Malta
Top Income Tax
35%
Marginal rate
Corporate Tax
35%
Standard rate
VAT / Sales Tax
18%
Standard rate
Capital Gains
0%
Standard rate
Overview
Malta offers one of Europe's most attractive corporate tax systems with an effective 5% rate through its full imputation system. English-speaking EU member with a warm climate and growing iGaming and fintech sectors. The Nomad Residence Permit attracts remote workers.
Income Tax Brackets
| Income Range (EUR) | Tax Rate |
|---|---|
| 0 - 9,100 | 0% |
| 9,100 - 14,500 | 15% |
| 14,500 - 19,500 | 25% |
| 19,500 - 60,000 | 25% |
| 60,000+ | 35% |
Rates for single individuals. Different scales for married couples and parents.
Corporate Tax
Standard Rate
35%
35% nominal rate but effective 5% through full imputation system and 6/7 shareholder refund.
VAT / Sales Tax
Standard Rate
18%
Reduced Rates
5%, 7%
5% on electricity, confectionery, printed matter. 7% on accommodation.
Capital Gains Tax
Standard Rate
0%
No capital gains tax on securities for non-resident shareholders. Residents taxed on worldwide gains.
Social Security Contributions
Employee
10%
Employer
10%
Self-Employed
15%
Capped at maximum weekly contributions. Covers pension, health, sickness.
Special Tax Regimes
Full Imputation System
35% corporate tax with 6/7 refund to shareholders, resulting in effective 5% rate.
Eligibility: Must have Malta company with proper substance. Foreign shareholders can claim refund.
Global Residence Programme
15% flat tax on foreign income remitted to Malta with minimum tax of 15,000 EUR/year.
Eligibility: Non-EU nationals. Must purchase/rent property in Malta.
Digital Nomad Visa
Nomad Residence Permit. Must earn at least 2,700 EUR/month. Valid 1 year, renewable up to 3 years.
Pros & Cons
Pros
- Effective 5% corporate tax
- English-speaking EU member
- Digital nomad visa
- Pleasant Mediterranean climate
- Growing fintech hub
Cons
- High nominal corporate rate (35%)
- Small island
- Limited housing supply
- Rising cost of living
Living Indicators
Cost of Living Index
Moderate
Quality of Life Index
Good
Best For
Data Sources
Tax rate data for Malta is compiled from the following authoritative sources:
- OECD Tax Database
- Tax Foundation International Tax Competitiveness Index
- World Bank Business Enabling Environment
- Malta government tax authority publications
- PwC Worldwide Tax Summaries
Last verified: 2024-01
Disclaimer: This content is for informational purposes only and does not constitute tax advice. Tax laws change frequently. Always consult a qualified tax professional before making decisions about your tax residency or obligations.