Download our Mobile App on:

Income derived by non-Maltese resident operators from the ownership, leasing or operation of aircraft or aircraft engines used in international aviation business; such as transport of passengers or goods; will not be taxed in Malta unless such income is actually received in a Maltese bank account. This will apply even if the aircraft is registered and/or is operated in/from Malta.

Should any Maltese tax be incurred, this may be eventually lowered to an effective tax rate of 5% through our tax refund system;

Operators who decide to set-up a company in Malta may avail from the highly attractive finance leasing rules which minimise the tax burden considerably. A favourable tax treatment for operating leases is also available.

Malta offers a considerable cash flow advantage by offering accelerated tax depreciation rates for the aviation sector - six years for the aircraft and engines and four years for the interior of the aircraft;

Qualifying companies may also benefit from various tax credit schemes and other incentives offered by Malta Enterprise;

A 0% VAT rate applies in respect to the supply, acquisition, importation, chartering, maintenance, servicing and provisioning of aircraft engaged in commercial operations;

No taxable fringe benefit shall be deemed arising in Malta when an employee or an officer of an employer or a corporate entity whose business activities include the ownership, leasing, or operation of one or more aircraft or aircraft engine/s used for, or employed in, the international transport of passengers or goods.