Malta Gaming Tax Overhaul: Key Dates and Rates

Malta’s updated gaming tax and VAT framework took effect on October 1, 2026, introducing revised rates, a consolidated tax structure, and new filing procedures for licensed operators. The changes are intended to make the treatment of gaming activities more predictable while aligning taxation with the type of game and how it reaches players in Malta.

Four Gaming Categories Now Determine the Tax Rate

The revised system applies tax to aggregate gaming revenue generated from qualifying services supplied to players present in Malta. Each activity falls into one of four classifications, with Type 1 services carrying the highest rate.

Gaming category	Typical activities	Tax rate
Type 1	Casino-style games, lotteries and random-generator games played against the house	15%
Type 2	House-banked betting on events or competitions using operator-set odds	10%
Type 3	Commission-based products, including poker, bingo and betting exchanges	10%
Type 4	Controlled skill-based games	10%

Gaming conducted at controlled premises continues to attract a 5% rate. The same rate remains applicable to junkets and junket events, preserving a separate treatment for those activities.

Gaming Tax and Device Levy Are Now Combined

One of the central changes is the replacement of the previous two-part approach. The former gaming tax and gaming device levy have been brought together within a single gaming tax framework, removing the need to calculate separate charges for the same operation.

Classification now depends on both the game type and the manner in which the service is offered. This gives operators one primary structure to apply when assessing qualifying gaming revenue, rather than requiring parallel treatment under separate charges.

• Type 1 services are taxed at 15%.
• Types 2, 3 and 4 are taxed at 10%.
• Controlled premises, junkets and junket events retain the 5% rate.
• The gaming device levy is no longer applied as a separate charge.

VAT Treatment Expands for Selected Gambling Services

Legal Notice 86 of 2026 also narrows the scope of Malta’s gambling VAT exemption. From October 1, a broader range of gambling supplies may fall within the Maltese VAT system rather than remaining exempt without credit.

The updated framework addresses services such as sports betting, live casino and certain other gambling products. It also affects business-to-business providers and clarifies when operators may recover eligible input VAT costs.

Place-of-supply rules form another important part of the changes. These provisions help determine where a gaming service is considered supplied, which in turn affects the relevant VAT treatment and an operator’s compliance obligations.

Reporting Changes Begin with the October Return

The transition uses two consecutive reporting regimes. Returns for September 2026 remain subject to the former requirements and must be filed by October 20, 2026. The regulatory Portal continues to accept those submissions using the rules applicable to the September period.

The updated Portal functionality is scheduled to become available by November 1, 2026. The first return prepared under the revised framework will cover October activity and must be submitted by November 20, 2026.

1. File the September 2026 return under the previous regime by October 20.
2. Review the updated Portal when the new functionality becomes available on November 1.
3. Apply the revised tax and VAT requirements to October activity.
4. Submit the first new-regime return by November 20.

What Operators Should Review Before Filing

Licensed operators should update their internal classifications, revenue calculations and VAT procedures before preparing the October return. Particular attention is needed where an operator offers more than one gaming category or supplies services to players in different locations.

The Malta Tax and Customs Administration and the Malta Gaming Authority are expected to continue providing transition guidance. Their instructions will be especially relevant while operators move from the previous reporting process to the updated Portal.

Overall, the reforms create a category-based tax model, raise the rate for Type 1 activities to 15%, maintain 10% taxation for Types 2 through 4, and preserve the 5% treatment for controlled premises and junkets. The combined gaming tax structure and revised VAT rules give Malta-licensed operators a clearer framework, but the October reporting transition makes accurate classification and deadline management essential.