13.10.2020
Malta is renowned as a leading jurisdiction for the regulation of iGaming. Companies incorporated in Malta receive fiscal incentives such as refunds on dividends, double taxation relief as well as reduced rates of income tax on personal income. All this makes Malta more attractive for iGaming businesses to settle in.
In order to be eligible to apply for an iGaming license with the Malta Gaming Authority (MGA), there are a number of criteria that should be satisfied. These include that the company has to be registered in Malta, pass due diligence checks, as well as, demonstrate business, financial and technical ability to carry out the gaming operation successfully, among others.
Moreover, the applicant company has to decide what type of gaming activities it will provide. In this respect, there are four types of iGaming licenses in Malta that companies have to choose from, and these are divided into four classes. If a company applies for more than one class listed in the below table, it will be required to maintain a miminum paid-up share capital of €240,000 cumulatively.
| Class 1 involves: | Class 2 involves: | Class 3 involves: | Class 4 involves: |
| Repetitive games, the result of which depend on random number generation. | Bets on events based on a matchbook. | Promotion and/or betting games against a commission. | Hosting and management of gaming operators. |
| Minimum issued share capital: €100,000 | Minimum issued share capital: €100,000 | Minimum issued share capital: €40,000 | Minimum issued share capital: €40,000 |
Once all required documentation is submitted to MGA, this will carry out an in-depth analysis to decide whether the company is fit and proper to conduct the business.
If the applicant company will be approved to run gaming business activity in Malta, there are also other requirements in order to maintain the license. For instance, the company has to appoint at least one Key Official approved by the MGA as a Director.
If you are interested in submitting an iGaming license application and you require more information about the process mentioned briefly in this article, get in touch directly with Ms Joceline Caruana on jcaruana@fairwindsmanagement.net
