REGULATION
are not subject to Compliance Contributions — the per- revenue charges applicable to B2C Gaming Service licensees 8 . The annual licence fee and ongoing supervisory costs for a B2B operator are therefore substantially lower than for a B2C counterpart, a structural advantage not always adequately reflected in comparative analyses of gaming jurisdictions. Malta's network of over 70 double taxation treaties has additional practical value for operators with international group structures or cross-border revenue flows 9 . Practitioners should, however, monitor developments at EU level regarding corporate tax harmonization. While the imputation refund system has to date been maintained as compliant with EU state aid rules, the Pillar Two global minimum tax rules represent a structural pressure on competitive tax regimes across the EU, and the direction of travel at EU level is toward greater harmonization 10 . The Commercial Ecosystem and Its Value Tax and licensing frameworks, however well-designed, do not by themselves explain why Malta has sustained its position as the leading B2B gaming jurisdiction over two decades. A significant part of the explanation lies in the commercial ecosystem that has developed around the industry during that period, constituting an asset that competing jurisdictions cannot quickly replicate regardless of the quality of their regulatory or fiscal offering. The concentration of legal, regulatory, tax, and compliance expertise specific to gaming in Malta is, in the view of this author, unmatched in the EU 11 . Law firms, compliance consultancies, technical certification bodies, and corporate
service providers with deep experience in the MGA's framework are available in Malta in a density that reflects twenty years of industry development. For a B2B operator managing ongoing compliance requirements or navigating licence variations and renewals, the quality and availability of specialist advisors is a material operational advantage. The talent market in Malta carries specific advantages for B2B operators. The island hosts, relative to its population, an extraordinary concentration of experienced gaming professionals across development, compliance, product, commercial, and technical functions 12 . The industry event ecosystem centered on Malta, and particularly on SiGMA — which has grown into one of the most significant gaming events globally — provides B2B operators with regular access to clients, partners, regulators, and investors that compounds in commercial value over time 13 . Substance: The Defining Challenge of the Current Regulatory Era No serious analysis of Malta as a gaming jurisdiction in 2026 can avoid the substance question, and it is in this area that the most significant practical challenges for operators arise. The OECD's Base Erosion and Profit Shifting project, and specifically its Action 5 on harmful tax practices, has fundamentally altered the regulatory and fiscal landscape for companies seeking to benefit from low-tax jurisdictions 14 . The EU's Anti-Tax Avoidance Directives implement BEPS minimum standards into EU law and impose controlled foreign company rules, interest limitation rules, and hybrid mismatch provisions that can negate the benefits of low-
8 Gaming Licence Fees Regulations (S.L. 583.05). 9 For treaty texts, see the Commissioner for Revenue website at cfr.gov.mt. Malta's treaty network comprised over 70 agreements as at 2025 10 OECD/G20 Inclusive Framework, 'Two-Pillar Solution to Address the Tax Challenges Arising from the Digitalisation of the Economy' (2021). Pillar Two applies to groups with annual revenue exceeding EUR 750 million 11 Malta's gaming legal and advisory community is documented through its representation at SiGMA, ICE, and IMGL events and through the con- centration of gaming-specialist firms licensed by the MFSA 12 University of Malta, 'Digital Games Programme', um.edu.mt. The programme is ranked in the top 20 globally for digital games education 13 SiGMA Group, 'SiGMA Europe 2024 Report', sigma.world. SiGMA Europe attracted over 25,000 delegates in its most recent Malta edition 14 OECD, 'BEPS Action 5: Agreement on Modified Nexus Approach for IP Regimes' (2015); Council Directive (EU) 2016/1164 (ATAD I); Council Directive (EU) 2017/952 (ATAD II)
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IMGL MAGAZINE | SEPTEMBER 2026
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