Does Italy or Malta tax foreign income?

Italy: Worldwide income: for residents, all income held, net of deductible charges; non-residents are taxed only on income produced in Italy. Malta: A resident who is not domiciled in Malta is taxed on foreign income only on the amount received in Malta, and not at all on foreign capital gains; Maltese-source income is taxed in full.

When do Italy and Malta treat you as tax resident?

Italy: Residence, domicile, or presence, Civil-law residence in Italy, domicile there (the centre of your personal and family interests), or mere physical presence, any single one sustained for more than half the tax year. Citizens who deregister and relocate, An Italian citizen who cancels their registration and moves abroad is still presumed resident unless they can show otherwise, when the move is to a country outside Italy's low-tax exclusion list. Malta: Residence, not a day count, An individual is resident when they reside in Malta apart from such temporary absences as the Commissioner finds reasonable. There is no day-count test for individuals; the Act's only 183-day rule governs a company holding, not a person. A tax residency test runs separately from the permit that lets you live there, so holding one does not settle the other.

Which grants citizenship sooner, Italy or Malta?

Italy naturalises after 10 years of residence. Malta naturalises after 5 years of residence. Malta lets you keep your current passport.

Italy vs Malta: tax, residency and citizenship compared

Italy's tax basis is not in its dossier yet, while Malta taxes a resident who is not domiciled there on a narrower base. Italy's lowest cited way in is $265,000, against $106,000 in Malta. Italy naturalises after 10 years of residence, and Malta naturalises after 5 years of residence.

Italy sources verified 2026-07-21. Malta sources verified 2026-07-21.

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Italy and Malta compared on tax, entry routes and citizenship
ItalySources verified 2026-07-21	MaltaSources verified 2026-07-21
Personal income tax
Not in this dossier yet	Non-domIncome Tax Act, Cap. 123, art. 4(1) provisos
Lowest cited income floor, a month
Not in this dossier yet	$3,750 Remote workNomad Residence Permit FAQs, Residency Malta Agency
Lowest cited investment route
$265,000 InvestorArt. 26-bis, Legislative Decree 286/1998 (Normattiva)	$106,000 InvestorMalta Permanent Residence Programme Regulations, S.L. 217.26
Citizenship
Residence first10 yrs Referendum of 8-9 June 2025, result archive (Ministry of the Interior)	Residence first5 yrs Acquisition of citizenship, Community Malta Agency
Your current passport
Not in this dossier yet	Kept on naturalisationAcquisition of citizenship, Community Malta Agency
EU access and English
EU accessEnglish not widespread	EU accessEnglish widely spoken

* OmniFlag's own assessment, not a figure from a statute.

The full comparison, in words

Italy and Malta differ on the three things a mover weighs first: what each taxes, the cheapest cited way in, and how long citizenship takes. On tax, Italy's tax basis is not in its dossier yet, while Malta taxes a resident who is not domiciled there on a narrower base. On entry, Italy's lowest cited way in is $265,000 on its investor route. Malta's lowest cited income floor is $3,750 a month on its remote work route. On citizenship, Italy naturalises after 10 years of residence, and Malta naturalises after 5 years of residence. The table below sets every cited figure side by side, and each dossier carries the full detail.

Common questions

Does Italy or Malta tax foreign income?
Italy: Worldwide income: for residents, all income held, net of deductible charges; non-residents are taxed only on income produced in Italy. Malta: A resident who is not domiciled in Malta is taxed on foreign income only on the amount received in Malta, and not at all on foreign capital gains; Maltese-source income is taxed in full.
When do Italy and Malta treat you as tax resident?
Italy: Residence, domicile, or presence, Civil-law residence in Italy, domicile there (the centre of your personal and family interests), or mere physical presence, any single one sustained for more than half the tax year. Citizens who deregister and relocate, An Italian citizen who cancels their registration and moves abroad is still presumed resident unless they can show otherwise, when the move is to a country outside Italy's low-tax exclusion list. Malta: Residence, not a day count, An individual is resident when they reside in Malta apart from such temporary absences as the Commissioner finds reasonable. There is no day-count test for individuals; the Act's only 183-day rule governs a company holding, not a person. A tax residency test runs separately from the permit that lets you live there, so holding one does not settle the other.
What is the cheapest cited way to live in Italy or Malta?
Italy's lowest cited way in is $265,000 on its investor route. Malta's lowest cited income floor is $3,750 a month on its remote work route.
Which grants citizenship sooner, Italy or Malta?
Italy naturalises after 10 years of residence. Malta naturalises after 5 years of residence. Malta lets you keep your current passport.

Read each dossier in full

Southern Europe

Italy

A flat 7% on all foreign income for ten years, for a pension moved to a qualifying southern town.

Pension tax: 7%

Citizenship10 yrs

Southern Europe

Malta

An English-speaking EU base with a remittance basis for foreign income and 10% on remote work.

Nomad tax: 10%

Citizenship5 yrs

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