Insights

Bill 155 of 2025, the Budget Act Implementation Bill published on the 28 th  October 2025, introduces the following changes to the Income Tax Act and the VAT Act: Income Tax Act The proposed changes to the Income Tax Act relate only to the changes in the personal tax rates, with a twist . Married tax rates Contrary to what was indicated and understood in the budget speech, the bill suggests that the married rates are being updated to the following (even without any children a

On the 28th October, the Ministry of Finance, Clyde Caruana, delivered his Budget Speech for 2026 including the Malta Government's strategic vision for the upcoming year. This budget introduces a blend of social, environmental and economic measures intended to enhance Malta's economic position.  ​ This Budget saw major policy and fiscal updates aimed at families and parents, introducing new income tax brackets for families with either one or two (or more) children, extensivel

Over the past decade, Environmental, Social and Governance (ESG) has moved from a niche consideration to a mainstream business imperative. Companies now know that investors, clients, and regulators want more than just financial performance; they expect genuine commitments to sustainability. Yet, with ESG becoming a powerful marketing tool, the temptation to exaggerate or misrepresent environmental and social credentials has grown. This is where “greenwashing” enters the pictu

On the 17th October 2025, a new optional fiscal incentive applicable to specific employment income was introduced through legal notice 250 of 2025: the Senior Employees of Family Offices, Back Offices and Treasury Management Operations Tax Rules, 2025, providing for a reduced 15% tax rate on certain qualifying employment income. The rules apply with effect from year of assessment 2026 (income derived after 1st January 2025).

Traditional traders and investors in crypto assets aim to derive a return from the crypto world through straightforward acquisition and sale transactions. However, there are persons (individuals but also entities) who aim to derive returns from their crypto assets through more innovative mechanisms, such as providing liquidity in liquidity pools and staking.  

The emergence of cryptocurrencies and digital assets has transformed financial markets, driven by technological advancements and the need for decentralization.

The rapid globalisation and digitalisation of the economy have fundamentally altered how businesses operate, often to the detriment of traditional tax systems. Multinational enterprises (MNEs), leveraging the ability to move capital and profits across borders, have utilised gaps in tax rules to shift profits to low-tax jurisdictions. This practice, known as Base Erosion and Profit Shifting (BEPS), has led to significant tax revenue losses for governments worldwide, particular

The manner in which transactions in crypto assets are brought to tax in different jurisdictions often offers opportunities for individuals and corporates alike, to structure their position to obtain desired tax outcomes. On the other hand, the way tax authorities in different countries treat crypto transactions can be confusing and can lead to a minefield that one needs to navigate to avoid unpleasant tax positions.

Fringe benefits, also referred to as payments-in-kind, encompass any benefit granted or considered to be granted due to an individual's employment or office. The circumstances regarded as fringe benefits, along with the method for valuing such benefits, are governed by the provisions set out in ‘The Fringe Benefits Rules’ under Subsidiary Legislation 123.55 (commonly known as the "FBR").

On the 11th September, AG Kokott delivered its opinion in the Lithuanian case involving the trading of in-game currencies, specifically Runescape gold.

On 11th September 2025, the AG issued its opinion on VAT cases that could have had an impact on how point systems (used a lot by supermarkets) are presently treated for VAT purposes:

In any business, the relationship between shareholders and the company is more than just financial—it’s structural. Shareholders influence key decisions, help shape corporate strategy, and play a vital role in holding management accountable.

Accounting has recently undergone a major transformation, the digital transformation. Once known for paper ledgers, spreadsheets, and manual processes, the field is now embracing automation, artificial intelligence, and real-time data tools. This is not just changing how accountants work, it's reshaping how businesses operate and make financial decisions.

On 4th August 2025, the European Supervisory Authorities (ESAs) published JC 2023 18, a fully consolidated Q&A on the Sustainable Finance Disclosure Regulation (SFDR) and its Delegated Regulation. Bringing together over 80 Q&As from both the European Commission and the ESAs, the document clarifies long-standing grey areas and sets a stricter tone on data, definitions, and disclosures.

In July 2025, Residency Malta Agency issued an important update regarding the Malta Permanent Residency Programme (MPRP). The clarifications cover essential aspects of eligibility, financial documentation, property requirements, and compliance. For applicants and licensed agents alike, the message is clear: expectations are rising, and transparency is non-negotiable.

In January 2025, the Maltese government published a revised Labour Migration Policy aimed at better aligning Malta’s economic priorities with its workforce requirements.

In a recent address to Parliament, Finance Minister Clyde Caruana announced a significant crackdown on tax evasion in Malta. Backed by new legislation and enhanced enforcement tools, the government is taking an uncompromising stance on non-compliance, with Caruana warning that the government will come down on tax evaders “like a ton of bricks.”