Malta’s government has declared that further modifications to the popular foreign residency programme Minimum Retirement Tax Under New Visa Rules will severely raise financial barriers for foreigners looking to move to the island. The government of Malta has declared that the popular foreign residency scheme is set to undergo changes in the near future which would significantly raise the financial thresholds for foreigners to move to the island. The new rules which will take effect on January 1, 2027 have created a new regime with increased thresholds for property investment and an increased minimum tax on retirement income in Legal Notice 195 of 2026.
Doubling the Annual Tax and Application Fee Structure
The new laws also introduce a minimum tax liability of €15,000 per annum for foreign pensioners compared to the current €7,500 per annum. Also, the fees for using the administrative application will increase from €2,500 to €8,500. The existing Malta Retirement Program will officially be replaced by a newly structured “Retired Pensioner” status. This visa track will remain valid for five years with an option for a subsequent five-year extension while retaining the standard 15% tax rate on qualified foreign income.
Surging Property Purchase and Rental Thresholds
Real estate prerequisites are also experiencing massive inflation under the new mandate. The minimum property purchase price will skyrocket to €700,000 completely eliminating the previous regional lower tiers of €220,000 in southern Malta and Gozo. For retirees opting to lease, the minimum annual rental requirement will rise uniformly to €14,000 across the entire island country. However, proactive applicants who formally submit their paperwork by December 31, 2026 can legally secure grandfathered status under the lenient current rules until the end of 2031.
How Will Tax Changes Impact Retirees?
What Is The New Property Threshold?
Can You Lock In Lower Fees?
Who Qualifies For European Retired Status?
Are Other Visa Paths Changing Too?






