How capital gains tax works in Malta
Malta taxes capital gains under the Income Tax Act, not through a separate standalone CGT statute. The scope is broad and can cover immovable property, shares and other securities, business, goodwill, IP, partnership interests and beneficial interests in trusts.
The applicable rate is usually the individual's marginal income tax rate, so gains can be taxed up to 35%. For Maltese immovable property, a final withholding-tax style system generally applies at 8% or 10% of the transfer value, depending on when the property was acquired and whether an exemption applies.
Non-domiciled individuals are not generally taxed in Malta on capital gains arising outside Malta, even if those gains are received in Malta. That makes residence and remittance mechanics central to any planning.
Some transfers are exempt or reduced, including certain listed share transfers and specific property exemptions. In 2026, the income-tax exemption on certain qualifying immovable-property transfers extends up to EUR 750,000 in defined cases until 31 December 2026.
Tax rates at a glance
- Capital gains tax
- Up to 35%Marginal rate
- Maltese property transfer WHT
- 8% / 10%
- Foreign capital gains for non-doms
- 0% if not remitted
- Listed share exemptions
- Available
Who benefits most
These profiles tend to benefit most when the rules match their real residence, payroll and business setup.
InvestorsProperty ownersFoundersFamily officesExpats
Watch out for
- Malta property sales and inheritance are often taxed differently from ordinary gains. The duty and income-tax treatment can diverge, so do not assume one rate covers both.
- If you are resident but not domiciled, foreign gains can still become relevant if they are brought into Malta through remittance or if another country taxes them first.
- Share disposals can also trigger duty and valuation rules, especially where the company owns Maltese property.
Frequently asked questions
Does Malta have capital gains tax?
Yes, but not as a standalone tax. Malta taxes capital gains under its income tax rules, with the rate depending on the asset and the taxpayer's status.
Are property sales taxed in Malta?
Usually yes. Maltese immovable property transfers often fall under a final withholding-tax system at 8% or 10%, unless an exemption applies.
Are foreign capital gains taxed in Malta?
For a resident non-dom, foreign capital gains are generally outside Malta's tax net even if remitted. For a domiciled and ordinarily resident person, worldwide gains can be taxable.