Malta Tax Calculator 2026
Calculate your Malta income tax for 2026 in seconds — choose single, married or parent rates, apply your tax-free band, and see your tax and net income at a glance.
Updated for tax year 2026 · Official source: mtca.gov.mt
How income tax works in Malta
Income tax in Malta is progressive: the more you earn, the higher the rate on each additional slice of income. The system uses four rates — 0%, 15%, 25% and 35% — but the thresholds at which they apply depend on your personal status. Malta therefore publishes three rate categories: Single rates, Married rates and Parent rates.
Each category has its own tax-free band — the amount you can earn before any tax is due. Above that band, income is taxed in successive slices, and only the income that falls within each band is taxed at that band’s rate. The top rate of 35% applies to chargeable income above €60,000 in all three categories. Use the calculator above to pick your category and see your tax and net income instantly.
Step-by-step: how the calculation works
Working out your Malta income tax for 2026 follows the same logic whichever category you fall into:
- Add up your total annual income — salary, wages, the COLA bonus and statutory bonuses.
- Choose your rate category: Single, Married or Parent.
- Deduct any allowable deductions to reach your chargeable income.
- Apply your tax-free band (€12,000 / €15,500 / €13,000) — no tax on this portion.
- Tax the next slices at 15%, then 25%, then 35% above €60,000.
- Add the tax from each band together to get your total income tax.
- Subtract the tax from your chargeable income to see your income after tax.
Malta income tax rates 2026
The figures below are the 2026 rates for individuals published by the Malta Tax and Customs Administration (formerly the Commissioner for Revenue, CFR — cfr.gov.mt). The 35% top rate applies to chargeable income above €60,000in every category.
Single rates 2026
- 0% — €0 to €12,000 (tax-free band)
- 15% — €12,001 to €16,000
- 25% — €16,001 to €60,000
- 35% — above €60,000
Married rates 2026
- 0% — €0 to €15,500 (tax-free band)
- 15% — €15,501 to €23,000
- 25% — €23,001 to €60,000
- 35% — above €60,000
Parent rates 2026
- 0% — €0 to €13,000 (tax-free band)
- 15% — €13,001 to €17,500
- 25% — €17,501 to €60,000
- 35% — above €60,000
Source: Malta Tax and Customs Administration, tax rates for individuals 2026 (cfr.gov.mt). Always confirm the latest figures on the official website before filing.
Which rate category applies to you?
Choosing the correct computation matters, because the tax-free band differs by hundreds or thousands of euros:
- Single rates — single individuals, and in most cases widowed and separated persons.
- Married rates — married couples who opt for a joint computation; the higher €15,500 band reflects the combined position.
- Parent rates — a parent who maintains a qualifying child (broadly under 18, or under 23 in full-time education) and meets the income conditions. The €13,000 band sits between the single and married bands.
Married couples can usually elect between joint and separate computations, so it is worth comparing the totals. The calculator above lets you switch categories to see the difference.
COLA bonus, FSS and Social Security Contributions
The statutory COLA (cost-of-living adjustment) bonus and other statutory bonuses are taxable and form part of your chargeable income for the year. For employees, tax is collected through the Final Settlement System (FSS) — Malta’s pay-as-you-earn mechanism — so your employer deducts the right amount from each pay packet.
Social Security Contributions (NI) are separate from income tax. Class 1 contributions are deducted alongside FSS tax but fund pensions and benefits rather than general taxation. This calculator works out your income tax only; your payslip will show Social Security Contributions as a distinct line.
Marginal rate vs effective rate
Two rates describe your tax position, and they are easy to confuse:
- Your marginal rate is the rate charged on your next euro of income. If your chargeable income is €40,000 on single rates, your marginal rate is 25%.
- Your effective rate is your total tax divided by your total chargeable income. Because the tax-free band and the 15% band pull the average down, your effective rate is always lower than your marginal rate.
For example, a single person on €40,000 pays nothing on the first €12,000, 15% on the next €4,000 and 25% on the remaining €24,000 — a total far below 25% of €40,000. That gap is the difference between the marginal and effective rate.
