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Malta > Legal Developments > Law firm and leading lawyer rankings

Editorial

The Malta Individual Investor Programme (MIIP)

January 2017 - Tax & Private Client. Legal Developments by Kinanis LLC.

More articles by this firm.

A. INTRODUCTION

The whole process to obtain a Malta passport via the Malta Individual Investor Program (MIIP) is divided into a number of stages.

With each stage, different documentation, forms and fees need to be submitted and paid accordingly.

The following are the main stages and key milestones of the whole process:

A. Residency Stage

B. MIIP Application Stage

C. Oath of Allegiance and Naturalization

This publication aims at providing guidelines and an overview of the process, including the documentation and payments that need to be submitted to the authorities.

All applications are to be handled exclusively by agents to Identity Malta (the authority appointed by the Maltese government to process the applications). We are agents to Identity Malta and hence can process the applications accordingly and act as a single point of liaison with the authorities.

B. RESIDENCE STAGE

Stage A: Preliminary Information: The requirement of the Genuine Link

By law, no passport will be issued to an applicant unless he proves that he is resident in Malta for a minimum period of 12 months. In order to prove such residence, the candidate must apply for an e-Residence Card.

The “residence requirement” requires evidence of a genuine link with Malta.

Candidates must commit to some presence (but not 365 days) in Malta before citizenship is granted. Persons already resident one year prior to MIIP approval already satisfy this requirement and need not apply for e-Residence Card again.

As agents, we can obtain advance written approval from Identity Malta of their clients' proposed genuine links. Till now, the authorities have accepted the following as genuine links:

  • Memberships with Maltese clubs (e.g. sports clubs etc.)
  • Donations to local charities, institutions etc.
  • Enrolling to English schools established in Malta
  • Conducting business in Malta

Stage B: Obtain Clearance from the Police of Malta

The applicant must provide us with passport copies of all applicants in order for us to obtain clearance from the Police. The e-Residence Card Application form must be submitted within 6 months of such clearance.

Stage C: Obtaining Residential Property

The applicant needs to find residential property for the 12 months period in which he will be considered resident in Malta. There is no minimum value of the property.

In such case, the applicant typically leases property for a period of 12 months at a minimal value, for instance of around €500 per month.

We can assist the client to search for property. If the client so requires, we can provide a selection of selected property for him to choose, subject to availability.

Stage D: Preparing the Application for e-Residence Card

The following is a list of the main steps involved and documentation required to obtain an e-Residence Card:

  • Signing of an agreement with our firm allowing us to represent the client with the authorities.
  • Preliminary Due Diligence Checks by our firm.
  • Once the client passes the preliminary Due Diligence, we will provide the client the prescribed forms to be completed. We will offer assistance with the compilation of such forms if the client requires.
  • Client must possess a Comprehensive Health Insurance Cover to be retained indefinitely, with minimum medical coverage of €50,000 per person.
  • The following is a list of all the documentation that needs to be submitted to the authorities for the e-Residence Card –
    • Forms – all persons to complete:
      • Economic Self-Sufficiency – Form J
      • Electronic Identity Registration – Form ID1A
      • Image Capture Application Form – Form ID2
      • EU Electoral Register Form
    • Certified True Copies of Passports for each e-Residence applicant and dependents
    • Certified True Copy of Global Health Insurance
    • Certified True Copy of Bank Statements from Main Applicant – not older than 3 months from date of submission
    • Certified True Copy of lease / purchase agreement proving that person has residence in Malta (see above).
    • Introduction Letter by Main Applicant giving reasons why e-Residency is being applied, showing details of individual’s plans/ reasons for application. The ‘Genuine Link’ ties with Malta must be detailed in this letter.
    • Evidence of Due Diligence Checks (by our firm)

Stage E: Submission of the Application Form for e-Residence Card

In order to be able to submit the documentation, the applicants (main and dependents) must be physically present at the authorities’ offices in Malta.

Prior to submission of the application form, as agents, we will send all documents the authorities in scanned form a minimum 10 days before meeting.

The officials of Identity Malta will conduct a personal meeting with the applicants (main and dependents) at their offices in Malta in order for them to:

  • Take the biometric data of the applicants
  • Issue the e-Residency card

Upon submission of the documentation to the authorities, the applicant must also proceed with the payment of the following fees to authorities:

  • Main Applicant (Part-contribution of non-refundable deposit) – €5,000
  • Spouse – €1,000
  • Dependents – €1,000
  • Renewal of e-Residence Card – €200

The e-Residence Card is typically issued within 5 working days, provided everything is in order. The validity of e-Residence Card for the purpose of the MIIP is of 18 months. Upon expiry, applicants must repeat this process and the fee is of €200.

