Register for VAT in Malta

Are you supplying, or looking to supply goods to Malta? If your business was not established in the country, you will likely be affected by the EU VAT (Value Added Tax) directive. Whether you are inside or outside the EU, you are likely to have to register for non-resident VAT.

Do I need to register for VAT in Malta?

The circumstances in which you will have to register for Maltese VAT include:

  • Buying and selling goods or services in Malta
  • Selling and shipping goods contained in Malta to buyers outside of Malta
  • Importing goods to Malta from inside the EU
  • Storing goods or other physical property in Malta
  • Selling online goods or services to buyers in Malta*
  • Holding events in Malta with paid admission

* when exceeding Distance Selling thresholds

If your business is currently or potentially affected by any of these factors, you are legally required to appoint a tax representative to register for VAT on your behalf. Contact us for a free consultation on your business’s unique VAT requirements.

What are the VAT rates in Malta?

The standard rate of VAT in Malta is 18%. A 5% or 7% rate of reduced VAT applies to certain products based on specific criteria.

What are the VAT return periods in Malta?

VAT returns must be submitted quarterly, although other periods can apply depending on the tax authority’s dispensation. Returns must be submitted before the 22nd day of the second month following the tax period.

Malta does not require that you submit an annual summarising return.

What is the Distance Selling threshold in Malta?

The distance selling threshold, which determines whether you need to pay VAT for sales to Maltese customers, is €35,000.

What is the Intrastat threshold in Malta?

The Intrastat threshold, which affects the movement of goods between Malta and another EU state, is €700 for both arrivals and dispatches.

What if I sell goods on Amazon?

Many online sellers who are trading via Amazon make use of their Fulilment By Amazon (FBA) service. In order to trade faster and easier across Europe, companies use Amazon to store, pick, pack and deliver your products to the buyer’s local address.

Even though you may think that you’re making sales from you’re home country, Amazon holds the goods locally and the product would therefore be considered as a local sale, and subsequently liable for VAT.

VAT is the responsibility of the seller, not Amazon, and you can face heavy fines for not registering and/or paying VAT.