GAMING | Deferral of Gaming Tax and Compliance Contributions
Amidst the COVID-19 pandemic and the various measures announced by the Ministry of Finance, including also deferral of certain VAT and income tax payments, the Malta Gaming Authority has also recognised the challenges that are being faced by operators due to the current international climate resulting from the fight against the spread of this pandemic.
Resulting from the suspension, or cancellation of several sporting events and competitions, the MGA recognises the fact that the revenue streams of licensees that offer betting on the result of such events is and will continue to be affected.
In this light, the Authority has announced the following measures:
A 3-month deferral for the payment of compliance contribution and gaming tax owed to the Authority for revenue generated from activities classified as Type 2 in terms of the Gaming Licence Fees Regulations (S.L. 583.03) for the months of March, April and May 2020;
For licensees that offer solely and exclusively Type 2 gaming services and for whom the payment of the fixed annual licence fee falls due in March, April or May 2020, the payment of such licence fee is also being deferred by 3 months;
In instances where the activity generated from a gaming activity has ceased entirely or dwindled to amounts that do not justify the continued operation of such activity, licensees are also being reminded that in terms of regulation 27 of the Gaming Authorisations Regulations (S.L. 583.05), the authorisation to operate that activity may be voluntarily suspended by the licensee due to the extenuating circumstances brought about by the current pandemic, and then reactivated again when the suspension of major sports leagues is lifted.
Furthermore, Licensees that are facing difficulties due to a sudden, acute liquidity shortage may wish to explore the possibility of accessing financing for their working capital requirements from their bank in line with the guarantees provided by the Malta Development Bank’s COVID-19 Guarantee Scheme.
Should you wish to discuss more or require further information, please get in touch with: