New residency scheme available for EU retirees

This scheme is only for EU/EEA/Swiss retirees receiving a pension

1. Need health cover
2. 15 per cent tax rate with a minimum tax liability of €7,500 and an extra €500 for a dependent
3. have to receive a recognised pension
4. minimum of €275,000 on a property in Malta but €250,000 in Gozo, or if renting the minimum amount must be €9,600 for Malta and €8,750 for Gozo
5. minimum of 90 days on the islands every year
6. entire pension would have to be remitted and taxed in Malta and 75 per cent of the taxable income has to come from a pension or similar income
7. €2,500 application fee

Potentially interesting to someone on a pension of 40000 or more

georgeingozo wrote:

Potentially interesting to someone on a pension of 40000 or more

hmmm a pension of 40000.....should've paid more in over the last 40 years...LOL

I'm sure EU pensioners will be queuing to participate in this scheme!

Does anyone know how successful the HNWI scheme is ?

Cheers
Ricky

HNWI - about 1 a month.

Actually Ricky, I think they've pitched this one about right - for someone on a pension of over 40,000 odd this looks quite attractive. OK so it might only appeal to say 3-5% of pensioners in the EU, but its the type of people Malta wants and could get - it really wants the top 1% (HNWI), but was never going to get those, but this could attract a hundred people a year.

If anyone has any questions, John Huber my accountant, who helped design the scheme, is willing to help

Malta has no problem attracting pensioners with an income of around 20,000 - in fact for them its not about tax as they pay little tax in Malta on that sort of income anyway. Someone on a pension of say 200,000 is unlikely to even think of living in Malta.

George: Do you know if this is replacing the Ordinary Residency application for retirees - the existing application where one states one's pension income (above the national income threshold) and also the transferal of one's health coverage from NHS UK?

Have read the John Huber link but it hasn't answered this question, as we are relocating in the new year this announcement causes some concern for us.

Nothing to worry about,this is completely separate to OR, which is a fundamental right for EU citizens - this is merely another option.

Thanks for the reply George. Makes us feel better (as the other half of Rooikat)

Hi, I do NOT want to avoid paying tax in Malta but of course I am interested in any scheme, other than the retirement scheme, that could keep me out of the top tier of taxation. Our joint married estimated income will be about Euro 34000 (index linked) for our first 5 years in Malta.
Can anyone advise please?

You only pay tax on income you bring into (or earn in) Malta