16Apr

Brexit – Malta – Rules for British Persons

16 April 2019 Acumum Legal & Advisory 196

Why Malta?
The Republic of Malta, a former colony of Great Britain until 1964 has since maintained a special relationship with the UK.

Added to which, as the only one of two European Commonwealth members, Malta’s relationship with the UK, is based on mutual cultural, legal, and economic understanding.

Accordingly, Legal Notice No. 63 of 2019 (“Legal Notice”) goes some way to protecting British persons resident in Malta before the Brexit withdrawal date – whenever that may be.

Who is included?
The Legal Notice sets out persons to whom these provisions will apply: “British Citizen” means a person who holds British Nationality under the British Nationality Act excluding those holding the following British nationality status:

British nationals (Overseas),
British overseas territories citizens (BOTC),
British overseas citizens (BOC),
British protected persons (BPP),
British subjects (BS)

As well as a British citizen who holds a valid certificate under the Residents Scheme Regulations, if such person within 2 years from UK’s withdrawal date, exchanges their status to the residency status under the Legal Notice.

Family Members?
The provisions of the Legal Notice will apply to established family members of British persons, even if that family member is not residing in Malta as of the withdrawal date. The above rules apply to children adopted or born after the withdrawal date to the British person.

In cases where the British person has died, or divorced or separated, the family member may still have the right to reside in Malta if they have the right to reside under the Free Movement of European Union Nationals and their Family Members Order.

Length of Residency Permit
10 years, renewable subject to the person continuing to meet the requirements set out in the Legal Notice.

Application Process

Applications are to be submitted to the CEO of Identity Malta. The CEO of Identity Malta shall refer all applications to the Principal Immigration Officer to ensure the application is not against the public interest.

Until approval of the application under this Legal Notice, the British person’s (and residing family members’) previous residency rights shall continue to subsist.

Benefits & Related Rights
Except for regulated professions, all rights held by the persons shall continue, prior to Brexit with access to:

Healthcare – if a worker or student
Healthcare entitlements – if covered by the S1 scheme (formerly residual E106),
Healthcare entitlements if self employed
Access to education – except that grants or loans may only be given to persons who have resided in Malta for at least 5 years prior to the withdrawal date.

Equal treatment on par with a Maltese citizen as to :

Recognition of educational qualifications – provided that an application is submitted prior to the withdrawal date to recognise diplomas, certificates and professional qualifications in accordance with Maltese legislation
Access to goods and services
Social benefits, provided that the person does not become a burden on the Maltese social assistance programme.

British nationals will also be able to exchange their UK driving license for a Maltese license without having to take the test.

Loss of Rights
The rights granted to British persons (and appropriate family members) will be lost if the beneficiary is absent from Malta for a continuous period of 2 years, not including:

Temporary absences of 6 months in a year
Absences due to compulsory military service
One absence of a maximum of 12 consecutive months due to important reasons such as pregnancy, serious illness, study or vocational training or a work positing outside of Malta
It is contrary to the public interest or public security
After the withdrawal date the beneficiary is found guilty of an offence and subject to imprisonment of 1 year or more, whether in Malta or abroad
Does not have sufficient funds, equivalent to the national minimum wage, to support themselves, or becomes a burden on the Maltese social assistance system
No application for the Brexit Permit is received within 2 years of the withdrawal date
Concealment of any material fact, by way of fraud, false representation
Beneficiary is spouse or partner who is a 3rd country national, whom after the withdrawal date divorces or separates from the British citizen within 3 years of the marriage or registration of the partnership
A de-facto partner of a British citizen, whose relationship no longer exists.

Refusals & Appeals
Refusals by the Maltese Government should be supplied with reasons, in writing, for the basis of the decision, unless this is contrary to public security. An appeal can be submitted to the Immigration Appeals Board, on the basis and within the time period notified to the British national.

Next Steps
British nationals resident in Malta prior to the Brexit withdrawal date are urged to regularise their position.

