Overview of EU Non-Dom Tax Programme 2025

The term non-domicile (non-dom) refers to a tax status allowing individuals to limit or completely avoid taxes on their global income by maintaining tax residency in a country without being fully domiciled there. In most cases, only income sourced within the host country is taxed, which is a significant financial advantage to high-net-worth individuals (HNWIs).

For over 200 years, the UK operated one of the most attractive non-dom regimes. However, amidst its upcoming abolition in April 2025, a record number of HNWIs have sought alternative jurisdictions across Europe with tax benefits for expats and lifestyle appeal. Non-dom EU countries, such as Greece, Malta, Cyprus, Spain, Ireland, and Italy now offer some of the most compelling programmes, each with distinct advantages, and eligibility criteria.

Greece

Under Greece’s non-dom tax residency, participants pay a flat annual tax of €100,000 on foreign-sourced income, regardless of the amount earned, for up to 15 years. This is particularly attractive when compared to Greece’s progressive tax system, where rates can reach up to 44% on high earnings.

Eligibility

Applicants must not have been Greek tax residents for 7 of the previous eight years and are required to make a minimum investment of €500,000 in Greek real estate, businesses, or securities and to have Greek residency.

Family Participation

According to the Greek non-dom tax rules, family members, including spouses and dependent children, can be included by paying an additional €20,000 per person annually.

Residency by Investment

Greece offers a Golden visa programme, which grants renewable 5-year residency permits. It has the lowest cost entry in the EU, starting at €250,000 in real estate. The minimum investment requirement varies depending on the location, with some areas, such as Athens and key tourist destinations, requiring higher thresholds. The processing time is about 6 months, and this Golden Visa covers spouses, parents and children.

Malta

Malta provides a range of non-dom tax advantages, with a flat 15% tax on foreign income remitted to Malta, while foreign income not remitted remains tax-free. Additionally, there are no inheritance, wealth, or property taxes.

Eligibility

Applicants must be non-residents for tax purposes or must not have resided in Malta for at least 5 years prior to the application and must demonstrate a source of foreign income.

Family Participation

Family members, including spouses and dependent children, can be included in non-dom applications.

Residency by Investment

Malta’s Golden Visa offers residency with a minimum investment of €182,000, with the real estate purchase and rental options, and a proof of funds valued at €500,000 at least. The processing time typically ranges between 6 to 8 months. The program extends to the investor’s spouse, dependent children, and parents. Depending on the minimum investment sum, in 1-3 years you become eligible to apply for Maltese citizenship.

Cyprus

The Cyprus Non-Domicile (Non-Dom) tax scheme provides substantial benefits for individuals who are tax residents but not considered domiciled in Cyprus. Non-Doms are completely exempt from the Special Defence Contribution (SDC) on dividends, interest, and rental income. This tax exemption applies regardless of whether the income originates domestically or internationally.

By comparison, domiciled residents are subject to SDC rates of 17% on dividends, 30% on interest, and 3% or 75% of gross rental income. The Non-Dom regime offers a competitive tax landscape for those seeking long-term financial efficiency.

Eligibility

To qualify for Non-Dom status in Cyprus:

• Applicants must not have been tax residents in Cyprus for at least 17 of the last 20 years.
• Individuals with a domicile of origin outside Cyprus or who have established a domicile of choice abroad may also qualify.

Family Participation

The non-dom tax scheme 2025 and residency permits can extend to spouses and dependent children.

Residency by Investment

Cyprus offers a residency program with a minimum investment of €300,000 in residential real estate. The application process takes around 6 months. After 8 years, you can apply for citizenship and apply for an EU passport.The permit covers the investor, their spouse, and dependent children up to 25.

Spain

Under Spain’s “Beckham’s Law,” a flat 24% tax rate applies to Spanish-sourced income up to €600,000 for 6 years, with foreign income not subject to Spanish tax.

Eligibility

Applicants must not have been tax residents in Spain for the previous ten years and must be employed by a Spanish company or have a contract to work within Spain.

Family Participation

The benefits can apply to spouses and dependent children if they relocate under the same tax agreement.

Residency by Investment

Spain offers a Golden Visa programme with a minimum investment of €500,000 in real estate. The visa is initially valid for 2 years and can be renewed indefinitely as long as the investment is maintained. The processing time is 3 to 6 months. It covers the investor, their spouse, unwed adult children, and parents.

Important: As of 3rd April 2025 the Spanish Golden visa scheme is to be abolished.

Ireland

Ireland’s remittance-based tax system offers significant advantages to non-domiciled residents, who are taxed only on income brought into the country. This allows for flexibility and tax efficiency for those with foreign income that remains outside of Ireland.

