{"id":648,"date":"2023-10-27T10:05:06","date_gmt":"2023-10-27T10:05:06","guid":{"rendered":"https:\/\/companyincorporationmalta.com\/?p=648"},"modified":"2023-10-27T10:05:07","modified_gmt":"2023-10-27T10:05:07","slug":"taxes-on-salaries-in-malta","status":"publish","type":"post","link":"https:\/\/companyincorporationmalta.com\/taxes-on-salaries-in-malta\/","title":{"rendered":"Taxes on Salaries in Malta"},"content":{"rendered":"\n<p><strong>Companies in Malta<\/strong>, whether established by local or foreign business owners must consider the\u00a0<strong>tax<\/strong>\u00a0responsibilities which come with any type of activity.\u00a0<strong>Malta\u00a0<\/strong>has a preferential\u00a0<strong>tax structure<\/strong>\u00a0for companies with establishments in this country and for persons who work here. All employees are levied a tax on their<strong>\u00a0income registered in Malta\u00a0<\/strong>as residents or foreigners. When applying for tax purposes and\u00a0<strong>social contributions in<\/strong>\u00a0<strong>Malta<\/strong>, company owners must consider the legislation in this sense and the requirements related. Our\u00a0<a href=\"https:\/\/www.companyincorporationmalta.com\/about-us\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>company formation specialists in Malta<\/strong><\/a>\u00a0are at your disposal for assistance in\u00a0<strong>company incorporation<\/strong>\u00a0if you are a foreigner who wants to operate in this country.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_65 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #002e5b;color:#002e5b\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #002e5b;color:#002e5b\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/companyincorporationmalta.com\/taxes-on-salaries-in-malta\/#taxes-for-individuals-living-and-working-in-malta\" title=\"Taxes for individuals living and working in Malta\">Taxes for individuals living and working in Malta<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/companyincorporationmalta.com\/taxes-on-salaries-in-malta\/#details-about-the-ordinary-residence-taxation-scheme\" title=\"Details about the ordinary residence taxation scheme\">Details about the ordinary residence taxation scheme<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"taxes-for-individuals-living-and-working-in-malta\"><\/span><strong>Taxes for individuals living and working in Malta<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>In the first place, we mention that&nbsp;<strong>foreigners working in Malta<\/strong>&nbsp;will only&nbsp;<strong>pay the taxes&nbsp;<\/strong>on the salaries obtained in this country. As for the nationals in this state, the taxation is imposed on the worldwide income. In respect to the tax legislation,&nbsp;<strong>wages in Malta<\/strong>&nbsp;represent all incomes gained through varied resources and are levied in accordance. The&nbsp;<strong>social security contribution in Malta<\/strong>&nbsp;is set at 20% for each employed individual, and it is paid by&nbsp;<a href=\"https:\/\/www.companyincorporationmalta.com\/register-company-malta\"><strong>companies<\/strong><\/a>&nbsp;and employees in equal amount. A 0.3% tax contribution represents the funds for the maternity leave.<\/p>\n\n\n\n<p>As for&nbsp;<strong>sole traders in Malta<\/strong>, they must pay the social security contribution in 3 parts representing 15% calculated on the annual net profits. We mention that&nbsp;<strong>Malta&nbsp;<\/strong>respects the EU legislation regarding the taxation on incomes obligatory for all country members. Our&nbsp;<a href=\"https:\/\/www.companyincorporationmalta.com\/\"><strong>company formation agents in Malta<\/strong><\/a>&nbsp;are at your disposal with support in&nbsp;<strong>business incorporation<\/strong>&nbsp;regardless of the chosen entity.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"details-about-the-ordinary-residence-taxation-scheme\"><\/span><strong>Details about the ordinary residence taxation scheme<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The&nbsp;<strong>personal income tax<\/strong>&nbsp;for persons with residence permits in&nbsp;<strong>Malta&nbsp;<\/strong>are subject to a progressive rate which does not exceed 35%. This is available and imposed on profits obtained in the country or abroad which are registered through a&nbsp;<a href=\"https:\/\/www.companyincorporationmalta.com\/open-a-bank-account-in-malta\"><strong>bank account in Malta<\/strong><\/a>. With the ordinary residence taxation scheme which offers admission to the remittance-based tax structure, persons do not need to pay income taxes for profits gained outside&nbsp;<strong>Malta&nbsp;<\/strong>and registered through a foreign bank account.&nbsp;<\/p>\n\n\n\n<p>If you want more details about&nbsp;<strong>how to open a company in Malta<\/strong>&nbsp;and about the&nbsp;<strong>tax scheme for salaries<\/strong>, we suggest you&nbsp;<a href=\"https:\/\/www.companyincorporationmalta.com\/contact-us\"><strong>contact<\/strong><\/a>&nbsp;our&nbsp;<strong>Maltese team of company incorporation representatives<\/strong>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Companies in Malta, whether established by local or foreign business owners must consider the\u00a0tax\u00a0responsibilities which come with any type of activity.\u00a0Malta\u00a0has a preferential\u00a0tax structure\u00a0for companies with establishments in this country and for persons who work here. All employees are levied a tax on their\u00a0income registered in Malta\u00a0as residents or foreigners. When applying for tax purposes [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":368,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[326,98,18,16,325,421],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.5 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Taxes on Salaries in Malta<\/title>\n<meta name=\"description\" content=\"Companies in Malta must align with the tax requirements for employees. 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