Relocating to Malta: Your Gateway to Living and Doing Business in Europe

One of the first considerations when relocating is identifying the most appropriate residence programme.

EU, EEA and Swiss nationals benefit from freedom of movement and generally enjoy a straightforward residence registration process.

Third-country nationals may qualify under a number of residence programmes depending on their personal and professional circumstances.

Individuals taking up employment with a Maltese employer will generally require a Single Permit, whilst highly skilled professionals may benefit from the Key Employee Initiative (KEI) or the Specialist Employee Initiative (SEI), both of which offer an accelerated Single Permit application process for eligible applicants.

Those wishing to work remotely for employers or clients established outside of Malta may qualify for the Nomad Residence Permit, which has become increasingly popular amongst digital nomads, consultants and entrepreneurs seeking to enjoy Malta’s lifestyle whilst maintaining their overseas business activities.

Malta also offers a number of residence programmes for high-net-worth individuals and retirees. The Global Residence Programme (GRP) is available to eligible non-EU, non-EEA and non-Swiss nationals and provides access to a special tax status, whilst The Residence Programme (TRP) offers similar benefits to eligible EU, EEA and Swiss nationals. Pensioners may qualify under the Malta Retirement Programme (MRP), whereas individuals seeking long-term residence through investment may consider the Malta Permanent Residence Programme (MPRP).

Selecting the correct programme can significantly reduce processing time and future administrative complications.

Whether setting up a new Maltese company, relocating an existing business or expanding into the European market, careful planning is essential.

Beyond selecting the appropriate corporate structure, businesses should consider the wider tax and regulatory implications, including corporate taxation, VAT, payroll, transfer pricing, economic substance and ongoing accounting and compliance obligations.

Coordinating personal and corporate planning from the outset can help create a structure that supports both operational efficiency and long-term growth.

Residence does not automatically determine tax liability, and every individual’s circumstances differ. Factors such as tax residency, domicile status, foreign income, double taxation agreements and employment structure should all be reviewed before relocating.

Malta applies progressive personal income tax rates of up to 35%. However, individuals who become residents but are not domiciled in Malta may, subject to the applicable rules, be taxed on a remittance basis, meaning that foreign-source income is generally taxable only if it is remitted to Malta, whilst foreign capital gains are generally not taxable in Malta, even if remitted.

Certain residence programmes also provide access to preferential tax treatment. For example, beneficiaries of the Global Residence Programme and The Residence Programme may qualify for a 15% tax rate on foreign income remitted to Malta, subject to satisfying the relevant conditions and a prescribed minimum annual tax liability. In addition, eligible executives employed in qualifying sectors may benefit from the Highly Qualified Persons Rules, which provide for a 15% tax rate on qualifying employment income, subject to meeting the applicable conditions.

Successful relocation also involves numerous practical considerations, from securing accommodation and opening bank accounts to registering with the relevant authorities, obtaining healthcare coverage and arranging schooling for children.

Relocating to Malta is an exciting opportunity, and careful planning can make all the difference. ECOVIS Malta provides integrated legal, tax, accounting and corporate services to help individuals, entrepreneurs and businesses navigate every stage of the relocation process. By coordinating the key aspects of your move from the outset, we help make the transition to life and business in Malta clear and stress-free.

Thinking about relocating to Malta? Contact ECOVIS Malta to discuss your plans and receive tailored advice before you make the move.