Quick answer
Malta taxes residents at progressive rates from 0% to 35%. Most newcomers are resident but non-domiciled: they pay tax only on Maltese income and on foreign income brought into Malta. A EUR 5,000 minimum tax applies if foreign income reaches EUR 35,000. Foreign capital gains stay untaxed, even if remitted.
Last reviewed: November 2026 · Reviewed by Stéphane Gombauld, tax expert, technologist and digital nomad
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Check my tax setup →You're weighing Malta as a base, or you already live there and want the full picture. After this page, you'll know how the system works in 2026, what each tax costs, and which detailed guide to open next.
Malta taxes in 2026: the key figures
| Tax or rule | 2026 figure |
|---|---|
| Personal income tax (residents) | Progressive, 0% to 35% |
| Non-dom minimum tax | EUR 5,000 a year if foreign income is EUR 35,000 or more |
| Social security (self-employed) | 15% of net income, with a weekly cap |
| Capital gains | Shares taxed at income rates; Maltese property: 8% final tax on the sale price |
| Corporate income tax | 35%, usually 6/7 refunded to shareholders (about 5% net) or optional 15% final rate |
| VAT | 18% standard rate |
| Wealth and inheritance tax | None; duty on documents applies to inherited Maltese property and shares |
| Tax year and filing | Calendar year; individual returns due by 30 June of the following year |
Is this guide for you?
Read on if you…
- are a freelancer, remote employee or founder thinking about Malta as a base
- already live in Malta and want to sanity-check your tax position
- want one map of the Maltese system before reading a detailed guide
Probably not your case if you…
- are Maltese-born, domiciled in Malta and earn only a local salary
- need advice on a specific transaction, audit or dispute
How does the Malta tax system work?
Malta looks at two things: where you live (residence) and where your long-term roots are (domicile). Put together, they decide how much of your income Malta can tax.
Residence: facts, not forms
You are ordinarily resident when living in Malta is part of your regular way of life. Think home, lease, family, day-to-day work. No certificate switches residence on or off.
The Income Tax Act has one hard rule. Someone in Malta for a temporary purpose becomes resident once their stays exceed six months in a year. Beyond that, more than 183 days in Malta is the practical benchmark most advisers use. It's also the threshold in most of Malta's tax treaties.
Domicile: the part that makes Malta different
Domicile is the country you consider your permanent, long-term home. Most foreigners who move to Malta keep their foreign domicile. They become "non-doms": resident, but not domiciled.
The three tax positions
| Your status | What Malta taxes |
|---|---|
| Resident and domiciled | Worldwide income and gains |
| Resident, non-domiciled | Maltese income and gains, plus foreign income remitted to Malta |
| Non-resident | Maltese-source income and gains only |
The remittance basis is the core of the non-dom deal. Foreign income you keep abroad is not taxed in Malta. Foreign income you transfer into Malta is. Foreign capital gains are not taxed at all, even when you bring the money in.
Here's the catch. Work you physically do while living in Malta usually produces Maltese-source income. A freelancer billing foreign clients from a Sliema flat is taxed on that profit in Malta, at normal rates.
What are the main taxes in Malta?
Income tax
Residents pay progressive rates. For a single person, the 2026 bands are below.
| Chargeable income (single rates) | Rate |
|---|---|
| EUR 0 – 12,000 | 0% |
| EUR 12,001 – 16,000 | 15% |
| EUR 16,001 – 60,000 | 25% |
| Above EUR 60,000 | 35% |
Married couples and parents get wider bands. Deductions are limited compared with other EU countries. Our guides on personal income tax in Malta and personal tax deductions in Malta cover the detail.
Social security
Employees and employers each pay 10% of salary, up to a weekly cap. Self-employed people pay Class 2 contributions of 15% of net income, also capped. Contributions are paid separately from income tax.
Capital gains
Malta only taxes gains on listed asset types: property, shares and securities, businesses, goodwill, IP and some interests in partnerships and trusts. Share gains are added to your income. Maltese property is taxed differently: a final 8% tax on the sale price, not the gain. Read the full capital gains guide for Malta.
VAT and other taxes
The standard VAT rate is 18%, with reduced rates for some goods and services. Small businesses below a turnover threshold can register under an exempt scheme. Malta has no wealth tax and no inheritance tax as such.
Which special regimes exist for newcomers?
Malta has several routes, each with its own tax rules.
| Regime | Who it targets | Tax in short |
|---|---|---|
| Non-dom remittance basis | Any resident with a foreign domicile | Maltese income at normal rates; foreign income taxed only if remitted; EUR 5,000 minimum if foreign income is EUR 35,000 or more |
| Global Residence Programme | Non-EU/EEA/Swiss nationals who buy or rent qualifying property | 15% flat on foreign income remitted; EUR 15,000 minimum a year |
| Residence Programme | EU/EEA/Swiss nationals, same logic as the GRP | 15% flat on remitted foreign income; EUR 15,000 minimum |
| Nomad Residence Permit | Non-EU remote workers with foreign employers or clients | Income threshold of EUR 42,000 gross a year |
| Highly Qualified Persons rules | Senior employees in specific sectors above a salary threshold | 15% flat on employment income |
Honestly? For most freelancers, the plain non-dom status matters more than any programme. The programmes suit people with large passive foreign income.
Moving to Malta or leaving it: what changes?
Moving in is mainly a matter of facts. You rent or buy a home, register with Identità and start living there. EU citizens register their residence; non-EU nationals need a permit. The steps, timeline and residence tests are in our guide to obtaining tax residency in Malta.
