1 Basic framework
1.1 Is there a single tax regime or is the regime multi-level
(eg, federal, state, city)?
Malta has a single tax regime, regulated mainly by:
- the Income Tax Act, Cap 123; and
- the Income Tax Management Act, Cap 372.
The regime is administered by the commissioner for tax and
customs.
1.2 What taxes (and rates) apply to corporate entities which
are tax resident in your jurisdiction?
Corporate entities (and other persons) are subject to taxes
on:
- all income;
- certain capital gains; and
- the transfer value of immovable property situated in
Malta.
The generally applicable tax rate for corporate entities in
Malta is 35%. This applies to most types of income and capital
gains chargeable to tax. The tax rate applicable to the transfer
value of immovable property situated in Malta is 12% in most cases
but can be reduced to 10% or 7% in certain circumstances.
