Tax residency and citizenship are two different concepts. Becoming a Maltese citizen doesn't mean your tax treatment will automatically change if you aren't living and earning in Malta. New expats relocating to Malta may also retain their non-domicile status, with substantial tax breaks available. In Malta, you only need to pay tax on domestic earnings, which means foreign income and other overseas capital gains are not taxable, provided your accounts are held in another jurisdiction. Many international pension schemes are based in Malta, and it's a hub of business growth, owing to the generous tax regimes and range of exemptions available. There are: • No inheritance tax • No wealth tax • Extensive dual tax treaties • No municipal taxes Double tax treaties are vital for expats since they mean you won't end up paying tax twice on the same income or event. Malta has more than 60 treaties and recognises dual citizenship so that you can retain two passports simultaneously. Corporation tax is charged at 35 per cent, but non-residents or non-domiciled businesses benefit from special tax concessions. If you invest in Malta through a real estate purchase and sell the property after five years, you will pay zero tax on the profit if you use the property as a sole residence. If you sell earlier, you may incur a 12 per cent tax against the sale price.