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Malta vs Japan
Tax Rate Comparison

Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.

🇲🇹 Malta
vs
🇯🇵 Japan
Tax Year:

💰 Personal Income Tax Calculator

Enter your income to see your estimated annual tax liability in each country — side by side.

Enter your annual income above to see your personal tax comparison →

Individual Income Tax (Top Marginal Rate)

Top Income Tax Rate
0–35%
35% nominal; effective rates much lower via credits
No change
5–45%
Basic deduction increase for low earners
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
5–18%
18% standard; EU VAT reform compliance
No change
8–10%
No rate change; digital services tax under review
No change

Corporate Tax Rate

Corporate Tax Rate
35%
35% nominal; refund system adapted for Pillar Two
No change
~30.62%
Global Minimum Tax applies to large MNCs
No change

Capital Gains Tax

Capital Gains Tax
0–12%
8%/12% maintained
No change
20.315%
Expanded NISA (tax-free investment) ongoing
No change

Social Security & Payroll

Social Security / Payroll
~20%
20% combined; pension system review
No change
~28.5%
Coverage expansion to part-time workers ongoing
No change
State, Regional & Local Taxes

🇲🇹 MaltaLocal Council Taxes

Malta's 68 local councils (kunsilli lokali) have limited taxing powers — primarily fees for refuse collection, minor local services, and permits. Income tax, VAT, and company tax are all national. Malta is a significant EU financial services hub offering a full imputation dividend tax credit system that can reduce corporate effective tax rates to as low as 5% for non-resident shareholders. Malta has attracted gaming companies, crypto regulation pioneers, and financial services firms with its competitive holding company structures and refund system.

🇯🇵 JapanPrefectural & Municipal Inhabitant Tax

Japan's 47 prefectures levy inhabitant tax (住民税) at a flat 10% on top of national income tax — 4% prefectural + 6% municipal. A reconstruction special income tax of 2.1% of national tax applies through 2037. Property acquisition tax and fixed asset tax (1.4% of assessed value) are levied locally. Large cities impose additional taxes on large businesses.

⚠️ Disclaimer: Rates shown are standard top/headline rates for informational purposes. Actual tax liability depends on income level, residency, deductions, and tax treaties. 2025–2026 data reflects announced or enacted rates and may be subject to change. Not financial or legal advice.

Malta vs Japan: Key Tax Differences (2026)

💰 Income Tax: 🇯🇵 Japan has a higher top income tax rate (0–35% vs 5–45%). 🇲🇹 Malta is more favourable for high earners.

🛒 VAT/Sales Tax: Malta has a higher consumption tax (5–18% vs 8–10%).

🏢 Corporate Tax: 🇯🇵 Japan offers a lower corporate rate (30.62% vs 35%), which can influence business location decisions.

📈 Capital Gains: 🇲🇹 Malta taxes investment gains at a lower rate (12% vs 20.315%), benefiting investors.

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