Amendments to Malta’s tax treaties with Romania and San Marino

Overview

By virtue of Legal Notice 97 of 2026 and Legal Notice 98 of 2026 respectively, published on 17 April 2026, notable amendments have been made to the Double Taxation Relief on Taxes on Income with Romania Order, Subsidiary Legislation 123.42 (the ‘Malta-Romania Treaty’) and  the Double Taxation Relief on Taxes on Income with the Republic of San Marino Order, Subsidiary Legislation 123.97 (the ‘Malta-San Marino Treaty’).

The amendments impact the operation of the mutual agreement procedure (‘MAP’) provisions of these two tax treaties.

Amendment to the Malta-Romania Treaty

Legal Notice 97 of 2026 amends article 26(2) of the Malta-Romania Treaty by introducing an additional condition where the relevant competent authority shall endeavour to resolve the case by mutual agreement “if the objection appears to it to be justified”.

Both Contracting States are required to notify the other that the legal requirements for the entry into force of the amendment have been undertaken. The amended Malta-Romania Treaty will then enter into force 30 days following the date of the latter notification, which will be established by notice in the Government Gazette.

Furthermore, the amended provisions will have effect on taxes on income derived during any calendar year or accounting period beginning on or after the first day of January which immediately follows the date that the amended Malta-Romania Treaty enters into force.

Amendment to the Malta-San Marino Treaty

Legal Notice 98 of 2026 amends article 24(2) of the Malta-San Marino Treaty by way of the deletion of a provision providing for the expiry of a MAP procedure after the end of the third year following that in which the case was presented by the taxpayer.

Both Contracting States are also required to notify the other that the legal requirements for the entry into force of the amendment have been undertaken. The amended Malta-San Marino Treaty will then enter into force in both Contracting States on the date of the latter notification, which will be established by notice in the Government Gazette.

Practical considerations

Individual and corporate taxpayers (including multinational groups) with cross-border activity involving Romania or San Marino should consider reviewing open or potential treaty dispute matters where MAP may be relevant, assessing internal controversy and documentation processes in relation to positions that may lead to double taxation and which may be affected by the new amendments.

How can we help?

Deloitte Malta can provide assistance in assessing how these developments may impact your group structure, existing MAP cases, or treaty-based positions.

Reach out for more information.