Article 11 VAT registration in Malta — what small businesses need to know

If your business trades in Malta and your domestic turnover stays within €35,000 in a calendar year, you may register for VAT under Article 11 as a small undertaking.

What Article 11 registration means in practice

  • Your VAT number — you are given an 8-digit domestic VAT number. Because it is domestic only, it cannot be validated on VIES and should not be used for intra-Community transactions.
  • How your supplies are treated — exempt without credit. You do not charge VAT on what you sell, and you cannot recover the VAT you pay on your own purchases; that VAT stays with you as a cost.
  • When you must change registration — once your turnover exceeds the domestic annual threshold, you are required to move to an Article 10 registration. Turnover therefore needs to be monitored throughout the year, not only at year end.

New guidance on fiscal receipts

The Malta Tax and Customs Administration has issued updated guidelines on how Article 11 businesses should issue fiscal receipts through a fiscal cash register. In summary:

  • A fiscal receipt must still be issued, and it must clearly identify the goods or services supplied.
  • Each supply should be marked with the letter "E" (or "Exempt").
  • The receipt must state clearly that no VAT is charged or payable.
  • Where a fiscal cash register is used, the prefix "EXP" must appear immediately before the VAT registration number.

Businesses operating under Article 11 should review their cash register settings and receipt templates to confirm they meet these requirements.