Older persons and persons not deemed a worker or student on holding an S1 scheme permit should make inquiries as to an appropriate health insurance
Persons in ‘regulated professions’ such as lawyers, doctors, nurses, social workers, pharmacists, vets are urged to contact their regulating profession in Malta in order to ascertain their work / license status. You can find out whether you are part of a regulated profession here: http://ec.europa.eu/growth/tools-databases/regprof/index.cfm

You are urged to submit their qualifications to the Malta Qualifications Recognition Information Centre prior to Brexit.

16Apr

Brexit – Malta – Rules for British Persons

16 April 2019 Acumum Legal & Advisory 179

Why Malta?

The Republic of Malta, a former colony of Great Britain until 1964 has since maintained a special relationship with the UK.

Added to which, as the only one of two European Commonwealth members, Malta’s relationship with the UK, is based on mutual cultural, legal, and economic understanding.

Accordingly, Legal Notice No. 63 of 2019 (“Legal Notice”) goes some way to protecting British persons resident in Malta before the Brexit withdrawal date – whenever that may be.

Who is included?

The Legal Notice sets out persons to whom these provisions will apply: “British Citizen” means a person who holds British Nationality under the British Nationality Act excluding those holding the following British nationality status:

British nationals (Overseas),
British overseas territories citizens (BOTC),
British overseas citizens (BOC),
British protected persons (BPP),
British subjects (BS)

Family Members?

The provisions of the Legal Notice will apply to established family members of British persons, even if that family member is not residing in Malta as of the withdrawal date. The above rules apply to children adopted or born after the withdrawal date to the British person.

Length of Residency Permit

10 years, renewable subject to the person continuing to meet the requirements set out in the Legal Notice.

Application Process

Until approval of the application under this Legal Notice, the British person’s (and residing family members’) previous residency rights shall continue to subsist.

Benefits & Related Rights

Except for regulated professions, all rights held by the persons shall continue, prior to Brexit with access to:

Healthcare – if a worker or student
Healthcare entitlements – if covered by the S1 scheme (formerly residual E106),
Healthcare entitlements if self employed
Access to education – except that grants or loans may only be given to persons who have resided in Malta for at least 5 years prior to the withdrawal date.

Equal treatment on par with a Maltese citizen as to :

Recognition of educational qualifications – provided that an application is submitted prior to the withdrawal date to recognise diplomas, certificates and professional qualifications in accordance with Maltese legislation
Access to goods and services
Social benefits, provided that the person does not become a burden on the Maltese social assistance programme.

British nationals will also be able to exchange their UK driving license for a Maltese license without having to take the test.

Loss of Rights

The rights granted to British persons (and appropriate family members) will be lost if the beneficiary is absent from Malta for a continuous period of 2 years, not including:

Temporary absences of 6 months in a year
Absences due to compulsory military service
One absence of a maximum of 12 consecutive months due to important reasons such as pregnancy, serious illness, study or vocational training or a work positing outside of Malta
It is contrary to the public interest or public security
After the withdrawal date the beneficiary is found guilty of an offence and subject to imprisonment of 1 year or more, whether in Malta or abroad
Does not have sufficient funds, equivalent to the national minimum wage, to support themselves, or becomes a burden on the Maltese social assistance system
No application for the Brexit Permit is received within 2 years of the withdrawal date
Concealment of any material fact, by way of fraud, false representation
Beneficiary is spouse or partner who is a 3rd country national, whom after the withdrawal date divorces or separates from the British citizen within 3 years of the marriage or registration of the partnership
A de-facto partner of a British citizen, whose relationship no longer exists.

Refusals & Appeals

Refusals by the Maltese Government should be supplied with reasons, in writing, for the basis of the decision, unless this is contrary to public security. An appeal can be submitted to the Immigration Appeals Board, on the basis and within the time period notified to the British national.

Next Steps

British nationals resident in Malta prior to the Brexit withdrawal date are urged to regularise their position.

