Cyprus & Malta Double Tax Treaty

The Double Tax Treaty Malta Cyprus, as amended, was signed on 22 October 1993 and is currently in force. The main features of the treaty are as follows:

Cyprus Withholding Taxes

Dividend Income

The Double Tax Treaty Malta Cyprus sets out a maximum Cypriot withholding tax of 15% on dividends distributed by a Cypriot resident company to a Maltese resident company.

Interest Income

The Malta Cyprus Tax Treaty sets out a maximum Cypriot withholding tax of 10% on interest paid by a Cypriot resident to a Maltese resident beneficial owner of the interest income.

Royalty Income

The Double Tax Treaty Malta Cyprus sets out a maximum Cypriot withholding tax of 10% on royalties paid by a Cypriot resident to a Maltese resident beneficial owner of the royalty income.

Other Income

The Double Tax Treaty Malta Cyprus outlines that certain pensions and other similar remuneration arising from Cypriot sources and paid to a Maltese resident are taxable only in Malta. However such a rule does not apply to similar payments advanced by a Cypriot statutory body or local authority or a political subdivision thereof for services rendered therein unless the Maltese resident individual is also a Maltese national.

Please contact us should you require any more information on the Malta Cyprus Double Tax Treaty and the unique tax planning opportunities. You can email us enquiries@papilioservices.com or call us directly on +356 2258 2000.