Malaysia taxes only income that arises there (remitted foreign income exempt to 2036), while Vanuatu charges no personal income tax. Malaysia's lowest cited way in is $65,000, against $130,000 in Vanuatu. Malaysia naturalises after 10 years of residence, and Vanuatu grants citizenship with no residence period.
Malaysia sources verified 2026-07-16. Vanuatu sources verified 2026-08-23.
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| MalaysiaSources verified 2026-07-16 | VanuatuSources verified 2026-08-23 |
|---|---|
| Personal income tax | |
| Territorialremitted foreign income exempt to 2036Foreign-source income exemption, Ministry of Finance (MOF) | No personal income taxTaxpayers Services, Inland Revenue (Department of Customs and Inland Revenue, vanuatucustoms.gov.vu) |
| Lowest cited income floor, a month | |
$2,000 Remote workDE Rantau Nomad Pass, MDEC | Not in this dossier yet |
| Lowest cited investment route | |
$65,000 InvestorMM2H programme guidelines, Ministry of Tourism, Arts and Culture | $130,000 Development support donationFees and Charges, Vanuatu Citizenship Programme (vancitizenship.gov.vu) |
| Citizenship | |
Residence first10 yrs | No residence periodCitizenship by Naturalisation (Vanuatu Department of Immigration and Passport Services) |
| Your current passport | |
| Given up on naturalisationFederal Constitution of Malaysia, Articles 19 and 24 (Attorney General's Chambers) | Kept on naturalisationLegislative Framework, Vanuatu Citizenship Programme (vancitizenship.gov.vu) |
| Travel limits on the passport | |
| None recorded | RestrictedThe EU partially suspended the short-stay visa waiver for Vanuatu ordinary passports issued from 25 May 2015, so a passport obtained through the investment programmes does not carry Schengen visa-free access.Council Decision (EU) 2022/366 on partial suspension of the EU-Vanuatu short-stay visa waiver (EUR-Lex) |
| EU access and English | |
| No EU accessEnglish widely spoken | No EU accessEnglish widely spoken |
* OmniFlag's own assessment, not a figure from a statute.
The full comparison, in words
Malaysia and Vanuatu differ on the three things a mover weighs first: what each taxes, the cheapest cited way in, and how long citizenship takes. On tax, Malaysia taxes only income that arises there (remitted foreign income exempt to 2036), while Vanuatu charges no personal income tax. On entry, Malaysia's lowest cited income floor is $2,000 a month on its remote work route. Vanuatu's lowest cited way in is $130,000 on its development support donation route. On citizenship, Malaysia naturalises after 10 years of residence, and Vanuatu grants citizenship with no residence period. The table below sets every cited figure side by side, and each dossier carries the full detail.
Common questions
Does Malaysia or Vanuatu tax foreign income?
Malaysia: Malaysian-source income. Foreign-source income remitted by a resident individual is exempt through 31 December 2036, and unremitted foreign income sits outside the tax base. Vanuatu: No personal income tax. The administered taxes are VAT, turnover tax, rent tax and licences.
When do Malaysia and Vanuatu treat you as tax resident?
Malaysia: Day count, 182 days of physical presence in a calendar year. Vanuatu: From the citizenship route, None. Citizenship is granted without a residence or physical-presence requirement, so it creates no tax residency by itself. 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 Malaysia or Vanuatu?
Malaysia's lowest cited income floor is $2,000 a month on its remote work route. Vanuatu's lowest cited way in is $130,000 on its development support donation route.
Which grants citizenship sooner, Malaysia or Vanuatu?
Malaysia naturalises after 10 years of residence. Vanuatu grants citizenship with no residence period. Malaysia asks you to give your current passport up. Vanuatu lets you keep your current passport.
Read each dossier in full
Southeast Asia
Malaysia
Foreign income untaxed through 2036, a nomad pass, and a low-cost English-friendly base in Southeast Asia.
- Foreign income
- Exempt to 2036
- Nomad floor
- $24k/yr
South Pacific
Vanuatu
A direct route to citizenship with no residence requirement, from a US$130,000 Development Support Program donation, each figure cited to a Vanuatu source.
- DSP donation
- US$130,000
- Tax basis
- No income tax
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