Older persons and persons not deemed a worker or student on holding an S1 scheme permit should make inquiries as to an appropriate health insurance
Persons in ‘regulated professions’ such as lawyers, doctors, nurses, social workers, pharmacists, vets are urged to contact their regulating profession in Malta in order to ascertain their work / license status. You can find out whether you are part of a regulated profession here: http://ec.europa.eu/growth/tools-databases/regprof/index.cfm .

You are urged to submit their qualifications to the Malta Qualifications Recognition Information Centre prior to Brexit.

13Apr

Key Employee Initiative

13 April 2019 Acumum Legal & Advisory 209

The Key Employee Initiative (KEI) has been introduced in Malta, providing a new, efficient programme for third country nationals / non – EU nationals (TCN) seeking employment and residence in Malta.Key Employee Initiative

The Key Employee Initiative aims to facilitate and to provide a fast track application process to highly-specialised third-country nationals who seek employment in Malta; applications will be approved within five working days from the date of submission of the application.

Eligibility
An individual may apply for a work/residence permit under the scheme if the employment position concerns a managerial or a highly-technical post which requires specific qualifications or adequate experience.

This scheme is also open to innovators who are involved in start-up projects which are specifically approved by Malta Enterprise.

Individuals applying under the KEI must:

Have an annual gross salary of at least € 30,000; and
Provide certified copies of the relevant qualifications, warrants or the necessary work experience;
Provide a declaration by the employer stating that they have the necessary credentials to perform the duties which they have been assigned.

Validity
Once the application is validated and approved, the applicant will be issued with a residence permit which is valid for 1 year. The permit may then be renewed for a maximum period of 3 years, subject to the submission of the documentation requested by Identity Malta, namely:

A definite or an indefinite contract of employment, and
The original annual tax declaration form stamped by the Inland Revenue Department.

Government Fee
The Government of Malta’s fee for the submission of the application is €280.50, to be paid at the time of submission.

Time-frame
Permits are issued within five working days from the date of submission of the application. The applicant does not need to be physically present to submit the application, therefore the applicant would not need to travel to Malta to submit the application.

Documents Required

Application for a residence permit on the basis of employment – the form must be endorsed by the employer with an official stamp and signature of the responsible official;
Identity Registration Form – Non-Maltese Nationals along with the application fee of €280.50;
Full copy of passport;
Declaration by the employer stating that the applicant has the necessary credentials to perform the duties being assigned;
Draft work contract showing an annual gross salary of €30,000;
Curriculum Vitae of the applicant;
Certified copies of the relevant qualifications, warrants or reference letters;
Full health-insurance policy, showing all aspects being covered, which supports the applicant in the eventuality of requiring any type of medical assistance or hospitalisation during the first year of stay in Malta;
Lease agreement or purchase agreement of property.
Depending on type of job, a relevant health screening approval from the Health Promotion and Disease Prevention Directorate.

How can we help?
Acumum can advise and assist third country nationals with the application process under the Key Employee Initiative. Applications for the Key Employee Initiative are required to be made to and processed by Identity Malta by an Authorised Registered Mandatory.

Acumum is an Authorised Registered Mandatory for all Malta Citizenship and Malta Residency programmes.

Kindly contact us on [email protected] for more information.

02Apr

Acumum Wins: Best in Corporate Financial Law Services 2017

2 April 2019 Acumum Legal & Advisory 181

Acumum is pleased to have been awarded Best in Corporate Financial Law 2017 by Corporate Livewire. Corporate Livewire Finance Award is the leading global awards program celebrating growth and strong performance in the finance industry.

Via an extensive judging process, the awards recognise individuals, teams and businesses that have demonstrated excellence over the last 12 months. This awards programme champions the success of industry leaders across the entire finance sector, with specialised category awards recognising achievements in Financial Services, Tax and Accountancy.

Over the past calendar year we have invited over 100,000 professionals working across the various corporate industries, the general public and our subscriber base to nominate associations, companies & individuals based on their achievements and strengths. Additionally Corporate Livewire’s extensive research team has put forward a selection of individuals who have excelled within their sector.

