MALTA ENTERPRISE MEASURES

The Family Business: Transfer of Ownership scheme, financed by Malta Enterprise, aims to assist and facilitate family businesses to transfer their business from one generation to the next, by providing a reduction of duties charged for the transfer of property and shares. 

To be eligible for the Family Business: Transfer of Ownership scheme, financed by Malta Enterprise, the applicant must meet all the criteria established below:

- the applicant must be registered as a Family Business with the Family Business Office and be in possession of a validly renewed certificate of registration issued by the Family Business Office;

- the applicant must not have any arrears related to VAT, Income Tax, and Social Security;

- the applicant must not be engaged in activities specifically excluded under the De Minimis Regulation.

To be eligible for the Family Business: Transfer of Ownership, financed by Malta Enterprise, recipients can carry out any activity except for the following sectors:

- fishery and aquaculture sector;

- primary production of agricultural products;

- export-related activities towards third countries or Member States;

- acquisition of road freight transport vehicles granted to undertakings performing road freight transport;

- aid contingent upon the use of domestic over imported goods;

- activity in the sector of processing and marketing of agricultural products in the following cases:

- where the amount of the aid is fixed on the basis of the price or quantity of such products purchased from primary producers or put on the market by the undertakings concerned;

- where the aid is conditional on being partly or entirely passed on to primary producers.

The call for the Family Business: Transfer of Ownership scheme, financed by Malta Enterprise, expires on 2023-12-16.

The costs eligible for the Family Business: Transfer of Ownership scheme, financed by Malta Enterprise, are:

- Transfer duty of immovable property:

- transfer duty of immovable property that had been used for a period of at least three years;

- duty shall be charged on the first €500,000 of the value of the property transferred at the rate of €3.50 per €100.

- Transfer of shares:

- the assessment of duty chargeable in the case of an individual transfer of shares or interest in a partnership, trust or foundation to family members;

- transfer of shares or interests in a partnership, trust or foundation held in a family business which carries on a business, no account shall be taken of the first €150,000 or such other greater amount as may be prescribed of the value of shares, or interests in a partnership, trust or foundation.

The maximum amount of aid that may be provided by the Family Business: Transfer of Ownership scheme, financed by Malta Enterprise, to be claimed as a reduction on duty on the property being transferred is capped at €7,500.

The type of financing provided by the Family Business: Transfer of Ownership scheme, financed by Malta Enterprise, is a de minimis measure in the form of a reduction in duties incurred when transferring properties or shares.

The funding body for the Family Business: Transfer of Ownership scheme is Malta Enterprise.