The FITWI regime (Final Tax on Income from Work and Investment) was introduced by Legal Notice 188 of 2025 and has applied since September 2025. It is aimed at individuals who move their tax residence to Malta and take up qualifying employment or self-employment there. The regime provides a flat tax rate of 15 percent on employment income and certain investment income and replaces the previous, less structured flat-rate programmes for incoming professionals. The election period is 5 years, followed by a 5-year lock-out period.
Eligible are individuals who were not tax resident in Malta in the 12 months before the application and who meet certain income thresholds. The FITWI regime differs from non-dom status in that it targets active income (salary, professional fees), whereas non-dom status primarily concerns passive foreign income. The two regimes cannot be used at the same time. The choice depends on the individual income structure: entrepreneurs drawing a significant salary from a Malta Limited may benefit more from FITWI, while wealth owners with international investment income tend to prefer non-dom status.
