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Malta VAT Registration: A Guide to VAT in Malta
Understanding your VAT obligations in Malta is essential if your business provides goods or services in Malta or within the EU. Whether you are required to register under Article 10, 11, 11A, 11B or 12 of the Maltese VAT Act, A2CO offers expert support to ensure full compliance with local legislation and EU VAT directives.
We assist businesses in determining their VAT registration requirements, applying for a Maltese VAT number, and monitoring turnover thresholds. Our team ensures that your VAT returns are submitted accurately and on time, helping you avoid penalties and unnecessary administrative burdens. From interpreting reverse charge mechanisms and managing intra community acquisitions to issuing compliant invoices, A2CO provides clear, practical guidance at every step. Our aim is to simplify the complexities of VAT, so you can focus on growing your business with peace of mind.
VAT Rates in Malta
The standard VAT rate in Malta is 18%. Reduced rates of 12%, 7% and 5% apply to specific supplies such as accommodation, electricity, printed material and certain confectionery. Some activities are exempt from VAT, including many financial and healthcare services. Exempt without credit supplies do not give the right to recover input VAT.
Value Added Tax Registration in Malta: Who Needs to Register and Why
Any person or entity, referred to as a taxable person in the VAT Act, conducting an economic activity, including trade, services, or rental income, must register for VAT. This includes individuals, partnerships, and corporate bodies providing goods or services on a regular basis.
Businesses unsure about which registration route applies, can benefit from our VAT Advisory Services. We assess your operations and recommend the most appropriate registration type, whether you’re required to register for VAT under Article 10 (standard), Article 11 (exempt), or Article 12 (non-taxable legal persons).
Categories of VAT Registration
Article 10
Registration under Article 10 of the Maltese VAT Act is required for taxable persons making supplies of goods or services for consideration in Malta, unless the supplies are exempt without credit. Registration must be completed no later than 30 days from the date on which the first taxable supply is made. If a person only provides exempt supplies without credit, registration under Article 10 is not required.
Article 10 is the only VAT registration type that allows the recovery of input VAT on purchases. However, before claiming input VAT, the taxable person must ensure that the economic activity being carried out gives rise to a right of recovery. Where the supplies are not exempt in terms of the Fifth Schedule of the VAT Act (either exempt with credit or exempt without credit), VAT must be charged on any supply deemed to take place in Malta.
Article 10 activity thresholds for compulsory registration are generally €35 000 for services, €30 000 for the sale of goods and €20 000 for other activities.
Characteristics of an Article 10 Vat Number:
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A person registered under Article 10 will be issued a VAT number with the 'MT' prefix.
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They are required to charge VAT on taxable supplies made in Malta and may claim input VAT on purchases that are directly attributable to taxable or exempt-with-credit supplies.
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The person must issue either fiscal receipts in accordance with the Thirteenth Schedule or tax invoices in accordance with the Twelfth Schedule to the VAT Act, depending on the nature of the transaction.
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Periodic VAT returns must be submitted electronically, typically on a quarterly basis, by the 22nd day of the second month following the end of the respective tax period, or as otherwise directed by the Commissioner.
Article 11
Article 11 Domestic Small Enterprise
Registration under Article 11 of the Maltese VAT Act is available to taxable persons whose annual turnover does not exceed €35,000. This regime is intended for small undertakings and provides VAT exemption under specific conditions. The taxable person is not required to charge VAT on their supplies and cannot reclaim input VAT on purchases made in the course or furtherance of their economic activity. In cases where the taxable person solely provides exempt supplies without credit, VAT registration under Article 11 is not required.
Characteristics of an Article 11 Vat Number
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A person registered under Article 11 will be issued a registration number without the ‘MT’ prefix. This number is not valid for intra-Community trade.
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The person must assess whether an additional Article 12 registration is necessary if they engage in intra-Community trade.
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They are required to issue fiscal receipts in accordance with the Thirteenth Schedule to the VAT Act, and not tax invoices as defined under the Twelfth Schedule.
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An annual declaration (simplified tax return) must be submitted by the 15th of February of the following year; however, if submitted electronically by the 22nd of March, no administrative penalties will apply.
