This special tax status is an incentive for companies who wish to recruit senior highly skilled executives who earn more than £100,000 per annum to live and work in Gibraltar with special fiscal status.
A HEPPS status individual can only be taxed under the Gross Income Based System, which is limited to the first £120,000 of their assessable income.
To achieve this status the individual being employed must: –
- possess high executive specialist skills not already present in Gibraltar.
- possess skills that are necessary to promote and sustain economic activity of particular economic value to Gibraltar.
- own or rent appropriate residential accommodation in Gibraltar for their exclusive use for the year they are being considered.
- not have conducted business or been a resident in Gibraltar in the three years preceding the application.
- maintain a good character and a reputation that would not be detrimental to the reputation of Gibraltar as a reputable and well-regulated finance centre.
Important points for consideration: –
- The certificate once issued, is dependent on the employment of the individual within the same employing company.
- A change in employer will result in the immediate withdrawal of the certificate.
An application for HEPPS status is made to the Finance Centre Director, along with the application form, the individual needs to provide the following: –
- Copy of valid passport
- Curriculum Vitae
- 2 Character references from recognised and established professionals (one of which must be from a bank)
For full information regarding the above systems, please see the guidance notes provided by the Government of Gibraltar – Income Tax Office, copy available here, or refer to the below useful contact details.
Useful Contact Details: –
HM Government of Gibraltar – Income Tax Office +350 200 75260
Useful Links: –
If you are considering becoming a HEPPS Resident of Gibraltar, we would always recommend you seek independent legal and tax advice prior to submitting any application.
The above residency schemes demonstrate how the Government of Gibraltar support local employers, enabling them to attract the calibre of key personnel able to make a valuable contribution to the jurisdictions’ already highly skilled workforce, whilst continuing to enhance Gibraltar’s fiscal attractiveness across the globe for wealthy individuals and family offices.
Three-Year Residency Property Market Explained
The three-year residency property market, also known as the restricted market, is only accessible for those applications who have been living in Gibraltar for a continuous period of 3 years.
These restricted developments have been built on Government owned land and are subject to strict criteria regarding who can and cannot purchase these properties.
These restricted developments, also know as affordable housing, were originally constructed to provide affordable accommodation for the local residents of Gibraltar or those properties that were previously owned by the Government and subsequently released to the market for private ownership.
These properties may only be occupied by the owner and their immediate families and renting them out is strictly prohibited.
These properties cannot be purchased by individuals who already own property in Gibraltar.
Due to the strict restrictions applied to this type of property, sale prices are usually lower than those unrestricted open market properties and are therefore unsuitable for ‘buy-to-let’ investors.
Contact us if you have any further questions.