Malta — Taxes

Personal income tax and the non-dom remittance basis Malta taxes ordinary residents at progressive rates up to 35% on Malta-source income. Its real draw for internationally mobile people, though, is the non-domiciled remittance basis: a person who is resident but not domiciled in Malta is taxed on Malta-source income and on foreign income only to the extent it is remitted (brought into) Malta — foreign income kept outside Malta is not taxed, and foreign capital gains are not taxed even if remitted. A minimum tax of €5,000 per year applies to non-doms with at least €35,000 of annual foreign income.

Corporate tax and the refund system Malta’s headline corporate rate is 35%, but it runs a full-imputation system with shareholder refunds — commonly six-sevenths of the tax on trading income — that can bring the effective rate on distributed profits down to around 5% for qualifying structures. This is a genuine feature of the system, but it needs real substance and proper professional advice; it is not automatic.

Indirect tax (VAT) The standard VAT rate is 18%, among the lower standard rates in the EU, with reduced rates for some categories. There is no annual wealth or general property tax; stamp duty applies on transfers.

What is not taxed There is no wealth tax and no inheritance tax in the usual sense (stamp duty applies on certain transfers of immovable property and shares). Combined with the remittance basis, this is what draws internationally diversified individuals.

Residence is not automatic tax residency — and the citizenship route is closed Since Malta’s citizenship-by-investment programme is closed after the 2025 EU Court ruling, the way into Malta is the Malta Permanent Residence Programme (MPRP) for EU residence. Neither the MPRP nor a passport makes you tax-resident automatically — that follows real presence and personal ties. Understand the distinction in our guide to second citizenship and taxes, weigh Malta beside other EU options on our golden visa comparison, and see our methodology for how each figure is verified.