The COVID-19 pandemic has affected the globe, and it has also impacted the Maltese economy. To help the local community during these trying times, in March and later on in June, the Government of Malta announced a number of fiscal incentives directed to businesses, self-employed, employees, parents and the local community, with most of them being discounted in early June during the transition period.
Our experienced professionals are here to assist you in benefiting from the incentives that are still applicable and are aimed at re-inforcing the Maltese economy. These coronavirus Malta support for business fiscal measurements can be found below:
- A Restart Incentive Scheme will assist enterpreneurs who faced serious challenges by engaging in professional business advisory. The scheme will finance advisory costs up to €5,000 which could be extended to €10,000 to support the implementation phase of the new business initiative. (Updated 27.04.2021)
- Wage Supplement – As of January 2021, the amounts of the wage supplement will be calculated according to drop in sales. This is calculated on VAT declarations through an agreement reached with the VAT department. (Updated 06.01.2020)
- Businesses that had to close down completely in accordance to the legal notices by the Superintendent of Public Health, will continue to receive the wage supplement at the maximum rate. (Updated 06.01.2020)
- A cash grant of €1,000 will be given to businesses that will remain closed beyond 10th May, 2021. (Updated 27.04.2021)
- Cash grants of up to €50,000 and an additional 20% in tax credits to assist companies that invest in sustainably in line with the European Green Deal. (Updated 27.04.2021)
- Micro-invest Tax certificates due for expiry in 2021, 2022 and 2023 will be extended by 3 years respectively i.e. 2024, 2025, 2026. (Updated 27.04.2021)
- The Electricity Support Scheme for businesses and self-employed will be reissued for June-August, to cover 50% of total electricity bills. (Updated 27.04.2021)
- Rent subsidy scheme for businesses will be extended by a further 50% over and above the rent assistance provided in 2020. (Updated 27.04.2021)
- Accommodation premises are to receive rebates related to digital marketing costs spent on advertising targeting tourists. Guest houses and boutique hotels are eligible for up to €1,000 per property, two-star hotels up to €500 per property, and self-catering apartments and licensed hostels up to €250 per property. (Updated 19.04.2021)
- From April 2021 until December 2022, the business tourism industry will receive funding per person for meetings, incentives, conferences and exhibitions organised in Malta. This incentive, payable after that the event is concluded, is eligible for a minimum of 10 attendees staying in Malta for a minimum of 10 days. €75 per person will be given for events where the spend per attendee is between €600 and €800. €150 per person will be given where the spend per attendee exceeds €800. (Updated 19.04.2021)
- Repayment of Tax Deferrals and Moratoria on Bank Loans will be facilitated through prolonged payment schedules and the maturities of loans will lengthen. (Updated 15.09.2020)
- License fees, such as MTA and Commerce Department licenses, will be waived. (Updated 9.06.2020)
- The Malta Development Bank will step in to under-write any bonds which are not sold when these mature. (Updated 9.06.2020)
- A lump sum of €350 given to employers for every full-time employee on quarantine leave.
- Bank guarantees for companies requesting operational loans with low interest rates and longer repayment periods.
- Three-month moratorium from banks for business or personal loans to help individuals and business.
Measures that have been discounted are listed below:
- Over 20,000 enterprises that have been granted the Wage Supplement will be able to apply for a grant of up to €2,500 by submitting their lease agreements. (Updated 15.06.2020)
- A one-time payment will be issued to cover the 5-month period that bars and clubs were shut. Through a scheme by the Malta Tourism Authority, Commercial bars will receive €2,870, Bars forming part of a club will receive €1,860, while Non-Political Clubs will receive €1,260. (Updated 5.02.2021)
- Rent Subsidy Scheme – a rent refund for businesses and self-employed who are tenants (not landlords). Refunds vary from €2,500 up to €7,500. This scheme applies for rental agreements covering the year 2020 and is applicable to those already benefiting from the wage supplement. (Updated 3.09.2020)
- An additional two-month paid leave at the rate of €800 monthly to families where both parents are employed and where teleworking does not apply to any parent, so one parent has to take care of the children – Applicable until end of June
- Postponement of income-tax, VAT and National Insurance contributions until June, of both employers and self-employed
- Employers and self-employed individuals investing in technology that enables teleworking and to partially cover the costs of teleworking solutions, will receive support limited up to €500 per teleworking agreement and €4,000 per undertaking. The grant shall be awarded against 45% of the eligible cost. This call is eligible for costs incurred between 15th of February and 8th May 2020
- Disabled persons who are impaired from performing work from home and are constrained to remain at home due to COVID-19, will received €800 monthly
- Employees who had their full-time employment terminated as of 9th March 2020, including those who were self-employed, as a result of the COVID-19 pandemic will be eligible for the Contributory Unemployment Benefit and will receive a direct payment of €166.15 if work was in full-time before you became unemployed, or €103.85 per week if work was part-time before becoming unemployed.
- Electricity Bill Refund Scheme – a 50% reimbursement for any bill covering partially or fully the months July – September. This is applicable to businesses already benefiting from the wage supplement. Grants vary from €1,500 up to €7,500 depending on the number of outlets and number of employees receiving the supplement. Deadline extended to 30th September.
Last updated: 27.04.2021