Stage F: Collection of the e-Residence Card

Till now, the authorities have allowed the authorized agents (our firm) to collect the e-Residence Cards on behalf of the applicants. Hence, there should be no need for the applicants to return to Malta to collect the e-Residence Cards.

Stage G: Ensuring Compliance with the Genuine Link Criteria

It is of utmost importance that the applicants abide to the Genuine Links indicated in the Introduction Letter throughout the 12 months residence in Malta. Non-compliance with this requirement may seriously prejudice his passport application form at a later stage.

C. MIIP APPLICATION PREPARATION STAGE & SUBMISSION

Once the e-Residence Card has been issued, the applicant can commence the process to submit the MIIP Application (i.e. the forms to apply for the Maltese passport).

We will assist the client with the compilation of the various application forms. The main documents required have been divided as follows:

Key Documents:

  • Covering letter providing details of individuals forming part of the application.
  • Residency proposal letter on behalf of Main Applicant.
  • Power of Attorney by Main Applicant empowering our firm to act as agent and perform any act in connection to the application of the MIIP.

Prescribed Forms duly signed by a Commissioner for Oaths –

  • Main Applicant - Form N.
  • Spouse and Adult Dependents - Form O.
  • Parents / Legal Guardians for Dependent Child – Form P.

Administrative Forms:

  • Personal Details, Family Information, Education, Employment – Form PDFEE – Required for every applicant.
  • Statement of Source of Funds and Wealth – Form SSFW and Bank Statements – required only for Main Applicant.
  • Photograph and Signature Certification – Form PSC – Required for every applicant.
  • Medical Report and Questionnaire – Form MRQ – Required for every applicant and Section D must be signed by the Examining Physician.

Supporting Documentation – Certified True Copies of the following are required:

  • Passports
  • Identity Card
  • Residence Permits
  • E-Residency Card (by Maltese Authorities)
  • Military Records (where applicable)
  • Birth Certificate
  • Change of Name Documents (where applicable)
  • Marriage and Divorce Certificates (where applicable)
  • Documentary Evidence of Residential Address – utility bill, government correspondence etc
  • Police Certificate (must be provided in Original):
    • For all applicants aged 12 and over
    • From each country in which the individual has resided for a minimum cumulative period of 6 months in the last 10 years
    • Certificates must not be less than 6 months old and must be in English / translated accordingly
  • Suitable evidence (affidavits) of dependency for all dependents
  • Evidence of Business Ownership for Self-Employed Main Applicants:
    • Certificate of Incorporation
    • Memorandum and Articles of Association
    • Share Register
    • Register of Directors
  • Evidence of Employment for Main Applicants – certified true copies of one of the following
    • Employment Contracts
    • Payslips
    • Copy of tax returns
    • Employee reference letter

Guidance on Authentication and Translation

The general rules apply for authentication and translation of documents:

  • Documents that are not in English must be translated into English by an accredited translator and duly signed and apostilled.
  • When affidavits are required, these must be provided in the prescribed manner.
  • Forms N, O and P require a witness of a Commissioner for Oaths who must be a person who under the law of the country where the oath is taken, is empowered to administer oaths, for example a Lawyer or Notary Public. Such person must include, in a clear and legible format, the date, their full name, capacity and designation in which they are acting, residential or business address, telephone number and email address.
  • To produce a certified true copy document, the original needs to be seen by a duly licensed Lawyer, Notary Public, a Maltese Consular or Diplomatic Officer, a Senior Officer of Identity Malta who should proceed to certify the copy as a “true copy of the original”. A certifier can only be someone who is not related to the party who is being verified.
  • As part of the certification of each document, the certifier must list the following details in a clear and legible manner:
    • Signature, stamp/seal, and date placed on the document;
    • Listing full name clearly and in capitals;
    • State position and capacity with any relevant professional membership number; and
    • Provide full address and telephone number
  • Authentication of Foreign Documents must be legalized by Apostille

Submission of MIIP Application Form

Once all the documentation has been compiled, we will proceed to submit the application form and any accompanying forms to the authorities.

A receipt is given to our firm as agents that all documentation has been submitted.

D. FOLLOW-UP BY AUTHORITIES

Following submission of the documentation as per the above, the authorities will check that all documentation has been submitted and will send an official letter indicating the completion of phase one of the application process accompanied by the Payment Request Voucher (PRV).

The PRV will include the following remaining fees:

  • Remaining amount of Non-Refundable Contribution – €5,000 if the fee for residence application (€5,000) were paid
  • Due Diligence Fees -
    • Main Applicant – €7,500
    • Spouse – €5,000
    • Children aged 13-18 – €3,000
    • Unmarried children aged 18-27 – €5,000
    • Dependent parents and grandparents aged over 55 years – €5,000
  • Passport Fees – €500 per applicant
  • Bank Charges – €200 per application

The authorities reserve the right to request the applicants to attend an interview with the authorities.

