Malta to streamline igaming tax framework
Gambling companies in Malta will see changes to VAT and gaming tax later this year.
Malta.- The Malta Tax and Customs Administration (MTCA) and the Malta Gaming Authority (MGA) have announced changes in the country’s value-added tax (VAT) and gaming tax frameworks. The reforms will come into effect from October 1, 2026.
Formalised under Legal Notices 84 and 86 of 2026, the changes are intended to create a clearer and more predictable tax framework for operators, while reinforcing Malta’s competitiveness and long-term attractiveness as an igaming jurisdiction, the MGA said.
Regarding value-added tax, the VAT Act (Cap. 406 of the Laws of Malta) will be amended to clarify the scope of the existing VAT exemption for gambling suppliers, particularly in relation to sports betting and certain casino offerings. This will include adding guidance on how place of supply rules apply for such offerings.
The MGA said the aim was to ensure that the principle of taxation at the place of consumption is adequately reflected. The delimitation of the exemption will lead to a “natural right of recovery of eligible input VAT costs, providing for a fair and simple mechanism for the protection of the neutrality of VAT for gaming operators,” the regulator said of the change, which was confirmed following consultation with the industry.
Meanwhile, Malta’s gaming tax framework is also being amended under the Gaming Tax Regulations (Subsidiary Legislation 583.10) issued under the Gaming Act (Cap. 583 of the Laws of Malta). According to the MGA, the main changes include simplified and equitable gaming tax rates for both land-based and online operators when offering qualifying gaming activities to players present in Malta and consolidation of the existing gaming tax and gaming device levy into a single, streamlined gaming tax structure classified according to game type and mode of offer.
“This reconfiguration of the gaming tax framework is specifically designed to ensure a well-balanced overall impact on Malta’s gaming services sector, and shall apply exclusively to gaming services provided within the territory of Malta,” the MGA said.
It added: “Taken together, these coordinated reforms represent a measured and forward‑looking policy response that strengthens Malta’s fiscal resilience, regulatory clarity and international standing as a leading gaming jurisdiction. They provide operators with greater certainty and efficiency, while ensuring Malta remains a stable and competitive base for gaming businesses.”
The regulators intend to provide guidance in due course to support implementation and ensure clarity.
Meanwhile, the government is evaluating the possible regulation of prediction platforms in Malta. Economy Minister Silvio Schembri has said that the country is considering the creation of a dedicated regulatory framework for the sector in a bid to resolve the question of whether the format should be considered as gambling or financial. He described the sector as having strong global momentum and significant potential for innovation.
