Gaming Tax Reform on Malta’s Agenda for 2026 Fiscal Plan

Looking at its gaming revenue, there is enough evidence to back up this review. Malta has a high participation rate. About 53% of its current adult population is involved in gambling, which is good for the economy.

This is similar to what other countries are doing. In Australia, for example, gambling is already a big part of daily life, with about 65% of adults taking part and spending around €21.7 billion every year. A complete breakdown of Australian online casinos shows the many sites available and the benefits each one offers to players. In terms of taxes, the country’s gambling sector generated about €3.24 billion last year. This kind of revenue only comes when a government sees the value in a sector.

Malta is on its way to developing such a healthy gaming sector. It has one of the most prestigious gaming licences in the world, which attracts global gaming brands. Its current gaming license applies to B2C (business-to-customer) brands that serve the users directly and B2B (business-to-business) brands that provide software solutions for online gaming companies.

Through this gaming framework, the government expects the country’s GDP to grow. The European Commission projects that Malta’s GDP will grow by 4% next year, which is significantly higher than the 0.9% to 1% in other EU member states. The government believes that this growth is possible due to the export of services and the strong demand for products, including betting products, by the local market.

Malta’s economy has benefited largely from its gaming sector, with the Malta Gaming Authority (MGA) reporting that in 2022, the sector contributed a total of €1.5 billion to the country’s economy. In 2024, data from the MGA shows that about €69.5 million was paid in taxes to the government.

As it stands, Malta’s 2026 budget predicts that the government will receive a total of €7.8 billion in taxes compared to the €6.7 billion last year.  €3.5 billion is expected to come from income tax, while €1.8 billion and €1.69 billion will come from social security contributions and VAT collections. With this new gaming tax framework, Malta’s government is looking at new ways to generate more income from value-adding industries like gaming and channel it to the state coffers.

The gaming and betting sector may also benefit from initiatives in the 2026 budget to grow the wider business sector. Some of these initiatives include a 60% investment tax credit, which will give start-ups in technology and entertainment access to better AI technology. This policy is expected to attract more foreign investment and increase competition in the business ecosystem.

Apart from gaming, the Maltese government is investing in finance and tourism, using them as economic pillars to drive growth in its gaming sector and the economy at large. By creating new economic initiatives and aligning them with the gaming sector, Malta is positioning itself to become a hub for digital innovation and online gaming.

Disclaimer: Play responsibly. Players must be over 18. For help visit https://www.rgf.org.mt/