In an effort to support and foster the growth of small and medium-sized enterprises (SMEs) and self-employed individuals, Malta Enterprise introduced the MicroInvest Scheme. This initiative aims to empower micro-enterprises by providing them with a tax credit based on their eligible investments. With the goal of facilitating business expansion and improvement, the MicroInvest Scheme has become a valuable tool for entrepreneurs in Malta since many years.

The heart of the MicroInvest Scheme lies in its capacity to reward businesses that invest in their future. The following are examples of the types of investments that qualify for this tax credit:

  • Costs in relation to furbishing, refurbishing and upgrading of business premises.
  • Investments in purchasing of machinery, technology, instruments and motor vehicles.
  • Investments in purchasing of computer hardware, software and other ICT equipment.
  • Recruitment of employees claiming tax credit for the first 12 months of their employment.
  • Development and renovation of websites.

To participate in the MicroInvest Scheme, businesses and self-employed individuals must meet certain criteria. These criteria are designed to ensure that the tax credits are directed toward entities that genuinely need and can benefit from this support. The eligibility criteria include:

  • Enterprises which did not employ more than 30 employees
  • Enterprises whose turnover did not exceed €10m during the year in which costs were incurred
  • The undertakings should be registered with the VAT department
  • The undertaking should have the applicable regulatory licenses and permits
  • Applicants must not be defaulting in VAT, income tax, social security and rent payments to government
  • Applicants must employ at least one employee at the date of application (this person may be the applicant himself in case of self-employed person)
  • Self-employed persons are also eligible for this scheme as long as they meet the employees and turnover threshold.

It’s good to know that the MicroInvest Scheme extends its benefits to self-employed individuals who meet the criteria, making it a valuable resource for those who work independently and aspire to grow their business.

The core incentive of the MicroInvest Scheme is the tax credit itself. Businesses and self-employed individuals that meet the eligibility requirements can receive a tax credit equivalent to 45% of their eligible expenditure. This credit can be claimed for investments up to a maximum of €30,000.

The Malta Enterprise MicroInvest Scheme is a support for small businesses and self-employed individuals in Malta. By offering substantial tax credits for a wide range of eligible investments, this program empowers micro-enterprises to invest, expand, and improve their operations. Through the scheme’s inclusive nature and stringent eligibility criteria, it ensures that these benefits are directed toward entities genuinely committed to growth. As Malta continues to foster a thriving entrepreneurial ecosystem, the MicroInvest Scheme plays a pivotal role in shaping the future of its micro-businesses and self-employed professionals.

Our team can assist you with all the aspects of the application process. Get in touch with us today and follow this page for more information: https://accountingservices.com.mt/services/microinvest-scheme/.

Fairwinds Management Limited is a MFSA licensed firm offering Business Solutions in Malta. As part of our services, we offer Accounting, Administration, Corporate and Legal solutions.  Fairwinds Management also manages the brand Accounting Services. More information about us and our key services please visit our website. You may reach Fairwinds Management on +356 2704 0903 or info@fairwindsmanagement.net.

Article written by Ms Charlene Sciberras, B.A. (Hons), guest writer, a marketing and business administration specialist with a special focus on corporate, accounting, and legal matters.