domicile.wiki

Malawi

Taxes, residence and daily life for people moving to Malawi: for a wealthy family, an expat employee and a remote worker. Researched .

Open Malawi in the interactive guide

At a glance

For an EU-citizen family of five living off a €30M portfolio, the guide's default reader. The interactive guide recomputes everything for other passports and situations.

Score for a wealthy family
47 / 100
Tax on a €30M portfolio
€171,267 a year
Wealth tax
none
Children inherit
taxed
EU member
no
Currency
MWK
Capital
Lilongwe

Tax on investments, inheritance and wealth

Malawi taxes residents only on Malawi-source income, so foreign dividends and gains on foreign securities are untaxed; Malawian dividends bear a final 10% WHT and Malawian capital gains are taxed as income at up to 40% (Malawi Stock Exchange shares held over a year are exempt). There is no wealth tax. Malawi still has an estate duty: graduated rates reach 10% of the whole estate above MWK 100 million, and foreign movables are included when the deceased was domiciled in Malawi. Most figures rest on professional summaries and a 2017 statute consolidation; confidence is medium to low.

Inheritance law and trusts

There is no forced heirship: the Deceased Estates (Wills, Inheritance and Protection) Act 2011 lets a person make a will, but a court can award provision to immediate family not adequately provided for. The Act overrides customary inheritance rules. Trusts and foundations were not sourced.

Daily life, scored out of 100

From public indicators (World Bank, UNDP, Transparency International and others); higher is better.

MeasureScore
Political and institutional stability42
Corruption and government integrity35
Legal system and property rights48
Healthcare quality and access32
Education quality20
Human development and quality of life3
Infrastructure and connectivity29
Business opportunities and economy19
Cultural fit and lifestyle16

Research notes

Malawi — family-office tax dossier

Last reviewed: 2026-10-15 Tax year: 2026/27 Reviewer: research agent (Claude), unreviewed by a tax adviser

Summary

Malawi taxes residents only on Malawi-source income, so foreign dividends and gains on foreign securities are untaxed; Malawian dividends bear a final 10% WHT and Malawian capital gains are taxed as income at up to 40% (Malawi Stock Exchange shares held over a year are exempt). There is no wealth tax. Malawi still has an estate duty: graduated rates reach 10% of the whole estate above MWK 100 million, and foreign movables are included when the deceased was domiciled in Malawi. Most figures rest on professional summaries and a 2017 statute consolidation; confidence is medium to low.

US citizens: US citizens remain fully US-taxed on worldwide income; Malawi's exemption of foreign-source income leaves the US layer as the main income tax. Malawi estate duty could apply alongside US estate tax (no estate tax treaty).

Residence and eligibility

Resident if physically present for an aggregate 183 days in any 12-month period (EY 2026), or, per PwC (2024), if resident or intending to reside for at least 183 days in a year, or holding a business residence, employment or temporary residence permit. The tax year runs 1 April to 31 March.

Capital gains

Standard regime

Capital gains of individuals are included in assessable income and taxed at the progressive rates (top 40% from 2026). The gain is proceeds less cost indexed by the consumer price index. Gains on shares listed on the Malawi Stock Exchange held for more than one year are not taxable, nor are gains on the principal residence or on personal assets. Malawi taxes only Malawi-source income and exempts foreign-source income, so gains on foreign securities are not taxed.

Dividends

Standard regime

Dividends paid by Malawian companies bear a final 10% withholding tax for resident individuals. Foreign dividends are foreign-source income and are not taxed in Malawi.

Inheritance and gifts to children

Standard regime

Estate duty under the Estate Duty Act (Cap. 43:02) is levied on the principal value of the deceased's estate at graduated rates: nil up to MWK 20 million, then 4% rising to 10% above MWK 100 million, with the rate of the band reached applying to the whole estate (marginal relief at band edges). Gifts made within three years of death are added back. There is no separate gift tax. For an estate of this size the charge is effectively 10% of the estate.

Surviving spouse: No spousal exemption: the whole estate is dutiable on the graduated scale whoever inherits; the Act's only spousal mention is a discretionary remission of up to half the duty where death was caused by war operations (Estate Duty Act Cap. 43:02, s. 7).

Wealth tax

Standard regime

No net wealth or net worth tax.

Special regimes

None modelled; see Residence and eligibility.

Company taxation (kept separate from personal tax)

Headline CIT rate: 30% (0.3). 30% CIT for Malawian-incorporated companies, plus an additional 10% on taxable income above MWK 10 billion (EY); branches 35% per older summaries (not re-checked). 10% WHT on dividends. Special zones/regimes: Export allowances and investment allowances for manufacturing (not researched in detail).

Cost of living notes

Not researched in this pass: no cost item could be sourced quickly from an agency report, school fee page or comparable source, so cost_of_living is omitted.

Open questions

Sources

Change log

Residence and succession sources

Tax sources are cited in the research notes above.