On 5 October 2017, Malta's Ministry for Finance issued Legal Notice 262 of 2017 on Notional Interest Deduction Rules. Under the rules, an undertaking will be entitled to an optional deduction equal to a reference rate times the risk capital of the undertaking for the accounting period ending in the year preceding the year of assessment. For this purpose:
- Undertaking means a company or a partnership resident in Malta or a permanent establishment situated in Malta of a company or a partnershi…