Cyprus vs Malta: tax rates
On headline statutory rates, Cyprus is the lighter-tax country of the two. Cyprus's top personal income tax is 35% versus 35% in Malta; corporate tax is 15% versus 35%; and standard VAT/GST is 19% versus 18%. These are top statutory rates, not the effective tax you'd actually pay — residency, brackets, deductions and social security all change the real number. This is not tax advice.
Source: PwC Worldwide Tax Summaries. Data as of June 2026.
Cyprus vs Malta side by side
| Tax | Cyprus | Malta |
|---|---|---|
| Top personal income tax | 35% | 35% |
| Corporate income tax | 15% | 35% |
| Standard VAT/GST | 19% | 18% |
| Capital gains (individuals) | 20% (real estate only; securities exempt) | Taxed as income; many exemptions |
| Employee social security | Employee 8.8% | Employee 10% |
| Region | Europe | Europe |
Source: PwC Worldwide Tax Summaries, cross-checked with OECD and Tax Foundation data. Statutory headline rates, not effective rates.
Verdict
Judged purely on headline rates, Cyprus taxes less than Malta across income, corporate and consumption combined. But that is a blunt comparison: it ignores the income bands those top rates apply to, the deductions and credits each system offers, social-security contributions, and — crucially — your own residency and where your income arises. Read each country's full page (Cyprus and Malta) and run the numbers in the calculator before drawing conclusions.
Frequently asked questions
Is Cyprus or Malta a lower-tax country?
On headline statutory rates, Cyprus has the lighter overall tax load of the two. Its top personal income tax is 35%, corporate tax 15% and VAT/GST 19%, versus 35% / 35% / 18% for Malta. This compares top statutory rates only, not effective tax or your personal situation.
Which has lower income tax, Cyprus or Malta?
Cyprus has the lower top personal income tax rate: 35% versus 35%. Remember these are top marginal rates — the rate an average earner pays is lower, and brackets, allowances and social security differ between the two.
Does Cyprus or Malta tax capital gains more?
Cyprus treats individual capital gains as: 20% (real estate only; securities exempt). Malta treats them as: Taxed as income; many exemptions. Holding periods, asset type and residency change the outcome in both — check each country's full page and confirm with a tax adviser.
Should I move from Cyprus to Malta for tax reasons?
Headline rates are only a starting point. Real liability turns on tax residency, where income arises, exit taxes, treaties and (for US citizens) worldwide taxation. This comparison is general information, not tax advice — speak to a cross-border tax professional before relocating.
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Last updated: 2026-06-20