Amendments to the Malta Highly Qualified Persons Rules

John Huber & associates

30 April 2018

Malta has amended the Highly Qualified Persons Rules to provide tax incentives to highly qualified persons who are employed in the Assisted Reproductive Technology sector by virtue of LN 141 of 2018. Embryologist, responsible persons and lead quality managers have now been included in the list of eligible offices which may with effect from year of assessment 2018 be entitled to benefit from these tax incentives. 

The tax incentives which have to date now been granted to employees employed within certain eligible offices in companies in possession of a financial services or a gaming license as well as aviation companies consisted of a flat rate of tax of 15% on the employees’ employment income, provided the said employees are in receipt of an annual employment income of at least Eur75000 (excluding fringe benefits).  Any income in excess of Eur5000000 will not be subject to any tax.  Eligibility for the reduced rate of tax is applicable for 5 years for EU nationals and 4 years for Third Country Nationals. Such individuals may apply for a one-time extension of 5 and 4 years respectively.