THE MALTESE ISLANDS
The Maltese Islands were once simply a group of small, barren rocks, jutting out of the middle of the dark blue Mediterranean Sea. In these conditions, they would have been relegated to the footnotes of history. Yet, ever since the archipelago was first colonized thousands of years ago, they have never been far from the center of events and have often played a crucial role in the making of history. The strategic position of the Islands' in the center of the Mediterranean Sea makes up for all the lack of resources that nature endowed the rest of the globe.
Malta, the largest island, and her sister islands of Gozo, Comino, Filfla and other very small islands, are strategically placed in the narrow channel joining the eastern and the western basins of the Mediterranean, the perfect bridge between Southern Europe and North Africa, or between Western Europe and the Middle East. This had landed the Maltese Islands right in the middle of the most important historic events: the wars between Rome and Carthage, the rise of Islam, the Crusades, the wars between Christians and Moslems, the rise and fall of Napoleon, the rise and fall of the British Empire, the fight for democracy against Fascism and Nazism, the Cold War, the rise of a United Europe and the challenges of the Third Millennium.
Malta has been inhabited since around 5200 BC and a significant pre-historic civilization existed on the islands well before the arrival of the Phoenicians who named the main island Malat, meaning "safe haven". Once part of the Roman Empire, it was seized and controlled by many factions over the centuries, including Napoleon. In 1814, it became a British colony. That British control ended in 1964, as Malta gained its independence. Today Malta forms part of the European Union.
SIZE, LOCATION & POPULATION
The Maltese Islands - Malta, Gozo, Comino, together with the two uninhabited Islands of Cominetto, Filfla are only 93kms south of Sicily and 288 km north of Africa. Just a short distance away, considering that most people drive further than this to go to work.
The size of Malta is about 27 km long by 14.5 km width, taking just over an hour's drive between its two furthest points. The total area is approximately 316 sq km (Malta 246 sq km, Gozo 67 sq km, Comino 2.7 sq km). The longest distance in Malta from North West to South East is about 27 km, with 14.5 km width in an East - West direction.
LANGUAGES
Malta has two official languages, Maltese and English. The English language is a leftover of about 160 years of the British colonization of Malta. Maltese, whose closest languages are Arabic, Syrian, Lebanese and Palestinian, is the only Semitic language that is written in Roman alphabet.
Italian, too, is widely spoken especially among the younger generation, particularly due to the television programs that are transmitted from nearby Italy.
RELIGION
The Roman Catholic faith is predominant in Malta. There are 365 catholic churches on the islands, one for every day of the year.
The church is a very prominent aspect of the Maltese way of life; nevertheless, other faiths have been imported to Malta and embraced by various Maltese people.
CLIMATE
Predominantly warm and sunny, the Maltese Islands experience short mild winters and long hot summers. Rainfall is generally confined to the months between September and April. Annual Malta rainfall is low; averaging 578mm a year, and the length of the dry season in summer is longer than in neighboring Italy. Long springs from March to May, and autumn, from September to the beginning of December, are particularly pleasant seasons with temperatures around the low 22°C to 25°C for much of the time. Hot winds from Africa occasionally bring unseasonably high temperatures and humidity.
The winter months, December to March, are mild and far from severe. Occasional short chilly periods, brought about by the north and northeasterly winds from central Europe cools Malta down to average temperatures from 12°C to 14°C. Centrally heated houses are rare; they would be something of an extravagance. Rains are rather frequent during this period; however a completely wet day is a rarity. Usually the rain pours heavily for an hour or so. The sun reappears in no time to dry it all up again.
Summers in Malta are hot, dry and very sunny. Cooling sea breezes often mitigates daytime temperatures. The hottest time of the year is between July and September, when temperatures can get as high as 30°C to 36°C. Summer is obviously the time to spend in or near the sea and in Malta that is never too far away. The sea temperature gets up to around the 25°C to 27°C. Sea bathing is quite possible well in to the 'winter' months, and the peak beach season can last until mid- to late October.