Malta tax specifics worth knowing
A few practical points apply beyond the headline rates:
- Tax return deadline: the individual income tax return is generally due by 30 June following the basis year. Many FSS-only employees may not need to file, but where a return is required the 30 June deadline applies.
- Part-time tax rate: qualifying part-time employment income can be taxed at a reduced flat rate of 10%, up to an annual cap, instead of being added to your main income at the progressive rates. Income above the cap is taxed normally.
- Statutory bonuses: the COLA bonus and other statutory bonuses are part of your taxable income and are included in the FSS deductions across the year.
This guide is general information for 2026 and not personal tax advice. For your exact position, check the official rates on cfr.gov.mt or speak to a qualified Malta tax adviser.
Frequently asked questions
How is income tax calculated in Malta in 2026?
Malta uses a progressive system with four rates — 0%, 15%, 25% and 35%. You first fall into one of three rate categories (Single, Married or Parent), each of which sets a tax-free band. Income above that band is taxed at 15%, then 25%, and finally 35% on income above €60,000. Tax is charged on your chargeable income, which is your gross income less any allowable deductions.
What are the single rates in Malta for 2026?
Under the single computation, the first €12,000 is tax-free. Income from €12,001 to €16,000 is taxed at 15%, income from €16,001 to €60,000 at 25%, and income above €60,000 at 35%. These are the 2026 rates published by the Malta Tax and Customs Administration (formerly the CFR, cfr.gov.mt).
What are the married rates in Malta for 2026?
Under the married computation, the first €15,500 is tax-free. Income from €15,501 to €23,000 is taxed at 15%, income from €23,001 to €60,000 at 25%, and income above €60,000 at 35%. Married couples can elect joint or separate computation and should choose whichever produces the lower total tax.
What are the parent rates in Malta for 2026?
Under the parent computation, the first €13,000 is tax-free. Income from €13,001 to €17,500 is taxed at 15%, income from €17,501 to €60,000 at 25%, and income above €60,000 at 35%. Parent rates sit between the single and married rates and are available to qualifying parents who maintain a child.
Which tax category should I use — single, married or parent?
Single rates apply to single individuals, widowed and separated persons in most cases. Married rates apply to married couples who opt for a joint computation. Parent rates apply to a parent who has custody of, and maintains, a child who is under 18 (or under 23 in full-time education) and meets the income conditions for the child. Use the rate category that legally applies and gives you the most favourable result.
Is the COLA (cost-of-living) bonus taxable in Malta?
Yes. The statutory cost-of-living adjustment (COLA) bonus and the other statutory bonuses paid through the year form part of your taxable income and are included when working out your income tax. They are usually paid alongside your salary and taxed under the Final Settlement System (FSS).
What is the FSS (Final Settlement System)?
The Final Settlement System is Malta’s pay-as-you-earn mechanism. Your employer deducts income tax directly from each salary payment based on FSS tax deduction rules so that, for most employees, the correct amount of tax is paid across the year and little or nothing is owed at year-end.
Are Social Security Contributions the same as income tax?
No. Social Security Contributions (National Insurance, or NI) are separate from income tax. Class 1 contributions are deducted from employees’ wages alongside FSS tax, but they fund pensions and benefits rather than general taxation. This calculator focuses on income tax; your payslip will show NI separately.
What is the difference between my marginal and effective tax rate?
Your marginal rate is the rate charged on your next euro of income — for example 25% if you are inside the 25% band. Your effective rate is the total tax you pay divided by your total chargeable income, which is always lower because the tax-free band and the lower bands pull the average down.
When is the Malta income tax return deadline?
The annual income tax return for individuals is generally due by 30 June following the end of the basis year. Many employees taxed solely under FSS may not need to file a full return, but the 30 June deadline applies where a return is required.
How is part-time income taxed in Malta?
Qualifying part-time employment income can be taxed at a reduced flat rate of 10% (subject to an annual cap on the income that qualifies), instead of being added to your main income and taxed at the progressive rates. You must meet the conditions and elect this treatment; income above the cap is taxed normally.