Qatar & Malta Double Tax Treaty

The Double Taxation Relief Treaty between Malta and Qatar was signed in Doha on 26 August 2009 and is currently in force since 9 December 2009. The Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting (MLI) is also in force.

Qatar-Malta Double Tax Treaty

Qatari Withholding Taxes

The main features of the Malta-Qatar tax treaty are as follows:

Dividend Income

The Double Tax Treaty Malta Qatar states that there is no Qatari withholding tax on dividends distributed by a Qatari resident company to a Maltese resident beneficial owner of the dividend income.

Interest Income

The Double Tax Treaty Malta Qatar states that there is no Qatari withholding tax on interest paid by a Qatari resident company to a Maltese resident beneficial owner of the interest income.

Royalty Income

The Double Tax Treaty Malta Qatar states that the maximum Qatari withholding tax on royalties paid by a Qatari resident to a Maltese resident beneficial owner of the royalty income is 5%.

Other Income

The Double Tax Treaty Malta Qatar states that pensions and other similar remuneration from Qatari sources to a Maltese resident individual may only be taxed in Malta.

However, this does not apply for pensions paid by, or out of funds created by, Qatar or a political subdivision or a local authority in respect of services rendered to, which are taxable in Qatar only.

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When navigating tax matters from Malta to Qatar and from Qatar to Malta, it’s essential to understand how the Double Tax Treaty between the two countries impacts taxation on income, capital gains, and other financial obligations. This treaty ensures that individuals and businesses benefit from reduced tax liabilities and avoid the risk of double taxation. By leveraging this agreement, both residents and companies can optimise their tax position when operating or investing across Malta to Qatar or Qatar to Malta. Please contact us should you require any more information on the Malta-Qatar Double Tax Treaty and the unique tax planning opportunities.

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