This year saw an unprecedented number of nominations, providing strong competition in every category and the judging panel had the unenviable task of selecting those firms & professionals most worthy of an award.

All winners of the 2017 Corporate LiveWire Awards are subject to the same rigorous assessment criteria, carried out by our experienced in-house professionals. This ensures that only the most deserving teams, practices and individuals walk away with one of these prestigious accolades. Award winners will gain a place in our soon-to-be published awards winners’ guide, which will be distributed to over 500,000 businesses and professionals around the world.

Corporate LiveWire Awards

01Apr

Acumum Sponsors STEP Global Conference

1 April 2019 Acumum Legal & Advisory 157

Acumum is very honoured to be able to sponsor the STEP Global Conference, being held in Amsterdam between 30th June – 1st July.

STEP – Society of Trusts & Estates Practitioners – is the leading practitioner organisation in the fields of trusts, foundations, estates, family office and wealth planning.

Acumum’s Managing Partner, Geraldine Noel, will be attending the conference and welcomes the opportunity to meet other practitioners and service providers in these fields. Please feel free to contact Geraldine Noel – [email protected].

About Acumum – Legal & Advisory

Acumum Legal & Advisory is a well-established set of multidisciplinary legal, tax and accounting firms located and managed in the tax efficient EU jurisdiction of Malta. It operates as a full service law firm with services including aviation, corporate formation, accounting, estate & wealth planning, taxation, intellectual property and more. The firm is overseen by Geraldine Noel, a British barrister – registered in Malta, working alongside an expert team of lawyers and accountants with extensive specialist commercial and private client expertise, particularly to an individual, corporate and family office clientèle.

01Apr

Family Wealth & Family Trust Company

1 April 2019 Acumum Legal & Advisory 174

A Malta Family Trust Company is Malta’s latest initiative to service families, as Malta is a particularly favourable jurisdiction in which to establish family wealth structures.
Providers of both trusts and foundations in Malta are highly regulated by the Malta Financial Services Authority.

In conjunction with Malta’s tax and fiscal rules, the establishment of holding, operating, investment and special purpose vehicles, including trusts and foundations.

Family Trust Companies
Legislation enacted pursuant to Article 52(3), amending the Trusts and Trustees Act has resulted in the introduction of the concept of Family Trusts Companies – property settled upon trust for the present and future needs of family members and family dependants.
Family Trust Companies offer some very interesting opportunities for HNWI’s and families who favour a tailor -made trustee solution in which they can actively take part on a formal or informal basis, especially when compared to the mainstream professional or institutional trustees.

Family Trust Companies that satisfy the prescribed legal requirements are not required to obtain full authorisation, although they must apply for registration with the Malta Financial Services Authority and adhere to on-going compliance and other regulatory conditions.

set up as a company (Ltd) with objects and activities limited to acting as a trustee to
specific settlors in respect of the family estate, for the benefit of the family members
maximum of 5 settlors
minimum of 3 board directors – one of which must have knowledge of trust law and administration
limited to acting as a trustee to specific settlors in respect of the family estate, for the benefit of the family members
Money Laundering Reporting Officer (MLRO) required

Acumum’s Service Offering

Our essential starting point when advising on establishment, restructuring & re-domiciliation, is to understand the particular circumstances & dynamics of the family & the purposes of the office. This provides the framework for effective & enduring legal & structuring advice.

Organising the implementation & on-going maintenance of family wealth & investment structures
Establishment of family trusts / foundations & family trust companies
Acting as ‘knowledgeable’ director of family trust companies
Ensure on-going legal & regulatory compliance
Regular asset summaries, activity reports & accounts
Oversight of asset, investment strategies and 3rd party providers
Preparation of management and financial accounts

Our overall aim is to ensure that the operating & tax structures are established & governed sensibly, as well as run efficiently & effectively.

