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Malta Tax Guide
EuropeLast verified June 2026Worldwide system
- Top income tax
- 35%
- Capital gains
- 0%
- Corporate
- 35%
- VAT / GST
- 18%
- Residency test
- 183 days
Progressive 0-35%
In short
- Malta combines English as an official language, EU membership, year-round sunshine and a long-standing non-dom remittance system.
- Non-Domiciled Status: Foreign income taxed only if remitted to Malta; foreign capital gains not taxed (indefinite).
- Watch out: The island is crowded, construction is relentless, and traffic congestion is among the worst in Europe.
Verified June 2026 · 3 sources
Recent changes
No changes logged since the last full verification.
Full change logBest for
- Zero capital gains
No CGT on investment, property, or crypto disposals (subject to "investor" classification).
- No wealth tax
No annual tax on net worth or assets.
- No inheritance tax
Estate and lifetime transfers not subject to inheritance tax.
- Special regime available
Global Residence Programme — Special tax status for EU/EEA/Swiss nationals
Personal Income Tax
Residency, rates, foreign income, capital gains, wealth and inheritance, special regimes+
Personal Income Tax
Residency, rates, foreign income, capital gains, wealth and inheritance, special regimesTax Residency
Income Tax Rates
Foreign Income Treatment
Investment Income
No capital gains tax on securities for non-doms
Wealth & Inheritance
Special Regimes
Practical Notes
Non-dom regime very attractive. English official language. EU member. Warm climate.
Business & Corporate Tax
Corporate rate, withholding, VAT, substance, Pillar Two and treaties+
Business & Corporate Tax
Corporate rate, withholding, VAT, substance, Pillar Two and treatiesCorporate Income Tax
Withholding Taxes
VAT / GST
Compliance & Substance
Notable Regimes
- Full imputation system
- Refunds up to 6/7
- 15% FITWI optional regime
- Participation exemption
OECD Pillar Two (15% global minimum tax)
Malta elected the EU Directive Article 50 deferral until 2029. The optional 15% Fifteen percent Income Tax Withheld on Income (FITWI) regime introduced in 2024 functions as an effective alternative for in-scope MNEs.
See full implementation trackerTax Treaty Network
US-Malta treaty (in force from 2010) is a relatively newer agreement. No US totalization. Malta non-dom regime treaty position is well-documented.
See full treaty matrixBeyond tax
Living in Malta
Malta combines English as an official language, EU membership, year-round sunshine and a long-standing non-dom remittance system.
- Expat hub
- Sliema / St Julian's
- Monthly budget
- ~$2,800
- Climate
- Mediterranean, 19°C
- Time zone
- UTC+1
- Tax82 → 95
- Cost of living$$$
- Safety78
- Healthcare80
- English95
- Internet200 Mbps
- Warm climate70
- Residency access50
- Scores 0-100, higher is better. Editorial composite ratings; see method.
Newcomer tax regime
Non-Domiciled Status: 0%
Foreign income taxed only if remitted to Malta; foreign capital gains not taxed. indefinite. Who qualifies: Malta residents who are not Malta domiciled, on unremitted foreign income (a minimum annual tax can apply).
Ways to get residency
- Nomad Residence Permit€42,000/year gross income from foreign employment or clients
- Global Residence ProgrammeQualifying property purchase or rental and a minimum annual tax payment
- Malta Permanent Residence ProgrammeGovernment contribution plus property purchase or lease
Watch out: The island is crowded, construction is relentless, and traffic congestion is among the worst in Europe.
See how Malta ranks for remote workers, retirees and familiesData Sources
Last verified: June 2026. Always check official sources before making a decision.
FAQ
What is the personal income tax rate in Malta?
+
Malta has a top personal income tax rate of 35%. The tax structure is: Progressive 0-35%. See the detailed breakdown above and verify with official sources.
Do I need to pay tax on foreign income in Malta?
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Malta uses a worldwide system for foreign income. Non-domiciled residents only taxed on remitted foreign income
What are the residency requirements for Malta?
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Tax residency in Malta generally requires 183 days of physical presence. 183 days required; remittance basis available. Always verify current rules with official sources.
Is there a wealth tax in Malta?
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No, Malta does not have a wealth tax. No wealth tax
What is the corporate tax rate in Malta?
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The corporate tax rate in Malta is 35%. 35% statutory rate with 6/7 refund = ~5% effective; new optional 15% final tax regime from 2025
US citizen moving to Malta? Read this first.
Malta's top personal rate of 35% means the Foreign Tax Credit (FTC) usually wins over FEIE for US citizens.
- •FTC (Form 1116) credits Malta tax against US tax dollar-for-dollar. Because Malta tax exceeds US tax on the same income, you typically owe zero US tax and accumulate carryforward credits (10-year carry).
- •Self-employment tax is owed in full to the US — no totalization agreement with Malta.
- •For earned income near the FEIE cap (~$130k), FEIE is sometimes simpler administratively. Above the cap, FTC strategy almost always wins given Malta's rates.
- •Malta residency days threshold: 183. Treaty tie-breaker rules (where applicable) help with double-tax avoidance.
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