This guide is for e-commerce companies that sell online via web stores or at marketplaces, to Maltese consumers.
VAT Standard rate
The standard VAT rate in Malta in 2022 is 18%.
VAT Reduced rate
- Accommodation in a hotel or guest house
- Accommodation in any premises, where for the purpose of that accommodation, it is required that the premises be licensed in terms of the Malta Travel & Tourism Act.
- Use of sporting facilities
- Supply of electricity
- Confectionery and other edible items
- Medical Accessories
- Printed Matters
- Certain Items for the exclusive use of the disabled
- Minor repairing of bicycles, shoes and leather goods, clothing and household linen (including mending and alteration)
- Domestic care services such as home help and care of the young, elderly, sick or disabled
- Admission to museums, art exhibitions, concerts and theatres.
- Food for human consumption
- Pharmaceutical products
- Scheduled bus service (tal-linja)
- Domestic inter-island sea passenger transport
- International passenger transport
- Intra-community supplies of goods
See the summary of the EU VAT rates
From the 1st July 2021, the distance selling thresholds were withdrawn and replaced by a unified threshold of EUR10,000 for all EU members.
In other words, VAT should be charged at the VAT rate of the customer’s country of residence by companies whose annual taxable cross-border turnover is over EUR 10,000.
If goods or services were used to make taxable supplies in Malta, VAT in input invoices might be credited. Examples include:
- VAT paid at custom clearance with your EORI number
- VAT paid to Maltese suppliers