{"id":2125,"date":"2024-10-08T12:47:26","date_gmt":"2024-10-08T09:47:26","guid":{"rendered":"https:\/\/monoro.eu\/malta\/property-taxation\/"},"modified":"2024-10-14T12:50:14","modified_gmt":"2024-10-14T09:50:14","slug":"property-taxation","status":"publish","type":"page","link":"https:\/\/monoro.eu\/en\/malta\/property-taxation\/","title":{"rendered":"Property Taxation"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-page\" data-elementor-id=\"2125\" class=\"elementor elementor-2125 elementor-1958\" data-elementor-post-type=\"page\">\n\t\t\t\t<div class=\"elementor-element elementor-element-6df6cf1 e-flex e-con-boxed e-con e-child\" data-id=\"6df6cf1\" data-element_type=\"container\" data-e-type=\"container\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-f731abf elementor-widget__width-initial elementor-widget-tablet__width-initial elementor-widget-mobile__width-inherit elementor-widget elementor-widget-heading\" data-id=\"f731abf\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h1 class=\"elementor-heading-title elementor-size-default\">Property Taxation<\/h1>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-34e841a e-con-full e-flex e-con e-parent\" data-id=\"34e841a\" data-element_type=\"container\" data-e-type=\"container\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t<div class=\"elementor-element elementor-element-f72c95d e-flex e-con-boxed e-con e-child\" data-id=\"f72c95d\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t<div class=\"elementor-element elementor-element-3e9f29f e-con-full e-flex e-con e-child\" data-id=\"3e9f29f\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t<div class=\"elementor-element elementor-element-4bad750 e-con-full e-flex e-con e-child\" data-id=\"4bad750\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t<div class=\"elementor-element elementor-element-67e8242 elementor-view-default elementor-widget elementor-widget-icon\" data-id=\"67e8242\" data-element_type=\"widget\" data-e-type=\"widget\" data-settings=\"{&quot;sticky&quot;:&quot;top&quot;,&quot;sticky_offset&quot;:160,&quot;sticky_offset_mobile&quot;:360,&quot;sticky_on&quot;:[&quot;desktop&quot;,&quot;tablet&quot;,&quot;mobile&quot;],&quot;sticky_effects_offset&quot;:0,&quot;sticky_anchor_link_offset&quot;:0}\" data-widget_type=\"icon.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-icon-wrapper\">\n\t\t\t<div class=\"elementor-icon\">\n\t\t\t<svg aria-hidden=\"true\" class=\"e-font-icon-svg e-fas-circle\" viewBox=\"0 0 512 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M256 8C119 8 8 119 8 256s111 248 248 248 248-111 248-248S393 8 256 8z\"><\/path><\/svg>\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-6c616a8 e-con-full e-flex e-con e-child\" data-id=\"6c616a8\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t<div class=\"elementor-element elementor-element-b3b5177 e-con-full e-flex e-con e-child\" data-id=\"b3b5177\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t<div class=\"elementor-element elementor-element-a17e8cf e-con-full e-flex e-con e-child\" data-id=\"a17e8cf\" data-element_type=\"container\" data-e-type=\"container\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-caf7b1b e-con-full e-flex e-con e-child\" data-id=\"caf7b1b\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t<div class=\"elementor-element elementor-element-71e1a4c elementor-widget elementor-widget-heading\" data-id=\"71e1a4c\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<p class=\"elementor-heading-title elementor-size-default\">1. For European Union Citizens<\/p>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-cbe57f4 elementor-widget elementor-widget-heading\" data-id=\"cbe57f4\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<p class=\"elementor-heading-title elementor-size-default\">The tax rules applicable to European Union (EU) citizens when purchasing property are as follows:<br><\/p>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-2e1dd68 elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"2e1dd68\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-203a42d elementor-widget elementor-widget-text-editor\" data-id=\"203a42d\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<ul>\n<li><strong>Stamp Duty<\/strong>: EU citizens who buy property in Malta are required to pay stamp duty, which is generally 5% of the property&#8217;s purchase price.<\/li>\n<li><strong>First-Time Buyer Exemption<\/strong>: If an EU citizen purchases their first home, an exemption applies whereby the first \u20ac200,000 of the property purchase is tax-free. The remaining portion of the purchase price is taxed at the 5% rate. <\/li>\n<li><strong>Resident Status<\/strong>: If an EU citizen is a resident of Malta or is applying for residency, they may be eligible for additional tax benefits, such as lower stamp duty rates, especially if the property being purchased is intended as their primary residence.<\/li>\n<li><strong>Capital Gains Tax<\/strong>: Malta does not impose capital gains tax on the profit from the sale of a property if it has been the individual&#8217;s personal residence for at least three years and is sold before the end of a five-year period.<\/li>\n<\/ul>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-2ed107f elementor-widget elementor-widget-heading\" data-id=\"2ed107f\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<p class=\"elementor-heading-title elementor-size-default\">Other Important Taxes and Costs for EU Citizens:<\/p>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-b8a4097 elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"b8a4097\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-c2f4b05 elementor-widget elementor-widget-text-editor\" data-id=\"c2f4b05\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<ul>\n<li><strong>Notary Fees<\/strong>: Typically range from 1% to 2% of the property&#8217;s value and must be paid during the formalization of the property transaction.