Malta Enterprise offers several incentive schemes for businesses in Malta. The Micro Invest scheme is for sole-traders and other small businesses.

This scheme supports micro enterprises and the self-employed that invest in their business, innovate, expand, implement compliance directives and/or develop their operations. Micro enterprises and self-employed will be supported through a tax credit representing a percentage of the eligible expenditure and wages of newly recruited employees and/or apprentices.

MicroInvest covers investments undertaken between 1st January 2010 and 31st December 2011. The following are eligible expenses for this incentive:

• Furbishing and upgrading of business premises for improved operations;
• Machinery or technologies to improve operations;
• Machinery or technologies which save or generate energy;
• Investments which enable compliance with regulations, including Health & Safety, Environment Directives and Physical Access;
• Cost of one commercial vehicle as long as such vehicle is involved in the transport of goods as specified in the guidelines;
• Wage Costs for new jobs created and/or apprenticeships taken, as long as these constitute a net increase in the total number of employees as of the 10th November 2009.

Malta Enterprise may approve a tax credit equivalent to 40% of eligible expenditure.

Costs must be incurred and paid for between 1st January 2010 and 31st December 2011.

Eligible expenses include:

(a) Investment in furbishing, refurbishing and upgrading of business premises including extensions or modifications to premises;

(b) investment in acquiring machinery, technology, apparatus or instruments which enhance the operations, including systems which help to save energy or to produce alternative energy;

(c) investment required to become compliant with regulations including Health & Safety, Environmental directives and Physical access.

(d) Investment in one motor vehicle as long as such vehicle is involved in the carrying of goods (category N1, N2 or N3 motor vehicle), Tractors (category D) and Special Purpose Motor Vehicles (category E) as established in the Motor Vehicle Registration and Licensing Act (Cap. 368).3

(e) Wages costs covering a 12 month period pertaining to new jobs and apprenticeships created as from 10th November 2009 as long as this constitutes a net increase in the total number of employees of the applicant.

The maximum tax credit per enterprise shall be capped at €25,000 for the duration of this incentive.

The tax credit must be utilised by year of assessment 2014.

Applications should be made to Malta Enterprise once a year after the costs have been incurred.

This incentive runs for two years commencing on 1st January 2010.

Applications for assistance under this incentive will be received until the 31st March 2012