Malta’s Commissioner for Revenue has published an updated version of theNotional Interest Deduction (NID) Guidelines. The update concerns the NID for accounting periods other than 12 months, and includes the following: To further approximate the neutrality between debt and equity financing, an adjustment shall be applied to the NID to remove distortive and disproportionate deductions […]

According to the Tax Justice Network latest Financial Secrecy index Switzerland is the largest tax haven followed by the US.  Third on the list is the Cayman Islands. The US move to second largest tax haven is due to the refusal of the American government to sign the OECD’s Common Reporting Standard. Read more here: […]

Panama which was considered as a “blacklisted” by the EU finance ministers for failing to co-operate with the European Union’s efforts to crack down on tax havens, has signed up to the OECD’s Common Reporting Standard. “By signing the CRS MCAA today, Panama is re-affirming its commitment to the automatic exchange of financial account information, pursuant to the […]

UBO Register for Companies

As of 1st January 2018 all Maltese foundations have a new obligation to identify, record and report their beneficial owners to the Registrar of Legal Persons. A right of access to such new information will also come about.   Which entities must comply? The Regulation applies to all foundations established: as a beneficiary foundation, for […]

The 2018 Malta Budget

On October 9, 2017 the Finance Minister of Malta gave the 2018 Budget speech which did not include any new taxes or tax increases. The salient provisions of the Maltese 2018 Budget are described in our publication titled ‘Summary of the Malta 2018 Budget’.

On October 5, 2017, a legal notice on the Notional Interest Deduction (NID) Rules has been published. These rules introduce a new concept to the Maltese tax system applicable as of year of assessment 2018 whereby the tax treatment of equity is brought in line with the tax treatment of debt. In terms of the […]

New Global Residence Programme Rules

Recent Legal Notice (1st July 2013) with regards to the Maltese Income Tax Act, concerning Global Residence Programme Rules. Legal Notice 167 of 2013

New Global Residence Programme Launched

On 1 June 2013, the Maltese government announced the re-launch of the Permanent Residence Scheme which had been suspended in 2011 and substituted by the highly controversial High Net Worth Individuals (HNWI) Scheme seen by many as too restrictive. The new scheme has been rebranded as the Global Residence Programme. The main tax advantages applicable […]

Amendments to the Maltese Income Tax Act have recently come into effect increasing the scope of the exemption on royalties received from intellectual property rights to trademarks.  Article 12 (1)(v) now provides for an exemption from tax with respect to royalties, advances and similar income derived from : (i) patents in respect of inventions (ii) […]

The Maltese VAT Department has on Friday 26 October 2012 published a set of guidelines on the VAT treatment of aircraft leasing. On the same lines of the guidelines on the leasing of yachts, the Commissioner of VAT determines, in terms of a percentage, the deemed effective use and enjoyment of an aircraft within the […]