<\/li>\n<li><strong>Registration Fees and Other Charges<\/strong>: In some cases, small registration fees may apply for the registration of property ownership.<\/li>\n<\/ul>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-2988017 e-con-full e-flex e-con e-parent\" data-id=\"2988017\" data-element_type=\"container\" data-e-type=\"container\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t<div class=\"elementor-element elementor-element-ca8fea9 e-flex e-con-boxed e-con e-child\" data-id=\"ca8fea9\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t<div class=\"elementor-element elementor-element-e3bd980 e-con-full e-flex e-con e-child\" data-id=\"e3bd980\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t<div class=\"elementor-element elementor-element-30a4663 e-con-full e-flex e-con e-child\" data-id=\"30a4663\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t<div class=\"elementor-element elementor-element-1748b58 e-con-full e-flex e-con e-child\" data-id=\"1748b58\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t<div class=\"elementor-element elementor-element-401f26c e-con-full e-flex e-con e-child\" data-id=\"401f26c\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t<div class=\"elementor-element elementor-element-23c5843 elementor-widget elementor-widget-heading\" data-id=\"23c5843\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<p class=\"elementor-heading-title elementor-size-default\">2. For Citizens Outside the European Union<\/p>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-bbe9dc5 elementor-widget elementor-widget-heading\" data-id=\"bbe9dc5\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<p class=\"elementor-heading-title elementor-size-default\">The tax rules applicable to citizens outside the European Union (EU) when purchasing property are as follows:<\/p>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-dcaf80c elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"dcaf80c\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-bb7eeab elementor-widget elementor-widget-text-editor\" data-id=\"bb7eeab\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<ul>\n<li><strong>Stamp Duty<\/strong>: The stamp duty rate for non-EU citizens purchasing property is also 5% of the property&#8217;s purchase price, but additional conditions and restrictions may apply.<\/li>\n<li><strong>AIP Permit (Acquisition of Immovable Property Permit)<\/strong>: Non-EU citizens must apply for an AIP permit to purchase property in Malta if the property is not located in specially designated areas (Special Designated Areas &#8211; SDA). This permit is typically required for the purchase of property for personal use. <\/li>\n<li><strong>Exemption in Special Designated Areas (SDA)<\/strong>: In special designated areas, such as Portomaso, Tigne Point, and Madliena Village, non-EU citizens may freely purchase property without an AIP permit. The same tax rates apply as for EU citizens. <\/li>\n<li><strong>Lack of Tax Benefits<\/strong>: Non-EU citizens are not entitled to the first-time homebuyer tax exemption (as EU citizens are), meaning that the entire value of the property is subject to the 5% stamp duty.<\/li>\n<\/ul>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-10f2561 elementor-widget elementor-widget-heading\" data-id=\"10f2561\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<p class=\"elementor-heading-title elementor-size-default\">Other Important Taxes and Costs for Non-EU Citizens:<\/p>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-4d80a2d elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"4d80a2d\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-1cf152d elementor-widget elementor-widget-text-editor\" data-id=\"1cf152d\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<ul>\n<li><strong>Notary Fees<\/strong>: Similar to EU citizens, notary fees for non-EU citizens range from 1% to 2% of the property&#8217;s purchase price.<\/li>\n<li><strong>Capital Gains Tax<\/strong>: The same rules apply to non-EU citizens as for EU citizens. Capital gains tax is imposed if the property is sold less than five years after purchase or if it has not been the individual&#8217;s personal residence. <\/li>\n<li><strong>AIP Permit Application Costs<\/strong>: Additionally, non-EU citizens should consider the costs associated with applying for the AIP permit, which are usually administrative fees but may vary depending on the value and intended use of the property.<\/li>\n<\/ul>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-dbce861 e-con-full e-flex e-con e-child\" data-id=\"dbce861\" data-element_type=\"container\" data-e-type=\"container\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-c747513 e-con-full e-flex e-con e-parent\" data-id=\"c747513\" data-element_type=\"container\" data-e-type=\"container\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t<div class=\"elementor-element elementor-element-97ba59c e-flex e-con-boxed e-con e-child\" data-id=\"97ba59c\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t<div class=\"elementor-element elementor-element-7b77e85 e-con-full e-flex e-con e-child\" data-id=\"7b77e85\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t<div class=\"elementor-element elementor-element-fd3a9e2 e-con-full e-flex e-con e-child\" data-id=\"fd3a9e2\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t<div class=\"elementor-element elementor-element-eb43ecd e-con-full e-flex e-con e-child\" data-id=\"eb43ecd\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t<div class=\"elementor-element elementor-element-649e224 e-con-full e-flex e-con e-child\" data-id=\"649e224\" data-element_type=\"container\" data-e-type=\"container\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-5247c37 