Detailed Malta Digital Nomad Visa (Nomad Residence Permit) Requirements and Application Timeline
The Malta Nomad Visa is also known as the Nomad Residence Permit (NRP). Malta now hosts and invites digital nomads from the EU. The permit is valid for one year and can be renewed each year. The Digital Nomad Visa does not require a job offer from Malta. This essay explains all you need to know about the Malta Nomad Visa, including the prerequisites and application process.
The Malta digital nomad visa provides you with plenty of time to immerse yourself in Maltese culture and enjoy the many things you can undertake in this country.
What makes a digital nomad visa so special? It’s because most tourist visas don’t enable you to work throughout your stay in the country. In comparison, a digital nomad visa permits you to work remotely and is also valid for a longer duration, frequently up to a year or even more. Some even come with attractive tax advantages — talk about the ideal digital nomad experience.
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What is the Malta Digital Nomad Visa (Nomad Residence Permit)?
Malta adopted its digital nomad visa, known as the Nomad Residence Permit (NRP), in 2021, allowing remote workers and third-country nationals to legally remain in Malta while working remotely. The Residency Malta Agency oversees the permission.
Malta, as a Schengen member, already hosts digital nomads from all over the EU who come for the country’s wonderful year-round sun, high-speed internet connectivity, diversified community, and high standard of living.
The Nomad Residence Permit is valid for a year. However, if you still match the qualifying requirements, you may request to renew it.
Types of Malta Digital Nomad Visas (Digital Nomad In Malta)
The Malta digital nomad visa is a sort of residence permit intended for remote professionals.
While not a different visa category, it is part of the Temporary Residence Permit system.
There are two major categories of digital nomad visas in Malta:
1. National Visa (Type D)
Non-EU/EEA/Swiss nationals must first get a National Visa (Type D) to enter Malta, followed by an application for a Temporary Residence Permit, which offers you digital nomad visa status.
2. Temporary residence permit
EU/EEA/Swiss nationals: because citizens of these countries have freedom of movement inside the EU, you can simply apply for a temporary residence permit to gain digital nomad visa status.
The type of digital nomad visa you need also depends on how long you intend to stay in Malta.
How long does the Malta Nomad Residence Permit last (Maltese Nomad Visa Timeline)
Up to 180 days: national visa.
Nomad residence permit: 365 days or more.
Regardless of your nationality, the Malta digital nomad visa has the same requirements and perks.
Eligibility and Malta Digital Nomad Visa Requirements to Apply In Malta as a Digital Nomad
Malta Requirements for Digital Nomad Visa
Here are the prerequisites to apply for the Malta digital nomad visa:
1. Employment status
You must operate remotely as a freelancer, employee, or business owner, offering services to clients or companies in a foreign country other than Malta. Proof of employment or business ownership is needed.
2. Monthly income threshold
A monthly income of at least 2700 € / $2965 is required to ensure financial stability during your stay. Bank statements or payslips are acceptable forms of proof of income.
3. Health insurance
complete coverage, including both public and private healthcare, is required.
4. Criminal record.
A clear criminal record is also required.
Prospective digital nomads must obtain accommodation in Malta before applying for the visa (rental or purchase agreement, for example).
5. Visa application fee
A non-refundable application cost is required when submitting the application.
6. Income Requirements for the Digital Nomad Visa in Malta (Cost in Malta)
The income criteria (Cost in Malta) for Malta’s digital nomad visa is designed to ensure that you have sufficient financial resources to live comfortably in the nation.
To qualify, you must have a minimum monthly income of 2700 € / $2965, which corresponds to around 32400 € / $35600 per year. This level is set higher than the average Maltese salary to ensure a high standard of life.
Income proof can take different forms, including bank statements, payslips, and financial records.
How to Apply for a Digital Nomad Visa in Malta (Malta Digital Nomad Visa Application)
Here’s a step-by-step guide to applying for a digital nomad visa in Malta (Malta Digital Nomad Visa Application).
