- Malta has introduced a new 12% VAT rate as of 1 January 2024.
- The new rate applies to chartering activity under certain circumstances and some other services.
- The 12% rate applies to short-term leases of pleasure boats that do not exceed 5 weeks.
- The reduced rate only applies if the person has not leased the yacht for more than 5 weeks in the previous 12 months.
- If the current lease exceeds 5 weeks, the first 5 weeks will be subject to 12% VAT and the rest will be subject to the standard 18% VAT rate.
Source: marosavat.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