Article 11A EU SME Scheme Option
Registration under Article 11A is available to taxable persons established in Malta who qualify as small undertakings under the Sixth Schedule to the VAT Act and wish to participate in the EU SME VAT exemption scheme. To be eligible, the taxable person must have:
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A Union Annual Turnover below the applicable EU threshold in the previous calendar year
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Make supplies in at least one other EU Member State where they are not established,
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Ensure that the value of supplies in that Member State does not exceed the exemption threshold applicable there.
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The VAT number assigned under Article 11A will be the same as that under Article 10 or 11, with the suffix “EX” added.
Article 12
If you are a non-taxable legal person or a taxable person not registered under Article 10, and you make intra-Community acquisitions of goods in Malta, you are required to register for VAT under Article 12 if the total value of such acquisitions during the calendar year exceeds €10,000. Once this threshold is exceeded, VAT must be self-charged in Malta on each subsequent taxable intra-Community acquisition of goods.
In the case of services, if you are a taxable person established in Malta and not registered under Article 10, and you receive services from abroad for which you are liable to account for Maltese VAT under the place of supply rules, you must register for VAT under Article 12. This registration must be completed by the date on which the service is received.
Unlike intra-Community acquisitions of goods, there is no threshold for the acquisition of services. It is important to note that registration under Article 12 does not entitle a person to recover input VAT. Therefore, if a person is entitled to reclaim VAT on such services, they should consider registering under Article 10 instead, which allows for input VAT recovery.
Article 10
Registration under Article 10 of the Maltese VAT Act is required for taxable persons making supplies of goods or services for consideration in Malta, unless the supplies are exempt without credit. Registration must be completed no later than 30 days from the date on which the first taxable supply is made. If a person only provides exempt supplies without credit, registration under Article 10 is not required.
Article 10 is the only VAT registration type that allows the recovery of input VAT on purchases. However, before claiming input VAT, the taxable person must ensure that the economic activity being carried out gives rise to a right of recovery. Where the supplies are not exempt in terms of the Fifth Schedule of the VAT Act (either exempt with credit or exempt without credit), VAT must be charged on any supply deemed to take place in Malta.
Article 10 activity thresholds for compulsory registration are generally €35 000 for services, €30 000 for the sale of goods and €20 000 for other activities.
Characteristics of an Article 10 Vat Number:
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A person registered under Article 10 will be issued a VAT number with the 'MT' prefix.
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They are required to charge VAT on taxable supplies made in Malta and may claim input VAT on purchases that are directly attributable to taxable or exempt-with-credit supplies.
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The person must issue either fiscal receipts in accordance with the Thirteenth Schedule or tax invoices in accordance with the Twelfth Schedule to the VAT Act, depending on the nature of the transaction.
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Periodic VAT returns must be submitted electronically, typically on a quarterly basis, by the 22nd day of the second month following the end of the respective tax period, or as otherwise directed by the Commissioner.
Article 11
Article 11 Domestic Small Enterprise
Registration under Article 11 of the Maltese VAT Act is available to taxable persons whose annual turnover does not exceed €35,000. This regime is intended for small undertakings and provides VAT exemption under specific conditions. The taxable person is not required to charge VAT on their supplies and cannot reclaim input VAT on purchases made in the course or furtherance of their economic activity. In cases where the taxable person solely provides exempt supplies without credit, VAT registration under Article 11 is not required.
Characteristics of an Article 11 Vat Number
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A person registered under Article 11 will be issued a registration number without the ‘MT’ prefix. This number is not valid for intra-Community trade.
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The person must assess whether an additional Article 12 registration is necessary if they engage in intra-Community trade.
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They are required to issue fiscal receipts in accordance with the Thirteenth Schedule to the VAT Act, and not tax invoices as defined under the Twelfth Schedule.
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An annual declaration (simplified tax return) must be submitted by the 15th of February of the following year; however, if submitted electronically by the 22nd of March, no administrative penalties will apply.
Article 11A EU SME Scheme Option
Registration under Article 11A is available to taxable persons established in Malta who qualify as small undertakings under the Sixth Schedule to the VAT Act and wish to participate in the EU SME VAT exemption scheme. To be eligible, the taxable person must have:
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A Union Annual Turnover below the applicable EU threshold in the previous calendar year
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Make supplies in at least one other EU Member State where they are not established,
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Ensure that the value of supplies in that Member State does not exceed the exemption threshold applicable there.
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The VAT number assigned under Article 11A will be the same as that under Article 10 or 11, with the suffix “EX” added.
