Losses incurred in any trade, business, profession or vocation during the year preceding the assessment, which may not be set off against capital gains or income, may be carried forward and set off against total income for any subsequent years in succession.
This provision is especially helpful for start-up businesses, thereby allowing them to amortise their losses over subsequent years.
Group Tax Relief
The Malta Income Tax Act permits tax consolidation and sets forth circumstances in which members of a group of companies may surrender trade (but not capital gains) losses to one another.
Read full article for a more thorough understanding of group tax relief.
Tax Structures can legally mitigate one’s tax liabilities. More information can be provided on request (contact us). For bespoke Income Tax advice, please click here to contact our tax advisors or send us an email on email@example.com