Malta’s Income Tax Rates – Frequently Asked Questions

Read below the most frequently asked questions about the tax rates in Malta for individuals and businesses in 2019. You will find below the income tax rates in Malta, tax brackets, corporation taxes, tax schemes to lower income tax and more.

What are the tax brackets in Malta?

Malta’s income tax works off of a progressive tax rate meaning that the more income you generate, the more tax you pay. See the brackets in the table below.

Above are the tax rates in Malta in 2019 for those who are Single, Married & Parent.

When do I pay income tax in Malta?

There are three factors affect whether you pay taxes in Malta. If you’re a:

  1. Maltese Resident, you will pay tax on your income
  2. Permanent resident (Stay for 183 days a year or more), you pay tax on any income received in Malta and from overseas.
  3. Foreign resident and employed in Malta, you will only pay tax on the income you earn in Malta.

When do I have to report my taxes?

Malta tax year is based on the calendar year (January to December), so, therefore, the tax year ends on 31st December. However, filing your annual return is due in Malta on 30th June.

When do I report my companies’ taxes?

You’re required to submit your companies tax report on 30th June. However, you can present your report before 30th September. Our advice, however, is to be prepared with your taxes and ready to file on 30th June.

What is Malta’s corporate tax rate?

As of 2018, the corporate tax rate in Malta is 35% if the company is incorporated in Malta or, is not incorporated in Malta but has its business management in Malta. However, if you sought the right advice, you could be due for a significant reduction in taxes. For more information on this, read our ‘Malta Tax Refund System’ page or contact us for a consultation.

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Does Malta have any programmes to make me more tax-effective?

Malta is an attractive place for high-net-worth individuals and their families to relocate to, and in turn, has created several exciting programmes for residency and citizenship.

One programme is only open to non-EU/EEA/Swiss nationals. The Malta Global Residence Programme (GRP) was launched to attract foreign entrepreneurs, High Net Worth Individuals and investors by granting successful applicants residency and special tax status by setting the personal tax rate on external sources of income remitted to Malta at 15%. For more information on this programme, visit our page.

There is also the opportunity for EU/EEA/Swiss nationals to apply for attractive tax rates. You can qualify for the ‘Highly Qualified Persons Rules’. This Malta Residence programme seeks to attract highly qualified persons in the financial, gaming and aviation sectors by offering a 15% flat rate of tax on income up to €5 million. Also, any income over that €5 million is tax-free. To qualify for this tax incentive, the applicant must earn a minimum of €85,016 per year and occupy a specific position within a business. For more information on this programme, visit our page.

For more information on any of Malta’s Residency Programmes and how you can apply, contact us today for a free consultation. We can get you, and any dependents, started with the application process to make you more tax effective.

Contact Us

If you have any more questions regarding your personal or business taxation requirements, visit our website on taxation giving you information for businesses and individuals. Alternatively, don’t hesitate to contact us if you need more tailored information based on your needs.