Malta’s Tax and Customs Administration has issued guidelines on 6 April 2026 clarifying the scope of the VAT exemption without credit for gambling supplies under item 9 of Part Two of the Fifth Schedule to the VAT Act, applicable from 1 October 2026, and setting out the approved categories of betting, lotteries and gambling activities.

RF Report

Malta’s Tax and Customs Administration has issued guidelines on 6 April 2026 setting out updates to the VAT and gaming tax frameworks for the gaming sector, with changes entering into force on 1 October 2026. The measures include a clarified scope of the VAT exemption without credit for gambling supplies.

The guidelines, issued by the Commissioner for Tax and Customs (CfTC) under article 75(2) of the VAT Act (Chapter 406, Laws of Malta), explain the application of the exemption contained in item 9 of Part Two of the Fifth Schedule to the Value Added Tax Act. That provision covers an exemption without credit for the supply of “Betting, lotteries and other forms of gambling, as may be approved by the Minister.”

Under the updated interpretation, the CfTC confirms that the VAT exemption without credit applies only to gambling activities approved by the Minister, including:

  1. Low risk games as defined in the Fifth Schedule to the Gaming Authorisations Regulations (Subsidiary Legislation 583.05 or SL583.05);
  2. Junket events approved under the Gaming Authorisations Regulations (SL583.05), provided they are held on an occasional basis and are not organised routinely, taking into account their scale and organisational requirements;
  3. The provision of facilities for gambling on the outcome of a real-life event, accessible only at the location where the event takes place, including services of book makers, betting exchanges and equivalent facilities. The term “event” refers to a sporting event or competition.

The guidelines specify that they replace and supersede previously applicable guidance on the same matter with effect from 1 October 2026.

Earlier, Malta issued the Gaming Tax (Amendment) Regulations, 2026 (Legal Notice 84 of 2026), published in the Government Gazette No. 21,615 on 1 April 2026.