Chapter 328 – Home Ownership (Encouragement) Act
What is this act about?
This law, called the Home Ownership (Encouragement) Act, aims to promote home ownership in Malta by offering specific incentives to individuals who acquire a dwelling-house for their own residence.
Who it applies to: Persons who wish to acquire a dwelling-house for their own residence in Malta; The Housing Authority and the Housing Secretary, who grant the incentives.
At a glance
- Country
- Malta
- Area of law
- Procedural law
- Articles
- 8
- Source
- legislation.mt
- Text retrieved
- Explanation updated
What does this act regulate?
- Schemes for encouraging home ownership in Malta.
- The types of incentives that can be granted to encourage home ownership.
- The process for granting and evidencing these incentives.
- Penalties for forging or knowingly using forged incentive certificates.
Who does this act apply to?
- Persons who wish to acquire a dwelling-house for their own residence in Malta.
- The Housing Authority and the Housing Secretary, who grant the incentives.
What are the key points?
- Incentives can include relief from duty chargeable under the Duty on Documents Act and the Death and Donation Duty Act, and the right to register a dwelling-house as decontrolled.
- The incentives are granted and evidenced by a certificate issued by the Housing Authority or Housing Secretary.
- This certificate must be annexed to the deed of acquisition to be effective, except for certain purposes.
- Forging or knowingly using a forged certificate carries a fine of €2,329.37 or imprisonment up to two years, or both.
- Relief from Death and Donation Duty does not apply to any part of the dwelling-house value exceeding €16,305.61.
Procedural law
Legal text
Legal text
HOME OWNERSHIP (ENCOURAGEMENT)
CHAPTER 328
HOME OWNERSHIP (ENCOURAGEMENT) ACT To make provision for the granting of certain incentives for the encouragement of home ownership. (28th October, 1988)* ACT XXVIII of 1988, as amended by Legal Notice 424 of 2007.
Art. 1
The short title of this Act is the Home Ownership (Encouragement) Act.
Art. 2
In this Act, unless the context otherwise requires "beneficiary" means the person to whom any of the incentives referred to in article 3 are granted; "dwelling-house" has the same meaning assigned to it under the Housing (Decontrol) Ordinance; "Housing Authority" means the authority established by article 3 of the Housing Authority Act; "Housing Secretary" has the same meaning assigned to it by the Housing Act; "Minister" means the Minister responsible for housing, and includes any Parliamentary Secretary with responsibility for housing; and "usufruct" has the same meaning assigned to it in article 2 of the Death and Donation Duty Act†.
Art. 3
The Housing Authority or the Housing Secretary may make regulations, with the approval of the Minister, providing for schemes for the encouragement of home ownership in Malta, whereby persons are encouraged to acquire a dwelling-house for their own residence by being granted all or any one or more of the following incentives: (a) relief from the duty chargeable under the Duty on Documents Act‡; (b) relief from the duty chargeable under the Death and Donation Duty Act†; (c) the right to register the dwelling-house as a decontrolled dwelling-house under the Housing (Decontrol) Ordinance.
Art. 4
Short title.
Interpretation.
Incentives for home ownership.
Evidence of the grant of incentives.
Amended by:
L.N. 424 of 2007.
HOME OWNERSHIP (ENCOURAGEMENT) under subarticle (1) shall have effect only if it is annexed to the deed whereby the dwelling-house to which it refers is acquired.
Relief from duty on documents.
Art. 5
A relief from duty under the Duty on Documents Act*, may consist in all or in any one or more of the following exemptions from the duties chargeable under the said Act, that is to say: (a) an exemption from the duty chargeable under Title III of Part III of the said Act, on the deed whereby the dwelling-house which is being acquired under the scheme is transferred to the beneficiary; (b) an exemption from the duty chargeable under Title IV of Part III of the said Act, on any appraisement or valuation of the dwelling-house which is being acquired under the scheme in connection with (i) its transfer to the beneficiary; (ii) the grant of any loan by any bank or other institution to the beneficiary for the purpose of the acquisition of such dwelling-house; (c) an exemption from the duty chargeable under Title V of Part III of the said Act, on the receipt for the payment of the price or other consideration for which the dwelling-house which is being acquired under the scheme is transferred to the beneficiary; and where relief has been so granted the duties aforesaid shall, to the extent of the relief, not be chargeable.
Relief from death and donation duty.
Amended by:
L.N. 424 of 2007.
Art. 6
HOME OWNERSHIP (ENCOURAGEMENT) particular title of the rights of the beneficiary or of the beneficiary’s spouse over the dwelling-house; (b) on the transmission causa mortis of the usufruct of the dwelling-house or share therein, in favour of the beneficiary or the widow or widower of the beneficiary; and (c) on the consolidation of the usufruct referred to in paragraph (b) hereof with the nuda proprietas of the dwelling-house on the termination of the usufruct.
Art. 7
Where the right to register the dwelling-house as a decontrolled dwelling-house under the Housing (Decontrol) Ordinance, is granted, such dwelling-house shall be capable of being registered as a decontrolled dwelling-house under and in accordance with article 3(e) of the said Ordinance.
Art. 8
The Schemes published by Government Notices numbers 127, 128, 129 and 130 in the Government Gazette of the 16th February, 1988 shall be deemed to be made by regulations made in virtue of and according to article 3.
Right to register as a decontrolled dwelling-house.
Schemes made before the coming into force of this Act.