Following the publication of Legal Notices 84 and 86 of 2026 on April 1, Malta Tax and Customs Administration (MTCA) and the Malta Gaming Authority have announced upcoming enhancements to Malta’s VAT and gaming tax frameworks. The new measures will come into force on October 1, 2026.
The initiative is built on input received from industry stakeholders through transitional consultations. This is in line with the government of Malta’s strategy to grow the long-term sustainability, competitiveness and regulatory clarity of the Gaming Industry, as outlined in the 2026 Budget.
Malta seeks to revise existing VAT Legislation (VAT Act (Chapter 406) and to issue further guidance (through the MTCA) which will clarify the VAT treatment of certain Gambling Services, particularly with respect to Sports Betting but also certain Casino games.
Key updates include:
- Simplified and more balanced gaming tax rates for both land-based and online operators serving players in Malta
Consolidation of the current gaming tax and gaming device levy into a single, streamlined system based on game type and delivery method - The revised framework will apply exclusively to gaming services provided within Malta and is designed to maintain a balanced impact across the sector.
There will also be additional direction regarding how the “place of supply” rules are applied and, in this regard, whether the Tax Position will be based upon the principle of Consumption or effective use of Goods and Services. It is intended that through these reforms operators will have an improved ability to reclaim applicable Input VAT costs, resulting in an efficient and transparent system.
Additionally, the MGA will be amending the existing Tax regulations governing licensing fees via the Tax (Regulations of Gaming) (Subsidiary Legislation 583.10).
MGA’s plan to implement these changes is targeted for October 2026, by which time operators will have ample time to migrate their systems and ensure compliance with the new arrangements. The proposed coordinated reforms are targeted at providing operators with predictability of VAT Treatment, enhancing operational efficiency and Preserving Malta as a premier jurisdiction for Global Gaming.
Source link