Article 12
If you are a non-taxable legal person or a taxable person not registered under Article 10, and you make intra-Community acquisitions of goods in Malta, you are required to register for VAT under Article 12 if the total value of such acquisitions during the calendar year exceeds €10,000. Once this threshold is exceeded, VAT must be self-charged in Malta on each subsequent taxable intra-Community acquisition of goods.
In the case of services, if you are a taxable person established in Malta and not registered under Article 10, and you receive services from abroad for which you are liable to account for Maltese VAT under the place of supply rules, you must register for VAT under Article 12. This registration must be completed by the date on which the service is received.
Unlike intra-Community acquisitions of goods, there is no threshold for the acquisition of services. It is important to note that registration under Article 12 does not entitle a person to recover input VAT. Therefore, if a person is entitled to reclaim VAT on such services, they should consider registering under Article 10 instead, which allows for input VAT recovery.
VAT Compliance in Malta: Submissions and VAT Returns
Most businesses registered for VAT in Malta are required to submit quarterly VAT returns. These returns account for VAT collected on sales, VAT paid on purchases, and the net VAT payable or refundable.
Invoices must include the required particulars, such as your VAT number, the VAT rate and the amount of VAT charged where applicable.
All VAT related records and documents must be retained for at least six years.
Through our Accounting and Financial Reporting services, we ensure that VAT returns are prepared accurately, submitted on time, and fully compliant with Maltese regulations. We also offer ongoing monitoring of filing and payment obligations, together with review of threshold limits. Explore our Accounting and Financial Reporting, VAT Advisory, and International Tax Compliance pages for related support.
Changing Your VAT Registration
Change from Article 10 to Article 11
A taxable person registered under Article 10 may request to change their VAT registration to Article 11 only after a minimum of twelve calendar months have passed from the date of their initial registration under Article 10. The Commissioner may accept such a request earlier if the person qualifies for registration under Article 11 and has not claimed any input VAT credits during the period they were registered under Article 10.
Once the twelve month period has passed, and provided that the person meets all the necessary conditions to be classified as a small undertaking, a formal request to switch from Article 10 to Article 11 may be submitted to the Commissioner for Revenue.
Change from Article 11 to Article 10
If a taxable person registered under Article 11 exceeds the domestic threshold of €35 000, they must notify the Commissioner for Revenue without delay, as they no longer qualify for exemption. Once it is evident that the threshold will be exceeded, a mandatory change to Article 10 registration is triggered. This requires the person to begin charging VAT and allows them to claim input VAT subject to the usual rules.
Change from Article 10 to Article 11
A taxable person registered under Article 10 may request to change their VAT registration to Article 11 only after a minimum of twelve calendar months have passed from the date of their initial registration under Article 10. The Commissioner may accept such a request earlier if the person qualifies for registration under Article 11 and has not claimed any input VAT credits during the period they were registered under Article 10.
Once the twelve month period has passed, and provided that the person meets all the necessary conditions to be classified as a small undertaking, a formal request to switch from Article 10 to Article 11 may be submitted to the Commissioner for Revenue.
Change from Article 11 to Article 10
If a taxable person registered under Article 11 exceeds the domestic threshold of €35 000, they must notify the Commissioner for Revenue without delay, as they no longer qualify for exemption. Once it is evident that the threshold will be exceeded, a mandatory change to Article 10 registration is triggered. This requires the person to begin charging VAT and allows them to claim input VAT subject to the usual rules.
Cross Border VAT in Malta: Reverse Charge, OSS, and VAT Refunds for Goods and Services
Intra EU Trade, Declarations and Reverse Charge
If your business is involved in intra EU trade, you are required to submit Recapitulative Declarations to report transactions with other VAT registered businesses in EU Member States. These declarations must be submitted by the fifteenth day of the month following the end of each calendar quarter. Failure to comply will result in a penalty of €50 per month, capped at €600.
Intrastat Declarations may also be required if your arrivals or dispatches of goods with other EU Member States exceed the applicable thresholds. Intrastat is separate from VAT returns and Recapitulative Declarations and focuses on the movement of goods.
In certain cases, the reverse charge mechanism may apply, transferring the VAT liability to the recipient of the goods or services. A2CO provides full support in managing cross border VAT obligations, including cross border VAT structuring and advisory on when reverse charge rules apply.
