GIBRALTAR – Becoming a
High-Net Worth Resident
NEWSLETTER 2014 - Issue 1
About Gibro Corporate Management
Gibro Corporate Management is one of Gibraltar’s leading firms in providing Corporate Management,
Legal Services, Business Advice and Trustee Services for over 40 years for both Gibraltar and foreign
companies and persons. Our team of lawyers and accountants specialise in providing advice ranging from
Maritime to Gaming.
Gibraltar Category 2 Residency (also known as “High Net-worth Individuals” – (HNWI’s))
Gibraltar Residency is a solution for high net worth individuals who are looking for residency options in a low
tax jurisdiction. This is being prompted by increasing rates of personal taxes, especially in the UK. Gibraltar is
perfectly situated geographically with close proximity to Spain and the Algarve in Portugal therefore
extending the advantageous choice as a residency jurisdiction over say others like, Guernsey, Malta,
Monaco etc. Gibraltar has easy access from London airports.
Qualifying Individuals ( Category Two )
The Government of Gibraltar introduced low tax limits in order to encourage wealthy individuals to establish
a residence in Gibraltar. Such individuals known as Qualifying (Category Two) Individuals will pay tax on the
first £80,000 of assessable income only with a minimum tax payable per annum of £22,000 and a maximum
of approximately £30,000 per annum. Some benefits of this residency are exemptions from Capital Gains Tax,
Inheritance Tax, Taxation on Dividends.
Application to Ministry of Finance, Finance Centre Director
Gibro’s Private Client team, in conjunction with our associated legal arm of barristers would arrange an
application to the Finance Centre Director for the issue of a certificate under the Qualifying (Category Two)
Individual Rules under the Income Tax Ordinance. A £1,000 non-refundable application fee (excluding
professional fees) is payable and the application must be supported by two character references from
recognised professionals (one must be from a bank and the other from a law or accountancy firm).
Property in Gibraltar
In order for an individual to qualify as Qualifying (Category Two) Individual he must have approved
residential accommodation available for his exclusive use in Gibraltar throughout the year. This could either
mean a rental option or an outright purchase.
Evidence of wealth
The Ministry of Finance would also be looking to ensure that a Qualifying (Category Two) Individual has
sufficient means to maintain himself and his family. They will therefore be looking for evidence of net wealth
of at least £2,000,000 although it is not necessary for the individual to declare his worldwide wealth or
earnings. The Ministry of Finance would also be looking to ensure that the individual has private medical
insurance to cover both him and his family whilst residing in Gibraltar.
No Capital Gains Tax or Estate Duty
It is also interesting to note that there is no capital gains tax or estate duty in Gibraltar.
For full information on how Gibro can assist you in benefitting in becoming a Qualifying Category Two
Gibraltar resident, contact:
Nicholas Wright, Private Client Director
[email protected]
+350 200 76222
www.gibro.com
Global in reach, Local in touch
© 2014 Gibro Group