Malta has unveiled a new tax regime designed to attract and retain highly skilled professionals, reinforcing the country’s position as a competitive European base for international talent.

Published on 23rd January 2026, the Tax Treatment of Highly Skilled Individuals Rules, 2026 introduce a flat 15 per cent income tax rate on qualifying employment income, replacing several existing incentive programmes with a streamlined framework.

The regime applies from 1st January 2026 and targets senior professionals relocating to Malta to work in regulated and strategic sectors.

Eligible individuals must earn at least €65,000 per year, excluding fringe benefits, with the threshold set to rise every five years. The 15 per cent tax rate applies to qualifying income of up to €7 million annually.

The rules require beneficiaries to be non-domiciled in Malta, employed in genuine roles, and in possession of recognised professional qualifications. Applicants must also demonstrate financial independence, private healthcare coverage, and suitable accommodation in Malta.

Importantly, the regime places cybersecurity, innovation, and advanced technical roles firmly within its scope, reflecting Malta’s focus on knowledge-driven growth.

Strategic sectors and senior roles

The incentive applies to senior and specialised roles within organisations regulated or recognised by bodies such as the MFSA, MGA, Transport Malta, Malta Enterprise, and the Office of the Chief Medical Officer.

Eligible positions typically include executive leadership, senior management, and highly specialised technical functions, particularly in finance, gaming, technology, aviation, maritime, and healthcare.

The flat tax rate applies for an initial five-year period, with the option to renew twice for a further five years each time, offering up to 15 years of tax certainty.

Individuals already benefiting from existing incentive schemes may transition to the new regime, subject to conditions.

The new rules strengthen Malta’s competitiveness at a time when jurisdictions are competing globally for skilled professionals, while also providing a clear path for employers seeking to attract international talent.