Employment in Innovation and Creativity

The Employment in Innovation and Creativity programme relates employees directly engaged in the development of innovative and creative digital products as defined by Malta Enterprise Corporation. Malta Enterprise is the national development agency responsible for promoting and facilitating international investment in the Maltese Islands.

The applicant can be a national of any country.

General conditions

The applicant

  • should be in possession of sickness insurance;
  • should be in receipt of stable and regular resources which are sufficient to maintain himself and the members of his family;
  • should be in possession of a valid travel document.

Employment conditions

The applicant

  • should carry out his employment in Malta except for reasonable and related foreign travel and holiday time;
  • be protected as an employee under Maltese law;
  • should hold a qualifying employment contract;
  • should declare his emoluments for Malta income tax purposes;
  • should disclose income from an employer who is a relation;
  • should hold relevant qualifications & experience approved by Malta Enterprise;
  • should hold an eligible office that is approved by Malta Enterprise;
  • is required to prove performance to Malta Enterprise;
  • should be earning a salary, excluding fringe benefits, in Malta of at least €45,000 (2013) increased by Malta’s Retail Price Index annually. This would be €45,682 in 2014;
  • national insurance (social security) contributions must be paid in Malta if not paid elsewhere.

Exclusions

  • The applicant should not be domiciled in Malta;
  • The employer should not be related to the employee;
  • The employer should not be a beneficiary under other business incentives;
  • Applicant should not have already resided in Malta for over 1460 days (4 years).

Termination provisions

Non European Economic Area nationals (EU member states, Iceland, Norway and Liechtenstein) and non Swiss nationals, i.e. 3rd country nationals, would stop benefiting under this programme

  • if they have resided in Malta for a period which exceeds 1460 days (4 years);
  • on the acquisition of real rights over an immovable property in Malta.

Property

The applicant should reside in accommodation that would be regarded as normal for a comparable person or family in Malta.

Term of benefit

Applicants can benefit from this programme for a maximum of 3 years.

Taxation

Taxation will be levied at  a final rate of 15% on a maximum value of annual remuneration and fringe benefits of €5,000,000.
Should the amount of remuneration and fringe benefits exceed €5,000,000, the excess would be exempt from tax.
All other Malta source income will be taxed at progressive rates up to a maximum rate of 35%.

The above is only intended to highlight the main features of the programme and more detailed rules apply.
Please contact David Marinelli directly or contact us for further information or assistance