The nice thing about the Maltese climate is that if you can plan a picnic or a round of golf and you can be pretty sure that it will take place as scheduled. It must have some beneficial effect as the Maltese enjoy an exceptionally high standard of health. There is no doubt that, all things considered, Malta's climate is one of its biggest assets.
TAX BENEFITS
Permanent residents
For a more detailed outlook at the conditions please see Residing Permanently in Malta
The current scheme for foreigners who take up residence in Malta came into effect on January 1, 1988. This scheme is of particular interest to those nationals with a relatively high income, who are subject to a high tax rate in their present country of residence.
Under the scheme, an applicant who is not Maltese must either own assets outside Malta, worth not less than €349,410, or be in receipt of an annual income of not less than €23,294. There is no minimum stay requirement.
Conditions
The prospective new resident will be required to: remit to Malta at least €13,980 per annum, plus €2,329 per annum per dependent each year; purchase residential premises in Malta at a cost of not less than €104,509 for a an apartment or maisonette or €174,133 for any other type of residential property; or rent/lease the abode he lives in at not less than €4,193 per annum; not engage in gainful occupation in Malta. Limited gainful activities in Malta may be authorised.
Conditions
Holders of a residence permit under this scheme will be subject to tax on the chargeable income remitted to Malta at a flat rate of 15%. However, there is a minimum liability of €4,193 (Lm1,800) per annum. Remittances of a capital nature are not taxable.
Death/Succession duty
There is a 5% stamp duty payable on transmission of property. No capital gains tax is payable on the first sale after inheritance.
Property rates
There are no property rates, or property taxes in Malta. Profit on the sale of one’s residence is not subject to capital gains tax if sold after three years of ownership.
Business Benefits
Malta is internationally recognized as a brand denoting excellence in financial services. It offers an attractive cost and tax efficient base for financial services' operators looking for an EU-compliant, yet flexible domicile.
The Maltese fiscal regime has been one of the main drivers in creating an attractive environment for foreign investors. Since joining the EU in 2004, Malta has become an attractive jurisdiction for tax planning and corporate structures. An agreement with the EU preserves the competitive Maltese full-imputation system and has been deemed by the European Commission to be compliant with EU non-discrimination principles.
Malta is the only EU member state with a full imputation system of taxation in force. Shareholders are entitled to a credit for the company tax paid on distributed profits and will qualify for a refund when the credit exceeds their tax liability. Malta grants relief from double taxation under the credit method and includes not only treaty relief but also unilateral relief and the flat rate foreign tax credit, thereby ensuring that income arising from overseas is not subject to double taxation, even if there is no double taxation agreement in existence. Malta's double taxation treaty network extends to over 45 countries.
MEDICAL
Malta's reputation is that of excellent medical services, including medical facilities and doctors and specialists from various disciplines. Along with the main general hospital, there are a number of health centers open day and night to care for patients' needs. Malta has reciprocal health care agreements with a number of countries when it comes to providing visitors with urgent medical care.
Private medical care is available through an infinite number of small clinics all around the islands, as well as 2 private hospitals. Private care is provided at a charge, just as in the case of non-Maltese nationals being treated in Government Hospitals. There are also a large number of doctors that take home visits. Visitors to Malta are advised to check with their respective Health authorities as to whether medical arrangements exist between their country and Malta. If this is not the case, insurance is recommended.
Further information may be obtained from diplomatic representatives in respective countries of origin, or from www.health.gov.mt, the Ministry of Health's website.
LEISURE
The Islands' climate and indented coastline of 200km of clear and clean waters are the perfect combination for a vast choice of leisure and outdoor activities.
