Self Employed: non Maltese citizen resident in Malta

expatfor03 · 2019-04-16T10:48:29+02:00

Discover tax obligations for non-Maltese self-employed residents in Malta, including income tax, social contributions, and VAT registration details.

expatfor03 Member

Member since 16 April 2019

expatfor03Member16 April 2019 08:48:29

Hello everyone!

I would be very grateful if you can please help me to make sure I understood the laws correctly :-)

1) A foreigner who becomes resident of Malta, pays taxes only on income arisen in Malta or remitted to Malta.

2) A self employed person has to pay usual income tax % and social contributions, on taxable income.

3) VAT registration is mandatory if turnover is over Euro 20k I think

So if a self employed person has 100% of income paid by clients outside Malta into a bank account located outside Malta, are taxes, social contributions and VAT turnover calculated only on what is remitted to a Maltese bank account for living expenses? In compliance with the law, not looking for shortcuts.

If you know about the subject, that would be great to hear from you! Thanks.

volcane ViP

Member since 03 November 2015

volcaneViP18 April 2019 08:42:06

1092

"income arisen in Malta" means work done in Malta.聽 Not about where the clients are.

expatfor03 Member

Member since 16 April 2019

expatfor03Member19 April 2019 06:51:55

Ah ok, thanks! What if an X amount of months per year is spent doing the work abroad, for a foreign Client, paid into a foreign account? Would that part be non-taxable, while the one performed from Malta would be? Thanks!

volcane ViP

Member since 03 November 2015

volcaneViP19 April 2019 10:39:19

1092

Questions best left for a tax person I am afraid. They are busy changing a lot about the tax system now. A lot of it subtle 鈥渞einterpretations鈥澛� of existing laws so it鈥檚 not really clear what is going on.

Like right now they are fiddling what they consider as capital that you can bring here tax free etc