Malta: Election form for 15% “elective tax”

Election due by November 28, 2025, for year of assessment 2025.

The Malta Tax and Customs Administrations on October 9, 2025, published the election form for the 15% “elective tax.”

The election may be made for income accruing to or derived by the entity in the fiscal year preceding the year of assessment 2025 and subsequent years (i.e., from basis year ending on December 31, 2024). For those companies wishing to apply for the election for year of assessment 2025, the election must be submitted by November 28, 2025.
Once this election is made, the 15% final tax applies for at least five consecutive years, after which the company may apply to revert to taxation under the standard provisions of the Maltese Income Tax Act.
The form must be signed by the director signing on behalf of the company and must be submitted to the Malta Tax and Customs Administrations via the general e-mail address.

Note that Malta elected for the deferred application of the IIR (income inclusion rule) and UTPR (undertaxed profits rule) and only transposed administrative requirements necessary for the functioning of the EU Minimum Tax Directive.

Read an October 2025 report prepared by KPMG’s EU Tax Centre

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Malta: Election form for 15% “elective tax”

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