e-con-full e-flex e-con e-child\" data-id=\"5247c37\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t<div class=\"elementor-element elementor-element-a728078 elementor-widget elementor-widget-heading\" data-id=\"a728078\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<p class=\"elementor-heading-title elementor-size-default\">3. Property Taxation When Purchasing Property in Malta Through a Company<\/p>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-50132f3 elementor-widget elementor-widget-heading\" data-id=\"50132f3\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<p class=\"elementor-heading-title elementor-size-default\">Company Location and Owners<\/p>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-7bb1310 elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"7bb1310\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-a3a5e08 elementor-widget elementor-widget-text-editor\" data-id=\"a3a5e08\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>When purchasing property in Malta, it is essential to determine whether the property is acquired by:<\/p>\n<ul>\n<li>A company registered in Malta, whose owners are EU citizens.<\/li>\n<li>A company registered abroad (outside Malta), whose owners may be either EU or non-EU citizens.<\/li>\n<\/ul>\n<p>Different rules and tax benefits may apply depending on where the company is registered and whether the property is purchased for investment, commercial use, or personal use.<\/p>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-deea8bc elementor-widget elementor-widget-heading\" data-id=\"deea8bc\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<p class=\"elementor-heading-title elementor-size-default\">Stamp Duty<\/p>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-6f4badd elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"6f4badd\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-75d57f7 elementor-widget elementor-widget-text-editor\" data-id=\"75d57f7\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<ul>\n<li><strong>Companies Registered in Malta<\/strong>: If the property is purchased through a company registered in Malta, the general stamp duty rate is 5% of the purchase price.<\/li>\n<li><strong>Foreign Companies (Outside Malta)<\/strong>: If the property is acquired by a company registered outside Malta, a 5% stamp duty also applies. However, it is important to note that additional requirements and documentation may accompany transactions involving foreign companies, especially if the company is from a non-EU country. <\/li>\n<\/ul>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-95ad6f5 elementor-widget elementor-widget-heading\" data-id=\"95ad6f5\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<p class=\"elementor-heading-title elementor-size-default\">AIP Permit (Acquisition of Immovable Property Permit)<\/p>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-8bf8470 elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"8bf8470\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-0319d0e elementor-widget elementor-widget-text-editor\" data-id=\"0319d0e\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<ul>\n<li>If the company is <strong>registered in an EU country<\/strong>, no AIP permit is required, provided the property is purchased for business purposes, such as real estate investment or generating rental income.<\/li>\n<li>If the company is <strong>registered outside the EU<\/strong>, an AIP permit is required to acquire property unless the property is located in special designated areas (Special Designated Areas &#8211; SDA), where all foreign companies can purchase property without restrictions.<\/li>\n<\/ul>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-e4d476f e-con-full e-flex e-con e-parent\" data-id=\"e4d476f\" data-element_type=\"container\" data-e-type=\"container\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t<div class=\"elementor-element elementor-element-35d4509 e-flex e-con-boxed e-con e-child\" data-id=\"35d4509\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t<div class=\"elementor-element elementor-element-74e20f4 e-con-full e-flex e-con e-child\" data-id=\"74e20f4\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t<div class=\"elementor-element elementor-element-4d26121 e-con-full e-flex e-con e-child\" data-id=\"4d26121\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t<div class=\"elementor-element elementor-element-ecba07a e-con-full e-flex e-con e-child\" data-id=\"ecba07a\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t<div class=\"elementor-element elementor-element-23607f0 e-con-full e-flex e-con e-child\" data-id=\"23607f0\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t<div class=\"elementor-element elementor-element-0b5b659 elementor-widget elementor-widget-heading\" data-id=\"0b5b659\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<p class=\"elementor-heading-title elementor-size-default\">Capital Gains Tax<\/p>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-35f28bb elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"35f28bb\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-e1429db elementor-widget elementor-widget-text-editor\" data-id=\"e1429db\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<ul>\n<li><strong>Companies Registered in Malta<\/strong>: When a company sells property, capital gains are taxed at 8% of the sale price. If the property has been owned by the company for less than five years and is sold, an additional tax applies. <\/li>\n<li><strong>Foreign Companies<\/strong>: The capital gains tax rules are the same when a foreign company owning property sells it in Malta. However, additional tax liabilities may arise depending on the double taxation avoidance agreements between the company&#8217;s country of registration and Malta. <\/li>\n<\/ul>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-e80b3e7 elementor-widget elementor-widget-heading\" data-id=\"e80b3e7\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<p class=\"elementor-heading-title elementor-size-default\">Value Added Tax (VAT)<\/p>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-211c385 elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"211c385\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-d07f123 elementor-widget elementor-widget-text-editor\" data-id=\"d07f123\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<ul>\n<li>Generally, VAT does not apply to property transactions in Malta, including the sale of residential or commercial properties.