More Information: Trusts – Foundations – Family Wealth & Estate Planning

About Acumum – Legal & Advisory

01Apr

Standard & Poor’s Credit Rating increases Malta’s Credit Rating to ‘A-‘ First Increase in 20 years

1 April 2019 Acumum Legal & Advisory 167

Malta’s Economy Predicted to increase 25%
Influx of Foreign Workers a Contributing Factor

Continuing Malta’s unprecedented and unmatched growth within the EU, Standard & Poor’s has raised Malta’s long-term rating to ‘A-‘, predicting that the economy will continue to grow by an average of 3 per cent a year until 2019.

The agency raised its long-term sovereign credit ratings on Malta to ‘A-‘ from ‘BBB+’. The upgrade reflected what S&P called “Malta’s improved credit metrics”, including:

Strong real GDP growth
Deficits below 1 per cent for the 2016-19 period
Durable current account surpluses

Malta’s outlook remains stable, reflecting S&P’s view that:

the upside potential of Malta’s economic and fiscal performance is counterbalanced by downside risks related to Brexit, external flows, and the structure of the financial sector.”

Malta’s short-term foreign and local currency sovereign credit rating remained stable at ‘A-2’.

29Mar

New UK Tax Advisers Legislation

29 March 2017 Acumum Legal & Advisory 103

England; December 2016 saw the inauguration of new rules targeting UK tax advisers.

The FA 2016, Section 162(1) and Schedule 20 (Appointed Day) Regulations 2016 (“the Legislation”) by Her Majesty’s Treasury; the initial plans for the Legislation were announced in the UK Budget 2015 and sets out the civil penalties for tax advisers who have had any part in enabling non-compliance and/or offshore tax evasion.

The Legislation is the first of its kind in the United Kingdom targeting tax advisers and is expected to have a severe impact on the use of artificial tax schemes, by increasing the taboo surrounding tax evasion by targeting those who are considered to encourage or facilitate tax evasion in any way.

“Enabler” is defined by the Legislation itself as “a person [who] has enabled another person to carry out offshore tax evasion or non-compliance where the person has encouraged, assisted or otherwise facilitated conduct by the other person that constitutes offshore tax evasion on non-compliance”.

The penalties shall apply to any individual or corporate that advises on tax planning – ranging from simple advisory services all the way to the physical movement of funds offshore, which enable the evasion of Income Tax, Capital Gains Tax or Inheritance Tax. Individuals and corporates found guilty may be liable for any part or all of the tax evaded; the minimum penalty faced will be £3,000.

The deadline of 30th September 2018, which aims to increase the number of voluntary disclosures, has been set for the correction of any incomplete UK tax filings,. Failing to correct these tax filings by this date will mean the application of harsher and stricter penalties on the offending parties.

Tax evasion has been described by Jane Ellison, Financial Secretary to the Treasury, as “a crime [which] as a government, we have led reform of the international tax system to root it out”.

Tackling tax evasion has seen Her Majesty’s Revenue and Customs secure more than £130 billion since 2010.

More Information:

Financial Services, Insurance, Funds, Malta Trading Companies & Holding Companies, Highly Qualified Persons Programme

Malta Citizenship & Residency

About Acumum – Legal & Advisory

Acumum Legal & Advisory is a well-established set of multidisciplinary legal, tax, fiduciary and accounting firms located and managed in the tax efficient EU jurisdiction of Malta. It operates as a full service law firm with services including aviation, corporate formation, accounting, estate & wealth planning, taxation, intellectual property and more. The firm is overseen by Geraldine Noel, a British barrister – registered in Malta, working alongside an expert team of lawyers and accountants with extensive specialist commercial and private client expertise, particularly to an individual, corporate and family office clientèle.

08Feb

Geraldine Noel – Citywealth Powerwomen Award for 4th Year Running

8 February 2017 Acumum Legal & Advisory 155

Geraldine Noel, Managing Partner of one of Malta’s leading legal, tax, fiduciary and accounting set of firms Acumum, has been honoured with a Citywealth Power Woman Award for a fourth consecutive year; a prestigious award that speaks volumes for Geraldine’s status as one of Europe’s finest lawyers and an influential figure in the world of law and finance.