1. Preparation
Gather all necessary documents and ensure they are up-to-date and accurate.
2. Digital Nomad Visa For Malta Online application
Go to the Maltese government’s official visa portal to fill out the online application form and upload the relevant supporting papers.
3. Pay the non-refundable Malta Nomad Visa application fee.
Proceed tob Pay the non-refundable Malta Nomad Visa application fee.
4. Visa Application submission
Submit the completed application and wait for processing, which typically takes four weeks.
5. Visa decision
Once approved, you will receive a message with additional instructions. In the event of a refusal, you may be given reasons.
6. Visa issuance
Approved candidates residing outside the EU/EEA/Swiss region must contact the nearest Maltese embassy or consulate to acquire their National Visa (Type D) to enter Malta.
7. Arrival in Malta
Non-EU/EEA/Swiss nationals must apply for the Temporary Residence Permit within three months of their arrival, whilst EU/EEA/Swiss nationals can apply straight away.
8. Residence permit collection
Upon approval of the Temporary Residence Permit, you will be issued a digital nomad visa, allowing you to live and operate remotely in Malta for one year.
Malta’s Digital Nomad Visa Renewal Process
The renewal of a digital nomad visa for Malta is contingent on completing the continued eligibility requirements, which include a stable income and proper health insurance.
While there is no set amount of renewals, the decision is at the discretion of the Maltese authorities.
Renewals are typically approved as long as you continue to meet the requirements.
New Rules on Digital Nomads Living and Working in Malta (For Stay in Malta workers)
According to lexolgy.com, the Ministry of Finance of Malta published the Nomad Residence Permits (Income Tax) Rules, 2023 on December 7th, 2023. The new regulations are relevant to digital nomads already living and working in Malta, as well as those who have applied and are awaiting a decision.
Income from “authorised work” earned by a person with a valid nomad residence permit from the Residency Malta Agency is subject to a 10% income tax rate. Here we are talking about a significant drop in the progressive tax rate, which can reach 35%.
The Rules define “authorised work” as services provided remotely through telecommunications technology according to what the Residency Malta Agency approves, whether it’s an eligible main applicant working for an employer who doesn’t live in Malta and doesn’t have a fixed place of business or an eligible main applicant working as a self-employed individual for clients who don’t live in Malta and don’t have a fixed place of business.
The individual can also take advantage of the double taxation reduction offered by Malta’s tax treaties, as long as he or she is a tax resident of one of the jurisdictions that have signed the treaty.
For a given assessment year, the income from the approved job is to be included as the initial component of the individual’s total chargeable income, as provided for in Rule 3(2) of the Rules.
Alluding to the 10% income tax rate indicated in sub-rule (1), the income from approved work shall be included as the initial component for determining the person’s total taxable income for the assessment year in question.
Rule 3(3) creates a “exemption” period during which an eligible main applicant is not compelled to pay income tax earned from approved work. This exemption is valid for a year, beginning on the later of January 1, 2024, or the date of granting of the nomad residence permit, whichever is later.
In other words, during this initial twelve-month period, the eligible primary applicant is not responsible for paying income tax on earnings from permitted labour. To benefit from this exemption, the eligible candidate must file a written declaration with the Residency Malta Agency declaring that their residency in Malta during these twelve months is not just of a casual nature.
This provision attempts to give a tax relief period for those newly granted nomad residency permits, allowing them time to develop a more stable presence in Malta before becoming subject to income tax on their allowed work income.
This exemption is not applicable however to those who do not have a valid nomad visa (e.g. it has expired), but who were given a nomad visa within 2 years from the date of when they ceased to have the original nomad visa.
This means that while they will be able to benefit from the reduced 10% income tax rate, they will have to compound their entire income received from the approved employment and pay on that gross amount the 10% income tax rate. For those persons who were given the new nomad visa after 2 years from the date of when they ceased to hold the first nomad visa, they are entitled to the exemption specified above.