Yachting
Malta is recognized as a perfect base for wintering one's yacht. Malta's reputation is of excellent repair facilities. Charges for hauling out and 'storing on hard' are very reasonable. A number of beautiful marinas namely, Msida, Ta' Xbiex, the historic Cottonera Marina, and Mgarr (Gozo) all offer modern yachting facilities with both serviced and un-serviced quays at very reasonable rates. Amenities include: - water, telephone, electricity, weather forecasts, DF Beacon, ship-to-shore radio, chart depot, supply of bottled gas, etc.
Several yachting agencies, which operate from the proximity of the yachting centers, undertake to look after yachts afloat over the winter and also carry out necessary maintenance work. A yacht yard comprising of 9 modern slipways is in full operation and has facilities for slipping, repairing, converting and servicing of yachts of all sizes up to 500 tons. A cruise around the islands is a real delight. The sailing season stretches from April to November. Even in the remaining winter months sailing is very common as sunny days are never far away.
The yacht's registration book, together with passports covering all crewmembers and passengers, must be presented to Customs and Immigration officials, who call on the yacht. Yachts may only remain on anchor in midstream within the Yachting Center until the berthing master, who must be contacted at the Yachting Centre offices, or on VHF channel 19, allocates a specific berth.
Sports Facilities
Malta offers a wide variety of sporting facilities. Many of the larger hotels, aware of the current trend towards health and fitness, have all added state-of-the-art gyms and other facilities for the use of their guests and non-guests as members. Facilities often include tennis courts, squash courts, weight and cardio-vascular rooms and saunas. Most hotels also offer water sport facilities, including scuba diving, water skiing, windsurfing and sailing. Windsurfing boards can be rented at practically every major beach in Malta.
The Marsa Sports Club, which is spread over an immensely large area, offers some of the best facilities on the Islands. Among its numerous features are 19 tennis courts, an 18-hole golf-course, cricket ground, 5 squash courts, Polo field, archery, swimming pool, athletics field, gymnasium and lots more. Located near the club are a horse racetrack and horse riding facilities and various riding schools, as well as soccer and rugby field. The Royal Malta Golf Club in Marsa is the only golf club and golf course currently on the islands. Plans are on the way for another one in the very near future.
Soccer ("Football" in Malta) is the country's most popular sport. The season begins in September and runs through May, when the league championships are held as well as other competitions. The National Stadium at Ta' Qali has been the venue of many international competitions. Numerous 5-a-side fields with artificial turf may be found all around the Islands. They are available for lease for a very small for fee.
In addition Malta boasts a wide selection of other sporting events, including Judo, Basketball, Cycling, Table Tennis, Hockey, Water polo, Swimming, Wrestling and more. A ten-pin bowling alley is open all week at St. George's Bay, St. Julian's, and the shooting range in Bidnija (l/o Mosta) has an Olympic Trap with practice shootings taking place on Sunday mornings.
Diving
Malta also offers some of the best scuba diving conditions and instruction in the world. Many water sports centers and diving schools offer lessons and scuba diving equipment rentals. The Islands have a lot to offer to the experienced diver, as well as being an ideal location for beginners. The waters around the islands are tide-free, warm, clear and safe. Visibility often exceeds 30 meters and the underwater scenery and fauna are varied and spectacular. The choice of dive sites includes caves, drop-offs, cliff sites and wrecks - by day or night, either by boat or from the shore.
Restaurants and Nightlife
Dining al fresco is one of life's simple pleasures. Choose from romantic palazzos or meticulously restored farmhouses to bustling harbour restaurants with magnificent views and discover the range of Maltese or International cuisine, wines and beers. The Islands offer a very good choice of restaurants and also cafes, from deluxe to fast food (hamburgers and fish & chips), including Chinese, fish and beachside bars. Table service is normal, but many bars and cafes have table and/or counter service. Fish dishes are recommended and the vegetables and fruit are excellent.
There are several discos, bars and nightclubs. Roulette, baccarat, blackjack and boule can be played at the 'Dragonara' casino, St Julian's or at the Casino de Venezia in Vittoriosa. The Manoel Theater is one of the oldest in Europe. Cinemas show mainly English and American films.
