This year, Taiwan knocked two-time frontrunner Ecuador off its perch and into third spot. Malta came in second place.
The list ranks 67 countries in total.
For the survey, respondents evaluated destinations across five broad categories: quality of life; ease of settling in; working abroad; family life; and personal finance.
According to the survey results, expats living in Taiwan enjoy the most financial freedom and quality of life (defined as leisure options, personal happiness, travel and transport, health and well-being, safety and security), as satisfied expats helped send the country into the top spot in both categories.
Likewise, the vast majority (93 percent) of expats living in Taiwan expressed general contentment with their new lives.
When it comes to ease of settling into the country, however, Taiwan falls to 10th place, with language barriers cited as a big challenge.
Meanwhile, other movers and shakers on the list this year include Vietnam, which made the biggest leap to rise 24 places to 11th spot, and Uganda, which also rose 20 spots to 25th position.
Both Vietnam and Uganda made big gains in the working abroad index and ease of settling in category.
At the other end of the spectrum, the worst places to live as an expat are Kuwait, Greece and Nigeria.
Expats living in the UAE also expressed growing discontent with their lives abroad, as the Arab Gulf state lost ground across all indices to plummet 21 spots, most noticeably in the working abroad category and cost of living index.
Here are the top 10 expat destinations 2016 according to InterNations:
1. Taiwan
2. Malta
3. Ecuador
4. Mexico
5. New Zealand
6. Costa Rica
7. Australia
8. Austria
9. Luxembourg
10. Czech Republic
-AFP Relaxnews