How to choose the correct tax rate category on the FS4 - 2026 and onwards
This guide is provided for general information only to help you choose an FS4 tax rate category. It does not constitute tax advice, and it may not cover all individual circumstances, special tax schemes, or residency/domicile considerations. If you are unsure, you should seek formal guidance before relying on it.
Introduction
This guide helps you choose the tax rate category on your FS4 (Payee Status Declaration) so your employer can withhold tax correctly through payroll. The 2026 updates introduce separate categories for families with one qualifying child and two or more qualifying children under both the Married and Parent computations.
Responsibility
Who is responsible for choosing the correct tax rate in FS4? You are.
As an individual working in Malta, it is your personal responsibility to ensure that your tax affairs are in order, including filling out FS4 correctly, even if you are a temporary or foreign worker.
Single - S
Choose Single if:
• you are single, widowed, separated, or divorced and you do not meet the conditions to be computed as a parent (or as a “single parent” applying married rates); or
• you are married/in a civil union and both spouses have sources of income, and it is more advantageous for each individual to be taxed at single rates, unless you meet the conditions for computation as a parent.
Married – M0
Choose Married if you are married or in a civil union, you do not qualify for the “Married with child(ren)” categories, and it is more advantageous for your joint (combined) income to be computed at the married rates.
Married with 1 qualifying child – M1
Choose Married with 1 qualifying child if all of the below apply:
• you qualify for Married (above); and
• you maintain under your custody one qualifying child; and
• plus, one of these applies:
- at least one spouse is a Maltese or EU/EEA national, or
- at least one spouse is a long-term resident of Malta, and the child is born in Malta and resident in Malta; and
• special case: for an EU/EEA married couple where one spouse is non-resident, the rates may still apply if at least 90% of worldwide income is derived from Malta and all other conditions are met.
Married with 2 or more qualifying children – M2
Choose Married with 2+ qualifying children if the same conditions above apply, but you maintain under your custody two or more qualifying children.
Parent - P
Choose Parent (standard) if you maintain under your custody or pay maintenance in respect of a qualifying child, but you do not qualify for the “Parent with child(ren)” categories below.
Parent with 1 qualifying child – P1
Choose Parent with 1 qualifying child if:
• you qualify for the Parent concept (custody or maintenance) and you have one qualifying child; and
• plus one of these applies:
- you are a Maltese or EU/EEA national, or
- you are a long-term resident of Malta, and the child is born in Malta and resident in Malta; and
• if you are not the child’s parent (for example, step-parent), this category applies only if you are married/in a civil union to the child’s parent, or you have a registered cohabitation deed with the child’s parent under the Cohabitation Act.
Parent with 2 or more qualifying children – P2
Choose Parent with 2+ qualifying children if the same conditions above apply, but you have two or more qualifying children under custody (or you pay maintenance in respect of two or more).
Non-resident - NR
Choose Non-resident if you are not tax resident in Malta. As a practical indicator, MTCA guidance notes that where a foreign worker is in Malta for 183 days or less in a 12-month period, they are taxable on employment income at the non-resident rate. However, tax residence can be fact-specific (for example, MTCA also explains that a person who comes to Malta to establish residence may become resident from the date of arrival). If your residence status is unclear, seek confirmation (see “Further assistance” below).
FS4 practical reminders
To do:
• you must complete the FS4 at the start of a new employment and whenever your tax details change (including a change in tax status).
• if you do not submit an FS4, your employer is obliged to deduct tax at the highest tax rate.
• you must complete Sections A and E, and only one of Sections B, C, or D (depending on the type of income).
Further assistance and formal confirmation
Where to get help:
• refer to guidance on the actual FS4, notes on the 2nd page (you remain responsible for ensuring your declaration is correct).
• contact Servizz.gov (Government customer support) on 153 or by email at servizz@gov.mt
Useful sources
Please check the official MTCA pages below to view the rates:
1. MTCA – Tax Rates for Individuals (2026): https://mtca.gov.mt/personal-tax/tax-rates/tax-ratesindividuals/2026
2. MTCA – Tax Rates for Non-Residents: https://mtca.gov.mt/personal-tax/tax-rates/taxratesfornonresident
3. MTCA – Tax Rate guidance (2026): https://mtca.gov.mt/docs/default-source/documents/2026-tax-rates.pdf
4. FS4 (Payee Status Declaration form and notes): https://mtca.gov.mt/docs/default-source/documents/personal-tax/fss-system/online-services---employers/mtca-fs4.pdf
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