Malta vs Portugal — Tax Comparison 2026
Maltese taxes vs Portuguese taxes, at a glance. Malta: 0%–35% across 4 brackets. Portugal: 13%–48% across 9 brackets. Compare take-home pay side by side for employees and contractors.
Are taxes higher in Malta or Portugal?
For most remote workers, taxes are higher in Portugal. At $100,000, an employee in Malta takes home $72,298 versus $56,190 in Portugal — a difference of $16,108 per year. For contractors, Malta comes out ahead: $70,663 versus $61,061.
Estimates based on 2026 rates and approximate exchange rates. Actual take-home varies by individual circumstances.
USD amounts use approximate exchange rates (EUR: 1.1242, EUR: 1.1242). Local currency figures are exact.
| Metric | Malta | Portugal |
|---|---|---|
| Gross (EUR/EUR) | €88,952 | 88 952 € |
| Gross (USD) | $100,000 | $100,000 |
| Income Tax | €21,733 | 29 185 € |
| Social Security | €2,908 | 9785 € |
| Net (EUR/EUR) | €64,310 | 49 982 € |
| Net (USD) | $72,298+$16,108 | $56,190 |
| Effective Rate | 27.7% | 43.8% |
Gross (EUR/EUR)
Malta
€88,952
Portugal
88 952 €
Gross (USD)
Malta
$100,000
Portugal
$100,000
Income Tax
Malta
€21,733
Portugal
29 185 €
Social Security
Malta
€2,908
Portugal
9785 €
Net (EUR/EUR)
Malta
€64,310
Portugal
49 982 €
Net (USD)
Malta
$72,298
+$16,108Portugal
$56,190
Effective Rate
Malta
27.7%
Portugal
43.8%
Where identifiable, mandatory health contributions are shown separately. For other countries, health coverage is included in the Social Security amount.
Bottom Line
At $100,000/year income
Malta gives you $16,108 more per year ($1,342/mo) as an employee
Malta gives you $9,602 more per year ($800/mo) as a contractor
Take-Home Pay at $60K, $100K and $150K
Net income after income tax and social contributions, converted to USD at approximate exchange rates. Effective rate in parentheses.
Employees
| Gross (USD) | Malta net | Portugal net | Who keeps more |
|---|---|---|---|
| $60,000 | $45,553 (24.1%) | $38,430 (36.0%) | Malta (+$7,123) |
| $100,000 | $72,298 (27.7%) | $56,190 (43.8%) | Malta (+$16,108) |
| $150,000 | $104,798 (30.1%) | $76,777 (48.8%) | Malta (+$28,021) |
Contractors / Self-Employed
| Gross (USD) | Malta net | Portugal net | Who keeps more |
|---|---|---|---|
| $60,000 | $43,918 (26.8%) | $40,040 (33.3%) | Malta (+$3,878) |
| $100,000 | $70,663 (29.3%) | $61,061 (38.9%) | Malta (+$9,602) |
| $150,000 | $103,163 (31.2%) | $90,194 (39.9%) | Malta (+$12,969) |
Getting paid in EUR?
AffiliateSave on international transfers with Wise. Real exchange rate, low transparent fees — no surprises on your € payments.
How Taxes Work
Malta Tax System
Employee
- ·2026 single taxpayer rates.
- ·4 brackets: 0% (up to €12,000), 15% (€12,001–€16,000), 25% (€16,001–€60,000), 35% (above €60,000).
- ·Married/parent rates differ.
- ·SSC: 10% of salary, maximum €55.93/week (~€2,908/year) for those born after 1 Jan 1962.
- ·Non-domiciled residents taxed on remittance basis only — foreign income not remitted to Malta is generally not taxed.
- ·Nomad Residence Permit holders: 0% tax year 1, 10% flat rate thereafter (special regime, not modeled).
Contractor
- ·Self-employed (Class 2 SSC).
- ·Same 4 progressive brackets.
- ·SSC: 15% of prior-year net income, maximum €83.89/week (~€4,362/year).
- ·Business expenses deducted from actual receipts (no flat rate).
- ·Non-domiciled: remittance basis for foreign-source income (work performed in Malta is Malta-source and taxed in full).
- ·Minimum €5,000 tax if foreign income ≥€35,000 not fully remitted.
Portugal Tax System
Employee
- ·IRS 2026: 9 brackets (12.5%-48%).
- ·Dedução específica €4,587.
- ·Employee SS 11% (no cap).
Contractor
- ·Simplified regime (regime simplificado).
- ·IRS on 75% of income (coeficiente 0.75, Art. 31 CIRS).
- ·SS: 21.4% on 70% of income, capped at 12×IAS/month.
- ·No dedução específica for Category B.
Full Malta Tax Calculator →
Detailed breakdown with custom income
Full Portugal Tax Calculator →
Detailed breakdown with custom income
Visa Options
Need health insurance for your visa application?
SafetyWing Nomad Insurance covers 180+ countries, starting from $62.72/4 weeks — designed for digital nomads and remote workers.
Related Articles
Portugal IFICI (NHR 2.0): Who Qualifies in 2026
Portugal's tax authority issued the first wave of IFICI (NHR 2.0) approvals in March 2026 — but a remote worker on forei...
Register as a Freelancer in Portugal: Recibos Verdes 2026
Register as a freelancer in Portugal and your first 12 months of social security cost €0 — but most English guides still...
Malta Tax Guide for Remote Workers 2026
Malta's NRP gives you 0% tax Year 1 and 10% flat after that — in an English-speaking EU/Schengen country. Even without t...
Frequently Asked Questions
How do Malta and Portugal's tax rates compare for remote workers?
- ·Portugal's standard rates reach 48%, with the IFICI program (NHR successor) offering 20% flat on qualifying income.
- ·Malta's NRP offers 0% tax year 1 and 10% flat thereafter — half of Portugal's IFICI rate.
- ·However, IFICI lasts 10 years vs Malta's NRP which is renewable for 3 years max. For short-term stays, Malta wins; for long-term, Portugal's longer regime may be more valuable.
Which is better for English-speaking digital nomads?
- ·Malta is one of only two EU countries where English is an official language (the other being Ireland).
- ·Portuguese is needed for daily life in Portugal outside tourist areas.
- ·This makes Malta significantly easier for English speakers — no language barrier for banking, bureaucracy, healthcare, or daily life.
How do digital nomad visa requirements compare?
- ·Malta's NRP requires €42,000/year (~€3,500/month) gross income.
- ·Portugal's D8 visa requires €3,680/month (4x minimum wage).
- ·Requirements are similar.
- ·Malta's NRP includes a built-in tax benefit (0%/10%).
- ·Portugal's D8 is separate from IFICI eligibility.
- ·Both are EU/Schengen with residency pathways.
- ·Malta is smaller but more tax-efficient; Portugal has more diverse lifestyle options.