The Retirement Programme is designed for EU nationals whose main source of income is their pension. A minimum investment in property in Malta must take place and a flat rate of 15% tax is charged on the pension remitted to Malta.
The minimum amount of tax payable is €7,500 per annum for the main applicant and €500 per annum for each dependant. Income that arises in Malta is taxed at a flat rate of 35%.
An individual must own or rent a property in Malta as his/her principal place of residence in the world. The minimum value of the property must be €275,000 in Malta or €250,000 in Gozo or South Malta; alternatively property must be rented for a minimum of €9,600 annually in Malta or €8,750 annually in Gozo or South Malta. In addition there is a requirement for an applicant to reside in Malta for a minimum of 90 days each calendar year, averaged over any five year period. EU nationals must not reside in any other jurisdiction for more than 183 days in any calendar year during which they benefit from the Malta Retirement Programme.