2015 VAT amendments to affect the Online Gaming Industry in Malta

On 1 January 2015 the final set of changes introduced by the so-called EU “VAT Package” enters into force. With effect from that date, the place of taxation for Value Added Tax (VAT) purposes of, electronically supplied services, when supplied to non-business customers within the EU, will shift from the country where the provider of […]

Written By ACT Team

On November 10, 2014
"

Read more

On 1 January 2015 the final set of changes introduced by the so-called EU “VAT Package” enters into force. With effect from that date, the place of taxation for Value Added Tax (VAT) purposes of, electronically supplied services, when supplied to non-business customers within the EU, will shift from the country where the provider of the services is established to the Member State where the customer of the services is located.

Electronically supplied services have been defined for VAT purposes to include “games of chance and gambling games”.  Thus with effect from 1 January 2015 the supply of online gambling services by Maltese operators to players located in other EU Member States will be treated as being supplied in the Member State of the customer (i.e. outside Malta). Maltese operators will, as a result, be required to apply the VAT rules as applicable in each of the Member States in which their customers are located. 

How can we help?  

For further information, please contact one of the firm’s tax partners, Stephen Balzan on [email protected] or Elaine Camilleri [email protected]. ACT can help you understand the changes to the tax rules and how these can impact your business.  

Apart from its offices in St. Julian’s Malta, ACT operates from a second office in Gozo, which is situated in the capital city of Victoria.  For an appointment in our Gozo office, please call on 00356 21378672 or send us an email on [email protected].