Determining whether a natural person (individual, sole proprietor, or self-employed person) is a tax resident in the Republic of Albania is important for calculating their tax obligations on income earned within and outside Albania.
A natural person is considered an Albanian tax resident if they meet one of the following conditions:
A permanent residence means a dwelling that the individual owns, has rented for at least six months, or has inherited and uses for a long period. If the individual has permanent homes in two or more countries, tax residency is determined by where their centre of vital interests is.
A person is tax resident in Albania if they stay in Albania for over 183 days during the tax year, including days of arrival, departure, and holidays.
Consular or diplomatic officials appointed abroad by the Albanian state are considered Albanian tax residents even if they live outside Albania.
A person has their centre of vital interests in Albania if they have significant personal and economic connections in Albania — for example, family, business, or investments.
If tax residency cannot be determined by the above criteria, it is decided according to relevant international treaties or agreements that Albania has signed.