VAT on Digital Services and Distance Sales: OSS
Businesses supplying digital services to EU consumers, for example software, streaming or e learning, and certain distance sales of goods must comply with destination based VAT rules. The One Stop Shop allows you to declare and pay VAT through a single portal without registering in every Member State.
A2CO helps you evaluate whether the One Stop Shop is required, register when needed, manage quarterly returns, and remain fully compliant. This is ideal for ecommerce, gaming and SaaS businesses with cross border operations. See our Cross Border VAT Support for more information.
VAT Refunds Within the EU
If your business incurs VAT in another EU country (e.g. on travel, accommodation, or trade fairs), you may be entitled to apply for a VAT refund through the EU VAT refund mechanism.
Our team handles the entire refund application process through the appropriate electronic portals, ensuring documentation is complete and deadlines are met. This service is often used alongside our International Tax Compliance offering.
Intra EU Trade, Declarations and Reverse Charge
If your business is involved in intra EU trade, you are required to submit Recapitulative Declarations to report transactions with other VAT registered businesses in EU Member States. These declarations must be submitted by the fifteenth day of the month following the end of each calendar quarter. Failure to comply will result in a penalty of €50 per month, capped at €600.
Intrastat Declarations may also be required if your arrivals or dispatches of goods with other EU Member States exceed the applicable thresholds. Intrastat is separate from VAT returns and Recapitulative Declarations and focuses on the movement of goods.
In certain cases, the reverse charge mechanism may apply, transferring the VAT liability to the recipient of the goods or services. A2CO provides full support in managing cross border VAT obligations, including cross border VAT structuring and advisory on when reverse charge rules apply.
VAT on Digital Services and Distance Sales: OSS
Businesses supplying digital services to EU consumers, for example software, streaming or e learning, and certain distance sales of goods must comply with destination based VAT rules. The One Stop Shop allows you to declare and pay VAT through a single portal without registering in every Member State.
A2CO helps you evaluate whether the One Stop Shop is required, register when needed, manage quarterly returns, and remain fully compliant. This is ideal for ecommerce, gaming and SaaS businesses with cross border operations. See our Cross Border VAT Support for more information.
VAT Refunds Within the EU
If your business incurs VAT in another EU country (e.g. on travel, accommodation, or trade fairs), you may be entitled to apply for a VAT refund through the EU VAT refund mechanism.
Our team handles the entire refund application process through the appropriate electronic portals, ensuring documentation is complete and deadlines are met. This service is often used alongside our International Tax Compliance offering.
Why VAT Compliance Matters
Choosing the correct registration type, invoicing correctly, filing on time and maintaining proper records reduces the risk of penalties and enquiries. It also makes day to day operations smoother, especially if you trade across EU borders.
Our Services
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Guidance on whether you need to register for VAT in Malta
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Support with VAT registration under Article 10, 11, 11A, 11B or 12
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Change of Vat Registration
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Re-activation and De-registration applications
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Applications and submissions to the VAT Department in relation to Vat Returns, Vat Recapitulative Statements and Vat Refunds
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OSS guidance and submissions
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Invoicing advice and correct VAT treatment for goods and services
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Ongoing VAT return preparation
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Help with reverse charge and intra-community reporting
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Compliance support tailored to your business activity and structure
Why Choose A2CO
With deep expertise in Maltese VAT law, EU directives, and local regulations, A2CO acts as a single point of contact for all VAT-related matters, from registration and advisory to cross-border compliance and recovery.
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Deep knowledge of Malta’s VAT Act and EU VAT rules
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Hands-on support through every step of VAT registration
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Change of Vat Experience with EU and non-EU business structures
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Clear guidance on Article 10, 11, and 12 registration types
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Ongoing compliance and reporting support beyond initial setup
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Trusted by startups, SMEs, and international firms operating in Malta
Frequently Asked Questions
To begin the VAT registration process, you must submit an application to the VAT Department and select the appropriate article (10, 11, or 12), based on your activity and turnover.
Failure to register may result in penalties, interest charges, and potential legal enforcement by the VAT Department.
The annual turnover thresholds vary by activity, with €35,000 for service providers, €30,000 for businesses trading in goods, and €14,000 for small undertakings opting for Article 11.
Yes, foreign businesses must register if they make taxable supplies in Malta or conduct intra-community acquisitions. In many cases, a fiscal representative is required.
It typically takes between 10 to 20 working days, depending on how complete and accurate your application and supporting documents are.
