MALTA - New Regulations for Remote/Online Gaming Licenses

The 2004 Remote Gaming Regulations enable foreign Malta-based gaming companies to operate online casinos, casino-style games, betting exchanges and lotteries.

Four classes of licenses

• Class 1 – Online Gaming License;

• Class 2 – Online betting office license or an online betting exchange office license;

• Class 3 – License to promote and abet gaming from Malta;

• Class 4 – License to host and manage online gaming operators, excluding the licensee himself.

Favourable Tax Regime

The attractiveness of Malta as a venue for remote gaming operations is also due to the tax-friendly environment in which they are allowed to operate:

Online Gaming License - a sum of LM 2000/month in the first six months after the issue of the license & Lm3,000 per month for the entire duration of the of the license period.

Class 4 Remote Gaming licensee, licensee who operates the hosting platform shall not pay any tax for the first six months after the issue of the license, then he pays one thousand Maltese Liri (Lm1,000) per month for the subsequent six months and subsequently two thousand Maltese Liri (Lm2,000) per month for the entire duration of the license.

Licensees operating from the hosting platform - a sum of Lm500/month.

Online Betting Operations - a sum equivalent to 0.5% on gross amounts of bets.

Online Betting Exchanges - a sum equivalent to 0.5% on the sum of all net winnings calculated per player

Pool betting – a sum equivalent to half of one per centum (0.5%) on the aggregate of stakes paid.

Remote gaming operations are well regulated and are carried out through an International Trading Company (ITC) set up for the purpose.  ITCs are subject to the corporate tax rate of 35%.  However, this is effectively reduced to 4.17% as non-resident shareholders are entitled to a rebate of 30.83% of the tax paid on distribution of dividends.

For more info, contact us @ info@malta-tax.com.

See also:

Malta International Trading Companies

Betting on Online Gambling

Contact us for more info about the new Remote Gaming Licenses Regulations