On November 18, 2022, Malta gazetted Transfer Pricing Rules, 2022.
The rules provide for ascertaining the total income of a permanent establishment, situation in which the rules do not apply. The rules provide that the Commissioner may issue a unilateral transfer pricing ruling in order to provide certainty in relation to the application of these rules to a cross-border arrangement. Further, the Competent Authority may enter into an advance pricing agreement with the relevant foreign competent authority. An advance pricing agreement may be of a bilateral or multilateral nature.
The transfer pricing rules will apply with effect from January 1, 2024.