ARTICLE · 01 NOVEMBER 2024

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Malta Budget 2025

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The Maltese economy, with a growth of 7.5% in 2023 due to net exports, is predicted to maintain its growth with a projected GDP increase of 4.9% in 2024 and 4.3% in 2025.

MaltaTax

Thomas Jacobsen

Malta Budget 2025 Main Announcements

Revised Income Tax Brackets: Changes may result in tax savings between €345 and €675.
Pension Income Tax Exemption: Increasing to 80% of pension income.
OECD's Pillar 2 initiative: Malta continues to defer the implementation.
Highly Qualified Persons Rules (HQPR): The rules will apply to back-office services.
Immovable Property: Various fiscal benefits will be continued.
Startup and innovation: Malta's financial services industry will be strengthened by new legislation aimed at promoting fintech, AI, family offices, aircraft leasing and rules on Limited Partnerships.
Adjustment for Cost of Living Allowance (COLA): Set at €5.24 weekly.

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