Malta residence permit by investment for the Malaysian sportsman to optimise taxes and travel around Europe

Aidan is a sportsman from Malaysia who specialises in sailing. He has been participating in Asian and world championships since he was 13 and has shown great results from the start.

In 2023, a Spanish sports committee noticed his talent and invited him to join a Spanish sailing team.

The offer appealed to Aidan not only because of the financial terms but also because of the excellent opportunities it provided. The Spanish team is more successful than the Malaysian one. So, Aidan accepted the offer and signed a contract with the Spanish team.

The Spanish sailing team was ready to help Aidan obtain Spanish work residence. However, he hesitated. In Spain, he was offered a standard residence permit, which required him to live in the country for most of the year and pay taxes at a rate of 28%.

With no other options in sight, Aidan nearly accepted the Spanish residence permit. However, a conversation with fellow athletes introduced him to the potential tax savings offered through Malta’s residency by investment under the Malta Global Residence Programme, MGRP.

This programme allows foreigners to become tax residents in the country and pay income taxes at 15%—nearly half the rate in Spain. Additionally, the MGRP doesn’t require investors to live in Malta permanently, offering Aidan greater flexibility.

Obtaining Maltese residency seemed like the better choice from every angle. As a result, Aidan decided to rethink his plan to pursue a Spanish residence permit.

Limitations. Malta Global Residence Programme participants are not required to live in Malta. However, they cannot spend more than 183 days in another country. This suited Aidan perfectly, as he planned to stay in Spain for 150—180 days per year for training and travel across Europe for the remaining time.

Another limitation is the minimum annual tax of €15,000, which investors must pay regardless of income. For Aidan, this was not an issue. With his average annual income of €150,000, he would need to pay approximately €22,500 in taxes. In comparison, Spain’s 28% tax rate would result in a tax bill of about €42,000 per year.

Malta seemed like the better option, and after careful consideration, Aidan decided to proceed with a Maltese residence permit. While researching, he discovered that applicants cannot apply directly and must work with a licensed agent of the programme.

He searched online and found several companies, but Immigrant Invest stood out. Its blog provided useful information and engaging social media content caught his attention. In June 2024, Aidan booked a consultation with Immigrant Invest lawyers to begin the process.

To obtain a Malta residence permit by investment, the applicant must buy or rent housing, pay an administrative fee, and pay a fixed annual tax of at least €15,000.

The cost of real estate depends on its location:

• at least €8,750 per year for properties in the south of Malta or on Gozo island;

• at least €9,600 per year for real estate in other regions.

The required cost of a property for purchase are as follows:

• at least €220,000 for housing in southern Malta or on the island of Gozo;

• at least €275,000 for real estate in other regions.

When buying a property, the investor must pay a notary fee of 1.5%, stamp duty of 5%, a property tax of 5%, and VAT of 18%.

The administrative fee is €5,500 if the real estate is purchased in the south of Malta or on the island of Gozo, or if it is rented. For housing purchased in northern or central Malta, the administrative fee is €6,000.

Examples of properties for obtaining Malta residency

Malta, Sliema

€920,000 — €1,300,000

Apartments in a new residential high-rise project near the sea

176 m² — 211 m²

2—3

2

Malta, Valletta

€1,510,000 — €3,370,000

Modern apartments not far from sea in Valetta

123 m² — 281 m²

1—3

1—3

Malta, Rabat

€575,000 — €5,750,000

Modern apartments in hotel complex

122 m² — 672 m²

2—4

2—4

Aidan decided to rent real estate on Gozo, the second-largest island in the Maltese archipelago, located northwest of the main island of Malta. Since he did not plan to live in the country permanently, he opted for the most affordable housing.

He chose an apartment in Mgarr, a town in southeastern Gozo. The main advantage of this location was Mgarr Marina, a popular training spot for yachtsmen.

The rental cost was €750 per month or €9,000 per year. When signing the lease contract, Aidan paid for the first month’s rent and a one-month deposit.

With his Malta residence permit, Aidan moved to Malta in November 2024. He plans to stay there until spring and then relocate to Spain to train and prepare for sailing weeks scheduled in the summer of 2025. If everything goes as planned, Aidan will also participate in European and international championships.

In his free time, Aidan intends to travel around Europe and experience life in different parts of the region. This is an opportunity he had never had before, and he is eager to explore.

In December 2024, Aidan bought a yacht and registered it under the Maltese flag. He chose Malta over Spain due to lower taxes and a faster registration process. Immigrant Invest lawyers helped the investor gather documents, sign them, and file an application with Maltese authorities.

Aidan will likely extend his residence permit after it expires in January 2026. To do so, he will need to file a tax declaration and pay the tax due by April 30th of the year following the reporting year. Immigrant Invest is prepared to assist him with all the necessary procedures.