<\/li>\n<li><strong>VAT on Commercial Property<\/strong>: If a company purchases property for business purposes (e.g., office building, retail space), VAT may apply to certain services or property development. The VAT rate in Malta is 18%. <\/li>\n<\/ul>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-ac745c3 elementor-widget elementor-widget-heading\" data-id=\"ac745c3\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<p class=\"elementor-heading-title elementor-size-default\">Other Costs and Taxes<\/p>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-ec48fe2 elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"ec48fe2\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-c5b1fb6 elementor-widget elementor-widget-text-editor\" data-id=\"c5b1fb6\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<ul>\n<li><strong>Notary Fees<\/strong>: Typically, notary fees range from 1% to 2% of the property purchase price. These costs apply to all property transactions, regardless of whether the buyer is a company or an individual. <\/li>\n<li><strong>Registration Fees<\/strong>: The fees for registering property ownership are lower, but they must be paid upon the transfer of property ownership.<\/li>\n<\/ul>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-67e355d elementor-widget elementor-widget-heading\" data-id=\"67e355d\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<p class=\"elementor-heading-title elementor-size-default\">Property Management and Rental Income Taxation<\/p>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-144c575 elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"144c575\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-c796ddc elementor-widget elementor-widget-text-editor\" data-id=\"c796ddc\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<ul>\n<li>If a company owns property in Malta and generates rental income, the rental income is taxed at the corporate tax rate, which is 35% in Malta. However, Maltese companies may reclaim part of the taxes paid on profits distributed as dividends, reducing the overall tax burden. <\/li>\n<li>Foreign companies may be required to pay rental income tax in their country of registration if there is no double taxation avoidance agreement between Malta and the company\u2019s country.<\/li>\n<\/ul>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-df16921 elementor-widget elementor-widget-heading\" data-id=\"df16921\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<p class=\"elementor-heading-title elementor-size-default\">Special Designated Areas (SDA)<\/p>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-1fabdda elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"1fabdda\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-429480b elementor-widget elementor-widget-text-editor\" data-id=\"429480b\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<ul>\n<li><span style=\"font-weight: 400;\">In special designated areas (e.g., Portomaso, Tigne Point, Madliena Village), foreign companies can freely buy and sell property without additional restrictions. For transactions involving this type of property, the standard 5% stamp duty applies, and transactions conducted through a company do not require additional permits. <\/span><\/li>\n<\/ul>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-901566c e-con-full e-flex e-con e-child\" data-id=\"901566c\" data-element_type=\"container\" data-e-type=\"container\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>1. For European Union Citizens The tax rules applicable to European Union (EU) citizens when purchasing property are as follows: Stamp Duty: EU citizens who buy property in Malta are required to pay stamp duty, which is generally 5% of the property&#8217;s purchase price. First-Time Buyer Exemption: If an EU citizen purchases their first home, [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"parent":2115,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"elementor_header_footer","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"class_list":["post-2125","page","type-page","status-publish","hentry"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Property Taxation - Monoro<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/monoro.eu\/en\/malta\/property-taxation\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Property Taxation - Monoro\" \/>\n<meta property=\"og:description\" content=\"1. For European Union Citizens The tax rules applicable to European Union (EU) citizens when purchasing property are as follows: Stamp Duty: EU citizens who buy property in Malta are required to pay stamp duty, which is generally 5% of the property&#8217;s purchase price. 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For European Union Citizens The tax rules applicable to European Union (EU) citizens when purchasing property are as follows: Stamp Duty: EU citizens who buy property in Malta are required to pay stamp duty, which is generally 5% of the property&#8217;s purchase price. 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