28.05.2025
Income tax returns for Malta Nomad Residence Permit Holders
If you are Malta Nomad Residence Permit Holders, then this article is for you. As a permit holder, it is important for to understand and to be aware of the tax obligations upon relocating to Malta.
Upon arrival to the island, and once the new residence card is in hand, digital nomads must register for income tax and are required to file income tax returns. Here is the main tax information you should know:
- Income from foreign dividends, interest, and royalties is typically not subject to taxation in Malta if it is not remitted to a Maltese bank account.
- For the first year following the issuance of the Nomad Residence Permit, income derived from authorised remote work is exempt from Maltese income tax.
- Following the initial 12-month period, a flat tax rate of 10% applies to income derived from authorised work.
- Authorised work includes any services provided by the digital nomad to individuals and companies located outside Malta, as well as business activities conducted abroad.
- Malta has treaties in place with numerous countries to prevent double taxation, ensuring that income is not taxed twice in different jurisdictions.
Here at Fairwinds Management our accountants can assist with:
- Registration for an income tax number upon your arrival in Malta.
- Assistance with compiling and filing your income tax returns.
- Guidance on double taxation agreements to ensure you do not face unnecessary tax burdens.
Already living here under the Nomad Residence Permit? Our team is here to provide you with expert guidance and tailored support to manage your residency and tax matters with ease. Let us take care of the tax compliance, so you can focus on enjoying your experience in Malta. Learn more at: https://fairwindsmanagement.net/services/accountancy-services/malta-nomad-taxation/ or contact us directly at info@fairwindsmanagement.net.
Fairwinds Management Limited is a MFSA licensed firm offering Business Solutions in Malta. As part of our services, we offer Accounting, Administration, Corporate and Legal solutions. Fairwinds Management also manages the brand Accounting Services. More information about us and our key services please visit our website. You may reach Fairwinds Management on +356 2704 0903 or info@fairwindsmanagement.net.
Article written by Ms Charlene Sciberras, B.A. (Hons), guest writer, a marketing and business administration specialist with a special focus on corporate, accounting, and legal matters.