MALTA CITIZENSHIP

The Malta Citizenship by Investment Programme was approved in late October 2013. This new CIP caters to high net worth individuals looking for new opportunities in the old world. The government is currently finalizing many details, which may change the investment opportunities as well as residency requirements. We expect to be processing applications before 2014. 

The island nation of Malta, located just south of Sicily, in the clear Mediterranean waters, has a long and cultured history dating before the Romans, back to the Phoenicians. An advanced economy with strengths in international banking and finance, the islands are quickly becoming a major world financial centre. Tourism has established itself as a major industry for the islands, with visitors tripling the amount of local residents annually. A democratic republic with a parliamentary system, Malta has become a major player in European and Arabic relations. The “land of honey,” Malta has two co-official languages: English and Maltese (a unique Arabic-based dialect mixed with Sicilian and Italian).

After gaining independence from the United Kingdom in 1964, Malta joined the European Union in 2004. One of the smallest countries in the world, Malta is a full member of the EU and the Schengen region.

 There is currently only ONE option available to qualify for the Citizenship by Investment Programme;  

Contribution to the Government - € 650,000

Of course details are at this stage on the basis of draft regulations. These are subject to change in the light of the current negotiations but we would say that changes are unlikely or in any case minimal.

As regards associated fees over and above the donation / investment, the draft regulations indicate the following fees:

a) Main applicant - € 7,500
b) Spouse - € 5,000
c) Children below the age of 18 years - € 3,000
d) Unmarried children between 18 years of age and 25 years of age - € 5,000
e) Dependent parent above 55 years of age - € 5,000

There are also expedited passport fees (€500 per person) and bank charges fees (€200 per application).

It is so far indicated that all above fees are non refundable even if the application is denied.

Over and above that, every applicant will be expected to pay € 10,000 on account of the eventual donation / investment which he will make to become a citizen of Malta. If the application is accepted, the sum of €10,000 is deducted from the total contribution / investment, but if the application is not accepted, this sum is also non redundable.

As regards envisaged documents that need to be submitted with the application, after reading throughlly the draft regulations, I would in particular highlight the following:

a) A true copy of applicant’s passport
b) A certificate by a licensed medical practioner that applicant and his or her dependants is not suffering from any contagious disease and that they are otherwise in good health
c) Police good conduct certificate / s – from country of origin, from countries where applicant would have resided for a periodof six months or more during preceding ten years, and from Malta
d) An undertaking that applicant will be able to remit remainder of full contribution / investment on acceptance of application.
e) Such other documents as may be prescribed – We anticipate such documents such as a utility bill to prove former residence of applicant, as well as charactrer references from financial insitutions of repute; etc

A Maltese passport is one of the best for world travel, with full access to work, live and travel in the EU including the Schengen member states. Malta Citiznes enjoy visa-free travel to more than 160 countries, including the United Kingdom, Canada and the United States of America. The island nation allows duel-citizenship and new citizens of Malta will be able to vote and, in theory, have all the same rights as a natural born Maltese. 

The nation imposes no income, wealth or inheritance taxes on income produced outside of Malta. Although there are no wealth taxes levied in Malta, a resident of the Mediteranean island is subject to personal income tax in Malta on his or her world-wide income. A person resident in Malta but not domiciled would be liable to tax on any income and certain capital gains arising in Malta and on income arising outside Malta and which is received in Malta but would not be liable to tax on capital gains arising outside Malta. There is no inheritance tax levied in Malta but, rather, succession duty which, again, is not dependent on citizenship. Succession duty is levied in Malta on inheritance of immovable property situated in Malta and shares in a Maltese company which is not quoted on the Stock Exchange.

The granting of citizenship is at the sole discretion of the government of Malta, and there is no guarantee that the applicant will be approved. However, NTL legal advisors carefully screen the investors prior to submitting an application, and as such, they are rarely refused. Applications are processed by a carefully-selected network of NTL affiliate lawyers and authorized financial services providers.

Proffesional fees may vary depending on the complexity of the application, but are typically in the between EUR 20k-25k.