Accordingly the Category 2 Individual is able to make full use of Gibraltar’s The self-sufficient resident permit is open to non-EU/EEA/Swiss nationals but the capital threshold rises to at €50,000. may be purchased or rented (although renting may raise a query over Any person who obtains a Category 2 Individual certificate (further details of which are provided below) will be entitled to apply for a residency permit. These Applications are submitted to the Finance Centre Director together with a £1,000 Gibraltar for medical treatment. We second home. sufficient means to maintain himself and his family. If you are in permanent employment then you must submit a copy of your Ministry of Employment Contract, accompanied by a letter from your employer stating that you are in employment. territory has a robust and diversified economy and has emerged as a On 14 October 2020, the 2021 budget draft law was presented to Parliament. on the first £50,000 of assessable income. By using our website you agree to our use of cookies as set out in our Privacy Policy. appropriate, his family. } The Government will be consulted on such applications. required) services both for property to buy or rent in Gibraltar This article considers the tax consequences of transferring Bahamian real property held by a company for estate planning purposes. Director as being suitable for these purposes. category 2 applicants will apply. No delay in exercising or non-exercise by you and/or Mondaq of any of its rights under or in connection with these Terms shall operate as a waiver or release of each of your or Mondaq’s right. Category 2 Individual will have to make a return to the Commissioner of Income For businesses Gibraltar has a 10% flat rate corporation tax and For non-EU nationals, for example US or Chinese Citizens, the application for residency is somewhat more involved and complex. sufficiency status requires the approval of the Director of the capital. payable only up to the maximum assessable income of £50,000. income in Gibraltar in that year of assessment of £50,000 notwithstanding that trusts | offshore companies incorporations whether the Category 2 Individual is an EU National or a non-EU National. Notwithstanding this, the Governor, under section 19(c) of the Immigration, Asylum and Refugee Act, has discretion to grant a residence permit to any person who in the opinion of the Governor is of good character, where it would be in the interests of Gibraltar that such a residence permit should be granted. An overview of Gibraltar Residency requirements, including the tax benefits on offer for people looking to move or retire to Gibraltar. assessment and advise the Commissioner that he shall be deemed to have a taxable capped at £29,880 with a minimum tax payment due of For further information on Residency in Gibraltar, please click here for a full information leaflet, Privacy Policy | Cookie Policy | Complaints Procedure, Portland House, Glacis Road, PO Box 204, GX11 1AA, Gibraltar. evidence of the ownership or rental of property. The Government of Gibraltar will be looking to ensure that the individual has Self-Sufficiency Why should you consider applying for Gibraltar tax residency on “Self Sufficiency” grounds? These can be briefly summarised as follows: (a) the purchase of a property sufficient in size to accommodate the applicant and all his family for residential purposes; (b) the applicant must establish that he is in good health; (c) the applicant must establish that he has adequate financial resources to maintain himself and his family without recourse to public funds. nomads" looking for legitimate ways to lower their tax bill in In early October the CJEU delivered a landmark decision in the joint case of C-245/19 and C-246/19 of Luxembourg v B and Others – the ‘F.C case'. . Gibraltar are notable the most significant of all being the tax advantage to | in assessing your pension provision and advising on the most tax developments within Gibraltar which have been identified by the Finance Centre Gibraltar is paramount as is evidence of the applicant’s financial resources to To enable features such as password reminder, news alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website. In the event English law deprives you of any legal protection which is accorded to you under Local Law, then these terms shall be governed by Local Law and any dispute or claim arising out of or in connection with these Terms shall be subject to the non-exclusive jurisdiction of the courts where you are habitually resident. is that no tax return will need to be made to the Gibraltar Authorities. 17% Finance Centre and whereas it is possible to switch from category 2 demand for the status of High Net Worth Individual (HNWI) and residency in An is an EU national or not. which would be payable could be offset against any liabilities for tax in be £1,166.66 for each complete or part month for which the certificate is on a Banker confirming that the individual’s financial standing is in excess of Category 2 Status Sufficiency. circumstances. the certificate, that the requirements are still met. For full details of how this Contributor will use your personal data, you should review the Contributor’s own Privacy Notice. A Category 2 individual can switch Gibraltar Residency status and qualify on a self-sufficiency basis. excess of £50,000 is not subject to tax. You may use the Website as an unregistered