S.L. 123.142 Art. 5Minimum amount chargeable to tax. Cap. 372.

(1) When an individual exercises the option available under article 56(25) of the Act in respect of a year of assessment, the minimum amount of income which shall be chargeable to tax at the reduced rate provided for in that sub-article in respect of that year of assessment shall be deemed to be seventy-five thousand euro (€75,000):

Provided that the rate of 15% shall apply without possibility to claim any relief, deduction, reduction, credit or set-off of any kind, sohowever that, notwithstanding the generality of the foregoing, a beneficiary shall be allowed deductions of tax under article 23 of the Income Tax Management Act:

Provided that where an individual exercises the option available under article 56(25) of the Act, the income that is charged to tax at the rate of 15% shall be deemed to constitute the first part of the individual’s total income for the year of assessment in question and the tax on the remaining income shall be calculated at the rate or rates that would have been applicable to that remaining income had

(3) The option available under article 56(25) of the Act shall apply for a consecutive period of five years commencing from the year preceding the first year of assessment in which that person is first liable to tax under the provisions of the Act after returning to reside in Malta.