Malta pauses PRS scheme

The PRS scheme popular for foreigners was paused by the Maltese government. The advantage was that they were registered as a taxpayer in Malta, but only had to tax income that was also imported to Malta or produced in Malta. Foreigners have so far been able to participate in the so-called “Permanent Resident Scheme”. Foreign income from e.g. Dividends remaining abroad remained tax-free.

Thus, elaborate VISA procedures were circumvented. The Maltese government was forced to suspend the PRS scheme, because more and more non-EU citizens applied for this status, among others. In the Schengen area.

EU citizens who have moved to Malta for tax reasons, we still recommend moving to the UK to use non-dom status.