Remittance basis

Remittance basis is the taxation system whereby a resident only pays tax on foreign income actually brought (remitted) to the country where they file, not on the total earned abroad.

Countries with relevant remittance basis for nomads:

• Malta (non-dom regime): non-domiciled residents only tax remittances to Malta. Min tax €5,000/year.
• Thailand (since 2024): foreign income taxable only if remitted to Thailand. Last year's tax change keeps the rule but extends it to later-year remittances too.
• UK (historical non-dom regime): drastically cut in 2024-2025; now only applies the first 4 years.
• Cyprus (non-dom regime): similar to Maltese, exemptions on foreign income.

Practical implication for freelancers:

• Structure your business so profits stay in non-residence-country accounts.
• Bring only what you need to live.
• That portion is taxed locally; the rest isn't.

Caution: EU countries view remittance basis with growing suspicion. Spanish Hacienda watches Maltese/Cypriot structures for Spanish citizens who can't demonstrate real economic substance very closely.