 (Gozo/South Malta).
  – Rented: €9,600 p.a. (Malta) or €8,750 p.a. (Gozo/South Malta).
Must serve as principal residence; subletting prohibited.
 
Residency: at least 90 days in Malta annually (averaged over 5 years).
Cannot reside in another country for more than 183 days per year.
Comprehensive health insurance covering the EU.
Valid travel document and proof of stable financial means.
Clean police conduct (certificate not older than 6 months).
Not domiciled in Malta and no intent to establish domicile within 5 years.

 

Application Process:

1. Appoint an Authorised Registered Mandatary (ARM).

2. Submit the MRP application form and supportingdocumentation.

3. Pay the nonrefundable administrative fee of 2,500.

4. Application is vetted by the Commissioner for Revenue; if complete, a Letter of Intent (valid 12 months) is issued.

5. Provide proof of property, minimum tax payment, and residence notice within the validity period.

6. Receive Letter of Confirmation granting special tax status under the MRP.

7. File annual declaration and maintain qualifying property and insurance.

Tax Treatment

Beneficiaries under the MRP are taxed at a flat rate of 15% on foreign income remitted to Malta. Income arising in Malta is taxed at standard Maltese rates (up to 35%).

Minimum annual tax: €7,500, plus €500 for each dependent or household staff. Beneficiaries may claim double taxation relief under Article 74 of the Income Tax Act.

Cessation of Status

Status may cease by:
– Choice of the beneficiary (written notice to Commissioner for Revenue).
– Default for noncompliance with residency or tax conditions.
– Death of the beneficiary, with limited transfer to dependents under specific rules.S

Summary Table

Requirement

Detail

Pension income

≥ 75% of total chargeable income

Property ownership/rental

Purchase: €275,000 (Malta) / €220,000 (Gozo/South); Rent: €9,600 p.a. (Malta) / €8,750 (Gozo/South)

Stay in Malta

≥ 90 days/year (5-year average)

Stay elsewhere

≤ 183 days/year in any other single jurisdiction

Minimum tax

€7,500 per year + €500 per dependent

Health insurance

Comprehensive cover across EU

Application fee

€2,500 non-refundable

Submission via ARM

Mandatory


Applicants are strongly advised to consult a qualified professional before applying to ensure compliance with all requirements.

For assistance with the Malta Retirement Programme, documentation and compliance, contact us on info@vaialegal.com .

Katrina Abela

Founder at Vaia Legal

Jurisdiction: Valletta


Phone: +356 21226500

Email: info@vaialegal.com