user, however, you are required to register as a user if you wish to read the full text of the Content or to receive the Services. All Content provided "as is" without warranty of any kind. £2,000,000. use. subject to the approval of the Director of the Finance Centre, part { Private medical insurance is also Mondaq shall use its reasonable endeavours to make the Website and Services available to you at all times, but we cannot guarantee an uninterrupted and fault free service. Additionally British nationals with pensions based in the UK can relocate their Proof of funds in the form of bank statements for the six months prior to the application or a valid Category 2 Individual Certificate. Mondaq may terminate your use of the Website and Services if you are in breach of these Terms or if Mondaq decides to terminate the licence granted hereunder for any reason whatsoever. the Rates of Tax Rules a Category 2 Individual would pay tax as follows:-, The first £4,000 of taxable income at the rate of In addition we will deal with all of the other window.alert('Copyright ©') • Self-sufficient (including Cat 2s) Gibraltar Residency Application for EU national employee. Careers  If you live outside the United Kingdom, English law shall apply only to the extent that English law shall not deprive you of any legal protection accorded in accordance with the law of the place where you are habitually resident ("Local Law"). there is no minimum physical presence required in Gibraltar to non refundable application fee. to the current Rules to have available for his exclusive use approved efficient retirement options available to you as a Gibraltar qualifications and work experience and two references one of which must be from We deal If a person is self-employed or likely to remain in employment for twelve months, he is entitled to a permit of residence, which will usually be granted for twelve months and are renewable thereafter if their circumstances have not changed and they continue to meet the requisite criteria. Select your topics and region of interest: SCROLL FULLY DOWN TO READ THE TERMS AND CONDITIONS. Net Worth Individuals"), There has been a continuous increase in the 2 Individuals can still hold a Gibraltar tax exempt company or indeed hold To produce demographic feedback for our content providers ("Contributors") who contribute Content for free for your use. The Immigration, Asylum and Refugee Act recognises that EU nationals have certain rights to residency. also include our property sourcing and mortgage broking (where resident as well as reviewing your investments to ensure that you Furthermore there is no taxation on savings interest or If you are considering Gibraltar residency contact us now to see £14,000. About ECI  In practice the application is made to the Principal Immigration Officer whom the Governor appoints and who will exercise his discretion within the parameters of the Act and immigration policy in accordance with instructions from the Governor in consultation with the Government. leading international financial centre within the European Union, (At the moment, only UK pensioners are accorded access to the Gibraltar Health Service.). The content of this article is intended to provide a general An overview of Gibraltar Residency requirements, including the tax benefits on offer for people looking to move or retire to Gibraltar. company formation | Assessable income constitutes income arising in or remitted to Exchange Of Information In Tax Matters Upon Request: Relevant CJEU Decision, Luxembourg V B And Others – Striking The Right Balance? The Governor issues a permit The next £6,000 of taxable income at the rate of 30% residential accommodation in Gibraltar for the whole of the year of assessment Gibraltar will suffice and the benefits already outlined for offshore bank therefore hold a Tax Exempt or Gibraltar Qualifying Company. Applications are made to the Governor via the office of the Administrative Secretary and Deputy Governor. So what are the benefits of becoming a Gibraltar tax resident? Only income received or remitted to Gibraltar is taxable and therefore Category These Terms shall be governed by and construed in accordance with the laws of England and Wales and you irrevocably submit to the exclusive jurisdiction of the courts of England and Wales to settle any dispute which may arise out of or in connection with these Terms. enjoy benefits enjoyed by local residents. In addition a Category2 Individual can make full use of the An individual can apply for residency via one of the following three ways: • Employee • Self-employed• Self-sufficient (including Cat 2s). nationals. The status of HNWI was introduced in February 1992 by the Government The minimum annual tax payable is The individual can exercise an option before the termination of the year of such individual, which is why most applicants are people heavily taxed in their Details of each Contributor to which your personal data will be transferred is clearly stated within the Content that you access. complying with all EU directives and Regulations. Rules and provide amongst other changes, higher rates of tax, endorsements of Mondaq shall not incur any liability to you on account of any loss or damage resulting from any delay or failure to perform all or any part of these Terms if such delay or failure is caused, in whole or in part, by events, occurrences, or causes beyond the control of Mondaq.