Eligibility

To qualify, individuals must demonstrate they are non-domiciled in Ireland, meaning that they do not consider Ireland their permanent home. This status can be maintained indefinitely as long as the individual does not make Ireland their permanent domicile.

Family Participation

Spouses and dependent children can be included in the tax regime and residency permits.

Residency by Investment

To obtain Irish residency, you must invest at least €1,000,000 into an approved investment fund, held for 3 years, and provide proof of a minimum net worth of €2,000,000. The residency permit is granted for an initial period of 2 years. The processing time takes around 3-4 months. The programme covers the investor’s legal spouse and dependent children.

Italy

The Italian non-dom tax programme allows individuals to pay a flat €200,000 annual tax on foreign income, regardless of the amount earned, for up to 15 years. This increase from the previous €100,000 rate applies to individuals who establish their tax residence in Italy after August 10, 2024.

Eligibility

Applicants must not have been Italian tax residents for 9 of the previous 10 years.

Family Participation

Family members, including spouses and dependent children, can be included by paying an additional €25,000 per person annually.

Residency by Investment

To participate in the Italian Golden visa programme, you have to invest at least €500,000. Available options include company shares, local government bonds, or projects of public importance for Italy (non-refundable donation). The visa is valid for 2 years, whilst processing takes up to 6 months. The Golden visa covers the investor and their spouse, partner, parents and children.

How Can Astons Help?

Astons, a global leader in immigration and relocation services, assists individuals and families in obtaining residency in EU countries to benefit from EU tax incentives. Our team specializes in guiding clients through the residency application process in Portugal, Greece, Spain, Malta, and Cyprus, and other best countries for non-dom tax.

FAQ

What is a non-dom tax programme?

A non-dom tax programme is a remittance basis of taxation, whereby those who qualify are only liable for tax on foreign income and gains they bring into the country or they pay a significantly reduced tax rate regardless of their income.

Which EU countries offer non-dom tax programmes?

EU countries including Spain, Greece, Cyprus, and Malta all have non-dom tax programmes, as well as Gold Visa schemes to attract affluent individuals seeking tax efficiency and mobility from all over the world.

Who is eligible for a non-dom tax programme?

Non-dom tax programmes are essentially for non-domiciled individuals seeking tax-efficient residency. They are also perfect for wealthy foreigners and HNWIs, and anyone wanting to make the most of their earnings by making their money go further, whilst seeking tax-efficient solutions.

What are the benefits of a non-dom tax programme?

A non-dom tax programme offers better tax rates for foreigners and investors who want to reside or invest in a specific country. All the EU countries listed above offer a very attractive flat rate tax percentage on earnings over or below a certain amount for non-domiciled taxpayers.

How long can I benefit from a non-dom tax programme?

Many non-dom programmes are valid for anywhere between 5-20 years, however some countries offer individuals the chance to take advantage of a significantly reduced flat tax rate indefinitely.

How do I apply for a non-dom status tax programme?

To apply for a non-dom tax programme, you must first establish residency in a qualifying country by meeting its residency requirements. Then, submit your application to the local tax authority, providing necessary documentation like proof of residency and foreign income details. It’s advisable to consult a legal or tax professional to ensure compliance with specific rules.

Do I need to own property in the country to qualify?

No, owning real estate in any of the abovementioned countries is not a stipulation for qualifying for a non-dom tax programme. Although owning a property over a certain amount may open doors for residency and citizenship schemes as well.

Can I work in the country while under a non-dom programme?

Yes, you can work in the country while under a non-dom programme, as long as your employment aligns with the requirements of the programme. Some countries, like Portugal, allow professionals in certain high-value sectors to benefit from reduced tax rates on income earned within the country.

How do I choose the best country for a non-dom tax programme?

To choose the best country for a non-dom tax programme, consider factors like the country’s tax benefits, residency requirements, and your personal financial situation. Additionally, it is recommended to evaluate quality of life, healthcare, and visa options to ensure the country aligns with both your financial goals and lifestyle preferences.

Is there a minimum income requirement for non-dom programmes?

No – most countries do not have a minimum earning requirement,
however many of them have a flat tax rate contribution, regardless of the amount you earn. So the more you earn, the more you essentially save.

Can I include my family in a non-dom tax programme?

Yes – several EU countries, including Portugal, Malta, Cyprus, Italy, and Greece, allow family members to benefit from non-dom tax programmes.

Do non-dom programmes cover corporate taxes?

Yes – countries like Portugal, Malta, Cyprus, Greece, and Ireland offer tax benefits for businesses, including reduced corporate tax rates and exemptions on foreign income, alongside their non-dom tax programmes.

The information provided is for general guidance only. Astons does not provide tax advice, but can assist with obtaining residency and citizenship through investment under current international programs. For detailed consultation, please contact our specialists.