WorldTax CompareAll Comparisons

Germany vs Malta
Tax Rate Comparison

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

🇩🇪 Germany
vs
🇲🇹 Malta
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
14–45%
Basic allowance ~€12,336; bracket creep relief
No change
0–35%
35% nominal; effective rates much lower via credits
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
7–19%
Standard 19% unchanged
No change
5–18%
18% standard; EU VAT reform compliance
No change

Corporate Tax Rate

Corporate Tax Rate
~29%
Coalition discussions on lowering to 25% ongoing
-0.5pp vs 2025
35%
35% nominal; refund system adapted for Pillar Two
No change

Capital Gains Tax

Capital Gains Tax
25%
Investment income reform proposals under review
No change
0–12%
8%/12% maintained
No change

Social Security & Payroll

Social Security / Payroll
~41.5%
Health insurance rising; pension base up
+0.5pp vs 2025
~20%
20% combined; pension system review
No change
State, Regional & Local Taxes

🇩🇪 GermanyTrade Tax (Gewerbesteuer) & Church Tax

Germany's 16 Bundesländer apply federal income tax rates uniformly — no state income tax variation. Municipalities levy Gewerbesteuer (trade tax) on business profits at ~7–17% effective. Church tax (Kirchensteuer) of 8–9% of income tax applies to registered members. The solidarity surcharge (Soli) now only applies to the top ~10% of earners.

🇲🇹 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.

⚠️ 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.

Germany vs Malta: Key Tax Differences (2026)

💰 Income Tax: 🇩🇪 Germany has a higher top income tax rate (14–45% vs 0–35%). 🇲🇹 Malta is more favourable for high earners.

🛒 VAT/Sales Tax: Germany has a higher consumption tax (7–19% vs 5–18%).

🏢 Corporate Tax: 🇩🇪 Germany offers a lower corporate rate (29% vs 35%), which can influence business location decisions.

📈 Capital Gains: 🇲🇹 Malta taxes investment gains at a lower rate (12% vs 25%), benefiting investors.

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All 🇩🇪 Germany comparisons →All 🇲🇹 Malta comparisons →