Leaving works the same way in reverse. There is no personal exit tax. Maltese-source income, such as rent or a later property sale, stays taxable after you go. See how to plan it in ceasing your tax residency in Malta.
How are businesses taxed in Malta?
You can work as a self-employed person or through a limited company. Self-employed profit goes into your personal return at 0% to 35%.
A Maltese company pays 35% on its profit. When it distributes dividends, shareholders can usually claim back 6/7 of the tax on trading profits. Net Malta tax then lands around 5%.
Since regulations of 2 September 2025, eligible companies can elect a final 15% rate instead. This is the FITWI option (final income tax without imputation). It is locked in for five years and gives no refund. Compare both in corporate income taxes in Malta.
Running the company from abroad is the classic trap. If the decisions are taken in another country, that country may claim the company is resident there.
Example – Lukas, German freelance developer
Lukas moves to Sliema in January 2026 and keeps his German domicile. He bills EUR 80,000 to US clients and reports EUR 70,000 profit. He works from Malta, so the profit is Maltese-source: about EUR 15,100 income tax at single rates, plus capped social security. His EUR 12,000 Berlin rent stays in a German account. It isn't remitted, so Malta doesn't tax it, and his foreign income stays below EUR 35,000: no minimum tax.
Lukas's Malta bill depends on where his work happens. Yours does too.
Get your income sources checked against Malta's remittance rules before you commit to a move.
Check my tax setup →Common mistakes (and what they cost)
- Assuming "non-dom" means tax-free → work done in Malta is taxed at up to 35%, plus social security and late-payment interest.
- Mixing foreign income and capital in one account → you can't prove what you remitted, so transfers may be taxed as income.
- Forgetting the EUR 5,000 minimum tax → an unexpected bill when foreign income reaches EUR 35,000, even if nothing was remitted.
- Keeping a home in your old country → the treaty tie-breaker may make you resident there, and both countries chase you.
- Running a Maltese company from another country → the company may become tax resident abroad and lose the refund advantage.
Frequently asked questions
Is Malta a tax haven for digital nomads?
Not in the simple sense. Residents pay up to 35% on Maltese-source income, and work done in Malta usually counts as Maltese-source. The advantage is the non-dom remittance basis: foreign income kept abroad is not taxed, and foreign capital gains are never taxed. For people with large passive foreign income, that can be very efficient. For a freelancer working locally, rates are normal EU rates.
What is the 183-day rule in Malta?
Malta's law has no general 183-day test for individuals. Residence depends on whether living in Malta is part of your regular life. The law only says someone there for a temporary purpose becomes resident after six months. In practice, more than 183 days in a calendar year is a strong sign of residence. It is also the threshold in most treaties.
Do non-doms pay tax on foreign income in Malta?
Only on what they bring into Malta. Foreign income kept abroad is not taxed, and foreign capital gains are not taxed even if remitted. If your foreign income is EUR 35,000 or more, you pay at least EUR 5,000 a year. Another minimum-tax regime can replace this. Maltese-source income is always taxed at normal progressive rates.
What is the corporate tax rate in Malta in 2026?
The headline rate is 35%. Shareholders can usually reclaim 6/7 of the tax on distributed trading profits, so net Malta tax is about 5%. Since September 2025, eligible companies can instead elect a final 15% rate with no refund, locked in for five years. Which one is cheaper depends on your group, your shareholders and Pillar Two exposure.
Does Malta have inheritance or wealth tax?
No. Malta has no wealth tax and no inheritance tax as such. However, duty on documents applies when Maltese property or Maltese company shares pass on death. Some family transfers are exempt. Foreign assets of a non-dom are generally outside these rules. Check the duty position before inheriting or gifting Maltese property.
When is the Malta tax return due?
Individuals file for each calendar year by 30 June of the following year. Tax still owed is payable on submission. Interest of 0.6% per month runs on tax unpaid after 31 August. Self-employed people also pay provisional tax in three instalments during the year, based on their last assessment.
Malta tax guides
- Obtaining tax residency in Malta – residence tests, registration steps and a move timeline.
- Ceasing your tax residency in Malta – how to leave cleanly and what stays taxable.
- Personal income tax in Malta – rates, bands and how residents and non-doms are taxed.
- Personal tax deductions in Malta – what individuals can deduct or claim as credits.
- Capital gains taxation in Malta – shares, funds, crypto and the 8% property tax.
- Taxation of cryptocurrencies in Malta – when crypto gains are taxed and when they aren't.
- Corporate income taxes in Malta – the 35% rate, refunds and the 15% option.
- Business forms in Malta – self-employed, partnership or Ltd compared.
- Business expenses in Malta – deductible costs and capital allowances.
- Tax fraud in Malta – penalties, interest and how audits work.
Related guides
- Ceasing your tax residency in Cyprus
- The tax residency certificate in Cyprus
- Capital gains tax in Cyprus
- Obtaining tax residency in Austria
- Ceasing your tax residency in Germany
- All country tax guides
Sources
- Income Tax Act, Chapter 123 – Laws of Malta
- Commissioner for Revenue (CfR), Malta
- Residency Malta Agency
- Identità – residence and identity documents
- Department of Social Security, Malta
- PwC Worldwide Tax Summaries – Malta, Individual: Residence
This guide is general information, not personalised tax advice. See how we research and review.
Malta can work very well, or cost you more than you think.
Get your Malta tax setup checked against your real income mix, before the tax year closes.
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