If there is any incorrect information, the authorities issue a Report and list all issues and will send this to us as agents.

E. DUE DILIGENCE PHASE

Authorities have 120 days to conduct any Due Diligence on the applicants. During this process, the authorities might request additional documentation and/or clarifications. In such case, the 120 days are suspended from date on which request is made to day on which information is received.

After the 120 days, successful applications would receive a letter of approval in Principle together with the Contribution Request Voucher (CRV) requesting the following:

  • Contribution to the National Development and Social Fund –
    • Main Applicant – €640,000
    • Spouse – €25,000
    • Children under 18 – €25,000
    • Unmarried children between 18-27 years – €50,000
    • Dependent parents and grandparents over 55 years – €50,000
  • Proof (Contract of purchase / lease) of Property Investment –
    • Purchase of residential property of minimum value of €350,000 or;
    • Lease of residential property of minimum annual value of €16,000 for 5 years
  • Certificate of Purchase of Government Bonds – investment held for minimum 5 years of €150,000
  • Certificate of Global Health Insurance of minimum of €50,000 per person together with a declaration that the applicants are in a position to maintain this insurance indefinitely
  • Proof that the initiatives originally listed in the Letter of Intent (Proposal Letter re: the 12 month Residency Requirement) have been fully fulfilled or are in the process of being fulfilled

The following documentation is to be submitted within a minimum 1 month before the visit for Oath of Allegiance)

  • Original birth, marriage and divorce certificates
  • Public Registry forms:
    • Birth
    • Marriage
    • Civil Union (if applicable)
    • Same-Sex Marriage (if applicable)
  • Passport Application Form A

F. OATH OF ALLEGIANCE & NATURALIZATION

Once the above documentation has been submitted, the authorities will issue a Letter of Invitation so that the applicant and dependents will come to Malta and take the Oath of Allegiance.

The applicants are requested to allow a minimum of 5 working days between taking of Oath of Allegiance and issuing of passports.

A fresh set of biometric data will be taken for each applicant.

Once passports are issued, the applicants will have to collect them in person from the authorities’ office.

F. OATH OF ALLEGIANCE & NATURALIZATION

Once the above documentation has been submitted, the authorities will issue a Letter of Invitation so that the applicant and dependents will come to Malta and take the Oath of Allegiance.

The applicants are requested to allow a minimum of 5 working days between taking of Oath of Allegiance and issuing of passports.

A fresh set of biometric data will be taken for each applicant.

Once passports are issued, the applicants will have to collect them in person from the authorities’ office.

G. TIMELINE GUIDE

Time

Before submission of MIIP Application Form e-Residence Card process takes approx. 1 month

Process

e-Residence Card

Main Features of the Process

  • Finding property in Malta
  • Preparation of supporting documentation
  • Biometrics in Malta

Time

Once e-Residence Card has been issued

Process

MIIP Application

Main Features of the Process

Submission of all documentation for MIIP including the PRV

Time

120 Days

Process

In Principle Approval

Time

120 Days once the Letter of In Principle Approval has been issued

Process

Compliance (CRV)

Main Features of the Process

  • Purchase / Rent Property
  • Invest €150,000 in Government Bonds
  • Pay remaining Contribution of €640,000
  • Submit Health Cover

Time

Not less than 12 months from e-Residence Card

Process

Oath of Allegiance

Main Features of the Process

  • Applicant takes Oath in Malta
  • Biometrics in Malta

    This publication has been prepared as a general guide and for information purposes only. It is not a substitution for professional advice. One must not rely on it without receiving independent advice based on the particular facts of his/her own case. No responsibility can be accepted by the authors or the publishers for any loss occasioned by acting or refraining from acting on the basis of this publication.

    The Firm

    Kinanis Fiduciaries Limited is a Maltese corporate service provider specializing in corporate and tax advice excelling in providing the international investor with a one-stop-shop solution in doing business through Malta.

    The Services

    • Company Incorporations & Management
    • Taxation
    • Accounting & VAT
    • Aircraft, Ship and Yacht Registration
    • Trusts Formation
    • Investment Fund License Application & Set Up
    • Remote Gaming License Applications
    • Intellectual Property
    • Opening & Management of Bank Accounts

    Contact us

    Kinanis Fiduciaries Limited
    7A, Sir Luigi Camilleri Street
    Sliema, SLM 1843
    Tel: + 356 27 54 00 24
    Fax: + 356 27 54 00 25
    E-mail: malta@kinanis.com
    Website: www.kinanis.com

    Contact Person: Dr. Francesco Sultana

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