20230601-KPMG_Global-Malta_–_New_Legislation_Implements_Budget_Measures_5页_297kb

报告摘要

Summary: Changes to Personal Income Tax (PIT) Allowances and Tax Rates - Malta (Effective as of 2023)

Overview

Effective from 1 January 2023, Malta has significant adjustments to Personal Income Tax (PIT) allowances and rates. The changes primarily affect individuals, families, and property owners, with variations based on income thresholds and residency status.

Key Changes:

Personal Allowances:
- Standard Tax Allowance increased to €324,404 for singles and €648,808 for married couples.
- Basic Allowance for a child is set at €300 per child, up from €100.
- Children’s Allowance of €90 per child remains applicable for income below €60,000.
Property Taxes:
- Imposition of tax on capital gains from property transactions following VAT changes.
- Property Transfer Tax (PTT) rates for inheritance vary based on valuation thresholds (starting at €14,320 to €22,500).
- Replacement tax rate for acquired property set at 0.3% per €100 or part thereof (up from lower rates previously).
Deductions and Incentives:
- Enhanced deductions for apprenticeship training costs.
- Specifically revised tax rates apply to “Property-In-cash” transfers.
- Reductions on domestic property taxes for plot alterations and volume increases.

Impact on Tax Liability:

Overall lower effective tax rates apply, especially for low-to-medium income earners.
Property transactions are more fully taxed, while personal allowances and deductions are expanded.
Changes aim to balance revenue collection with social protection and fiscal incentives for families/businesses.

Effective from:

1 January 2023 onwards.

Targeted Groups:

Families with low or medium incomes benefit from increased allowances.
Taxpayers engaging in real estate transactions face recalibrated tax thresholds.
Employers and individuals availing training support find expanded provisions.