- On 11 December 2018, the provisions of the European Union Anti-Tax Avoidance Directive (ATAD) were transposed into Maltese tax law. The key components of ATAD are:
- Interest deduction limitation rules
- General anti-abuse rule (GAAR)
- Controlled foreign company (CFC) rules
- Exit tax
The first three rules are effective on 1 January 2019, whereas exit taxes will come into force on 1 January 2020.
- Applications for VAT Grouping are now being accepted by the VAT Department. VAT Grouping is a tool used to prevent having irrecoverable VAT on charges on intra-group transactions. Through VAT Grouping, two or more legal persons established in Malta for VAT purposes apply to be registered as a single taxable person.
- The reduced rate of duty of 1.5% has been extended to 31 December 2019. This rate applies to donations of securities and immovable property to family members.
- The partial exemption on the acquisition of the second immovable property to be used as a sole residence has been extended to 31 December 2019.