Malta Gaming Taxation & Fees

Application and annual licence fees

The MGA publishes a €5,000 non-refundable licence application fee. The recurring amount then depends on the route and category.

Source: MGA Licence Fees and Taxation guidance, December 2024 version. Annual licence fees are payable in advance. Its gaming-tax section still shows the old 5% rate; current rates come from Legal Notice 84 of 2026.

The separate B2B application instructions identify €10,000 for suppliers providing solely Type 4 gaming supplies. Selling software does not by itself put a business in either category. Confirm the supply scope and fee category before you rely on either.

For that classification work, use the Malta B2B critical gaming supply assessment.

How the B2C compliance contribution works

The compliance contribution is separate from the fixed licence fee and gaming tax. It uses the applicable gaming-revenue schedule, with different bands, minimums and caps by type.

For the exact revenue basis, use the MGA Directive on the Calculation of Compliance Contribution together with the applicable fee schedule. Reconcile the regulatory gaming-revenue figure with the ledger before applying a rate: accounting revenue or total wagers may produce the wrong result.

Example for an established Type 1 operator

Assume €1 million of relevant annual gaming revenue, only Type 1 activity, a complete ordinary year, and no startup relief or other adjustments. The first Type 1 band is 1.25% on the first €3 million.

€1,000,000 × 1.25% = €12,500. As this is below the ordinary €15,000 minimum, the example uses €15,000 for the annual contribution. The figure excludes the fixed fee, gaming tax, VAT and operating costs.

New operators and qualifying startups are different

The guidance distinguishes relief from the full minimum during a new operator's first financial year from the 12-month contribution moratorium available to qualifying startup undertakings. A new company is not automatically a qualifying startup.

Before including relief, document the eligibility decision, start date, covered period and affected charge. Run an ordinary-cost case as well. Neither relief covers licence fees, taxes or service-provider costs.

Gaming tax from 1 October 2026

Legal Notice 84 of 2026 amended the Gaming Tax Regulations with effect from 1 October 2026. For qualifying gaming services, the rates are 15% for Type 1 and 10% for Types 2, 3 and 4. Qualifying controlled-premises and lawful-junket activities have a 5% exception.

The territorial test matters as much as the percentage. The general rule addresses a player physically present in Malta; for services provided solely by distance communication, the test is whether the player is established, has a permanent address or usually resides in Malta. Apply the rule to the actual mode of supply.

For illustration, €100,000 of Type 1 gaming revenue wholly within the applicable Malta tax base produces €15,000 at 15%. Revenue outside that base stays out of the calculation.

Studio broadcasting levy

The same amendment introduces a €3,000 levy payable in advance for each 12-month period by an authorised critical gaming supplier using premises as a studio to film or broadcast a gaming service. Assess it separately where that activity exists. Not taking player bets does not exempt a studio supplier from it.

VAT requires a separate product and location analysis

Legal Notice 86 of 2026 changed the statutory exemption from 1 October 2026. The MTCA guidelines effective from that date identify approved exempt supplies: defined low-risk games, qualifying occasional junket events and specified physically accessed betting facilities at the real-life event itself.

Classify the product, establish the place of supply, then determine the applicable VAT treatment and recovery of input tax. Losing an exemption does not mean every customer transaction becomes a Maltese VAT liability regardless of customer location or supply model.

Prepare a VAT worksheet covering customer status and location, product, supply method, exemption basis, output-tax treatment and recoverable input costs. Keep mixed activities separate so that an assumed recovery benefit does not conceal costs attributable to exempt supplies.

Corporate income tax is not the gaming-tax rate

MTCA's company income-tax guidance states a 35% rate on net chargeable income. This is a profit-based calculation, separate from gaming revenue and licence charges.

Do not insert an unconditional 5% effective rate into a licensing forecast. Any shareholder-refund scenario needs its own assessment of the income, shareholder entitlement, distribution, claims and timing. Model the company's tax payment and any subsequent refund cash flow separately rather than treating a possible net outcome as an upfront rate reduction.

Also identify obligations in the countries where the business operates or supplies customers. Neither the MGA authorisation nor a Malta tax outcome settles those liabilities.

Build the first-year cash plan

For a new standard B2C applicant, the first two fee lines are the €5,000 application fee and the €25,000 annual licence fee. A standard B2B applicant in the lowest revenue band pays the same two amounts, but its other obligations differ. Neither pair covers the compliance contribution, taxes, capital, audit or professional costs.

Build the rest of the cash plan in this order:

• Confirm the route and fee category.

• Add the applicable contribution and tax calculations using separate revenue bases.

• Set the capital requirement and operating runway beside the expense budget.

• Obtain quotes for audit, technology, corporate work and professional support.

• Price the staffing arrangement, including relevant MGA key function appointments.

• Schedule payments and receipts by month, including any conditional tax-refund assumptions.

Capital can fund working capital, as long as the company keeps a positive equity position. Count it once, as cash invested, not again as an expense. Minimum capital will not necessarily cover forecast losses.

What if the business uses a Recognition Notice?

An MGA Recognition Notice has its own annual cycle. MGA instructions state an annual €5,000 fee payable in advance and request payment evidence with the application. Check the invoice and the period it covers before you budget two €5,000 charges for the first year.

Recognition does not decide which full-licence charges or Maltese taxes apply. Review the recognised activity, certificate conditions and tax position separately.

For a tailored budget, send MGL the proposed activities, revenue split, customer markets, existing licences, staffing plan and intended launch date. Request a Malta fee and cost assessment with assumptions and third-party exclusions stated alongside the figures.