Personal tax deadlines – 30 April 2020

Deloitte Malta tax alert

24 April 2020

Income from part-time self-employment

Individuals earning income from part-time self-employment may benefit from a flat rate of tax of 15% on the first €12,000 arising from their part-time self-employment activities.

In order to benefit from this tax treatment, the individual must, besides conducting self-employment activities, also be in full time employment or is a pensioner or a full time student/apprentice. The part-time employment must be registered as such with JobsPlus. It must also be VAT registered, where required. The activity must not have more than two employees, themselves also on a part-time basis.

Tax is calculated on the profit rather than on turnover (i.e. revenue less expenses that were directly incurred in the production of the income).

With effect from the year of assessment 2019 (with reference to part-time activities carried on during 2019) individuals opting for this tax treatment are required to prepare and submit the appropriate form (TA22) to the Malta Inland Revenue, together with the tax payment, by no later than the 30th April 2020.  

Rental income

Taxpayers earning rental income in the course of 2019 and who opt to be taxed at a flat rate of 15% must file the appropriate form (TA24) and submit payment by the 30th April, 2020.

Tax is calculated on the gross amount received, without the possibility to claim any deductions.

The option to be taxed at a flat rate of 15% may be availed of both in case of commercial and residential rents, and is open to both individual and corporate taxpayers, whether resident in Malta or not.  

Submission and payment

On the 23rd April, the Office of the Commissioner for Revenue announced that the submission and payment of both TA22 and TA24 for basis year 2019 shall be regulated as follows:

  1. Payments can only be made at Malta Post until the 30th April, 2020.
  2. Payments including interests can continue to be made online after the 30th April, 2020 on the CfR website (TA22, TA24). Interests are automatically calculated by the system when filling in details.
  3. Payments by cheque (payable to the Commissioner for Revenue) after the 30th April, 2020 sent to the office of the Commissioner for Revenue, shall only be accepted if they include the interest incurred. Any cheques received after that date not including interests will be returned to taxpayers to adjust the amount due on the cheque to include interest.
  4. In case of difficulty or to determine the amount of interest incurred, taxpayers are to call 153 for assistance.
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