Netherlands & Malta Double Tax Treaty

The Double Tax Treaty Malta Netherlands, as amended, was originally signed on 18 May 1977 and is currently in force. The main features of the double tax treaty are as follows.

Dutch Withholding Taxes

Dividend Income

The Double Tax Treaty Malta Netherlands sets out a maximum Dutch withholding tax of 5% on dividends distributed by a Dutch resident company to a Maltese resident company where the Maltese resident company holds at least 25% of the share capital of the Dutch resident company. In all other circumstances, the maximum Dutch withholding tax is 15%.

Interest Income

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

Royalty Income

The Double Tax Treaty Malta Netherlands states that while certain royalty payments are not subject to any the treaty sets out a maximum Dutch withholding tax of 10% on royalties paid by a Dutch resident to a Maltese resident beneficial owner of the royalty income.

Other Income

The Double Tax Treaty Malta Netherlands states that it is to be noted that the limit to taxation with regards to dividends, interest and royalties does not apply to any receipts by international organisations, organs and officials thereof or members of a diplomatic or consular mission of a third state being present in ether Malta or the Netherlands.

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