Any other income not earned from the approved employment would be subject to the normal taxation regulations as per Malta’s Income Tax Act. Thus, the general principles in connection to progressive rates of taxation, dividends, interest and so on apply.
The Rules also prescribe reporting duties. The Rules dictate that the nomad visa applicant must file income tax returns. Eligible main applicants, whose income is taxable in Malta, must register for income tax and file a return of income, following the procedures indicated. The applicants need to register for income tax purposes, even for actions done before the expiration of the initial twelve-month term.
For the first twelve months, they do not have to declare income from an approved job unless they make a written declaration to the Residency Malta Agency regarding their presence in the country.
If their income only comes from authorised work and other income not needing reporting, and the time covered does not go beyond the first twelve months, they are free from filing a return of income.
Regarding foreign taxes, if an eligible main applicant is subject to tax on income from approved work for any part of the year, and produces proof of paying taxes outside Malta at a rate of at least 10% it will mean that they do not have to disclose that income for Maltese tax reasons. This is because the tax due is considered resolved under double taxation relief provisions.
The task of delivering the proof of foreign tax payment resides with the Residency Malta Agency, presenting it to the Commissioner for Revenue of Malta.
Frequently Asked Questions
1. Is it expensive to live in Malta as a digital nomad?
While living costs in Malta may be greater than in other countries, they are still considered inexpensive when compared to other popular digital nomad destinations in Europe.
Malta strikes a decent mix between affordability and quality of life by providing acceptable housing, transit, and grocery expenditures.
You should be able to maintain a comfortable lifestyle without breaking the bank, especially if you opt to live in less tourist-friendly places.
2. How long can US digital nomads reside in Malta?
US residents can stay in Malta without a visa for up to 90 days. For extended stays, people must apply for a Malta resident permit.
3. Is the Malta Digital Nomad Visa worth it?
Yes, the Malta digital resident programme is worthwhile for remote workers looking for a secure, inexpensive, and visually appealing European destination with a robust digital infrastructure.
4. What should digital nomads’ health insurance policies cover?
Digital nomads’ health insurance should cover medical crises, hospitalisation, repatriation, and any visa application needs relevant to their country.
5. Do digital nomads pay taxes in Malta?
Digital nomads pay tax in Malta on locally sourced income, while foreign-sourced income is normally tax-free, as long as you do not become a tax resident.
The Malta nomad residence permit offers a unique opportunity for remote workers looking for a European base with a good climate, rich culture, and excellent digital infrastructure.
The nomad residency visa makes it easier to live and work in Malta, and the country’s tax system may benefit people with foreign-sourced income.
Before applying for the nomad digital residence programme, examine the merits and cons, as well as aspects such as cost of living, safety, and visa requirements!
6. How Long is a Malta Digital Nomad Visa Valid?
Malta digital nomad visa validity period
The Maltese digital nomad visa is valid for one year from its date of issuance.
Successful applicants are granted a temporary residence permit, allowing them to live and work remotely in Malta for the duration of their visa.
If your nomad residency permit is about to expire, you can apply for a renewal as long as you meet the eligibility requirements.
Malta’s Digital Nomad Visa Tax: What to Expect
Remote workers residing in Malta are not subject to double taxation because Malta has double taxation agreements with several countries.
Digital nomads living in Malta will be taxed on their Maltese income but not on their overseas revenue.
Please ensure that you understand the local tax rules and are aware of any tax liabilities in your native country. Consulting a tax specialist to help you manage the complexities of taxation is strongly advised!
Final Pros and Benefits of Working in Malta as a Digital Nomad
Malta provides various benefits for digital nomads, including a comfortable Mediterranean climate, beautiful scenery, thriving coworking networks, and a rich cultural legacy.
The country’s excellent internet infrastructure and low cost of living make it an appealing location for permanent establishment.
The English-speaking populace and the country’s strategic location in the centre of the Mediterranean make it an excellent starting point for exploring other European and North African sites.
In addition, the nomad residency programme is simple to use.