What is the Citywealth Power Woman Awards?

The Citywealth Power Woman Awards comprises of a list of the top two-hundred most powerful women in the world of government, philanthropy, private wealth, education and private client advisory spheres, building a comprehensive database of inspirational role models for women across the globe.

Geraldine has commented, “I’m honoured to have been included in this list for the fourth consecutive year, accompanied by so many progressive and influential women.”

Citywealth’s Power Woman is defined as charismatic, results-oriented and kind, acting always with integrity and striving for excellence in every area of their work.

Acumum tailors its services to each individual and guarantees a superb client experience for all. It is this commitment to outstanding services, provided by seasoned professionals, that has catapulted Geraldine into the spotlight and made Acumum one of the go-to legal services providers in the country.

With Geraldine leading the way as Managing Partner, Acumum has also been honoured on the awards circuit over recent years, in 2015 picking up one of Malta’s Best-In-Business Awards in the Best Law Firm category.

Geraldine adds, “This last year has been a fantastic one not only for having been included on Citywealth’s Power Women Top 200, but it’s also been a fantastic year for Acumum as a firm. I’ll continue to strive for increasing business and accomplishment over the coming times, in my professional undertakings with Acumum, and as a ‘Power Woman”.

Acumum’s expertise includes:

Financial Services
Insurance, Funds
Malta Trading Companies
Holding Companies
Malta Citizenship & Residency
Private Wealth Management – Trusts, Foundations & Family Trust Companies

About Acumum – Legal & Advisory

13Dec

Key Employee Initiative

13 December 2016 Acumum Legal & Advisory 151

Eligibility

An individual may apply for a work/residence permit under the scheme if the employment position concerns a managerial or a highly-technical post which requires specific qualifications or adequate experience.

This scheme is also open to innovators who are involved in start-up projects which are specifically approved by Malta Enterprise.

Individuals applying under the KEI must:

Have an annual gross salary of at least € 30,000; and
Provide certified copies of the relevant qualifications, warrants or the necessary work experience;
Provide a declaration by the employer stating that they have the necessary credentials to perform the duties which they have been assigned.

Validity

Once the application is validated and approved, the applicant will be issued with a residence permit which is valid for 1 year. The permit may then be renewed for a maximum period of 3 years, subject to the submission of the documentation requested by Identity Malta, namely:

A definite or an indefinite contract of employment, and
The original annual tax declaration form stamped by the Inland Revenue Department.

Government Fee

The Government of Malta’s fee for the submission of the application is €280.50, to be paid at the time of submission.

Time-frame

Permits are issued within five working days from the date of submission of the application. The applicant does not need to be physically present to submit the application, therefore the applicant would not need to travel to Malta to submit the application.

Documents Required

1. Application for a residence permit on the basis of employment – the form must be endorsed by the employer with an official stamp and signature of the responsible official;
2. Identity Registration Form – Non-Maltese Nationals along with the application fee of
€280.50;
3. Full copy of passport;
4. Declaration by the employer stating that the applicant has the necessary credentials to perform the duties being assigned;
5. Draft work contract showing an annual gross salary of €30,000;
6. Curriculum Vitae of the applicant;
7. Certified copies of the relevant qualifications, warrants or reference letters;
8. Full health-insurance policy, showing all aspects being covered, which supports the applicant in the eventuality of requiring any type of medical assistance or hospitalisation during the first year of stay in Malta;
9. Lease agreement or purchase agreement of property.
10. Depending on type of job, a relevant health screening approval from the Health Promotion and Disease Prevention Directorate.

How can we help?

Acumum can advise and assist third country nationals with the application process under the Key Employee Initiative. Applications for the Key Employee Initiative are required to be made to and processed by Identity Malta by an Authorised Registered Mandatory.

Acumum is an Authorised Registered Mandatory for all Malta Citizenship and Malta Residency programmes.

Kindly contact us on [email protected] for more information.

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