The following schedule provides general details as to the maximum rates of tax applicable to dividends, interest and royalties paid to residents of Malta, in accordance with double taxation agreements currently in force between Malta and 22 countries.

MALTA - DOUBLE TAXATION AGREEMENTS IN FORCE

Maximum rates of tax on Dividends, Interest and Royalties paid to residents of Malta

COUNTRY                DIVIDENDS                  INTEREST  ROYALTIES

          Rate for      Rate for     Percentage     Rates      Rates
          Minor         Major        required to
          shareholding  shareholding qualify for 
                                     Major 
                                     shareholding
                %            %            %           %           %

Australia       15          15           N/A         15          10
Austria         15          15           N/A          5          10
Belgium         15          15           N/A         10          10
Bulgaria         0           0           N/A          -          10
Canada          15          15           N/A         15          10
China           10          10           N/A         10          10
Cyprus          15          15           N/A         10          10
Finland         15           5            25         10          10
France          15           5            10         10          10
Germany         15           5            25         10          10
Hungary         15           5            25         10          10
India           15          10            25         10          15
Italy           15          15           N/A         10          10
Libya           15          15           N/A         15          15
Luxembourg      15           5            25          0          10
Netherlands     15           5            25         10          10
Norway          15          15           N/A         10          10
Pakistan         -          15            20         10          10
Poland          15           5            20         10          10
Sweden          15           0            10          0           0
U.K.             -           -           N/A         10          10
U.S.A.          15           5            10       12.5        12.5

Note: This schedule is only intended to give a general outline of the maximum rates of tax applicable to dividend, interest and royalty payments under Malta's tax treaties. It is advisable to consult the relevant tax treaty for more detailed information.

Source: International Tax Unit, Inland Revenue Department, Malta.

THE CONTENTS OF THIS ARTICLE ARE INTENDED TO PROVIDE GENERAL INFORMATION ON THE SUBJECT MATTER. IT IS THEREFORE NOT A SUBSTITUTE OF PROFESSIONAL ADVICE AND IS NOT TO BE ACTED UPON WITHOUT PRIOR CONSULTATION WITH SPECIALISED CONSULTANTS.