An official statement stated that “India and Malta have renegotiated the agreement to bring in line with international standards, change in domestic laws and changed economic scenario.”
This move provides tax stability and reduces any obstacles in providing mutual cooperation between India and Malta. Once it enters into force, the DTA will stimulate the flow of capital, technology and personnel between both the countries and will further strengthen the economic relationship between the two countries.
The DTA was signed in Valletta by Preneet Kaur, Minister of State for External Affairs of India and George Vella, Foreign Minister of Malta on the 8th of April in Valletta, Malta. Minister Vella said both countries felt that their relations needed to be strengthened and deepened and today’s agreement was important to facilitate trade between the two countries. He looked forward to the two countries setting up a Business Council and a joint commission for further discussions at a technical level on issues such as visas, trade, education and technology. The two ministers also discussed relations in the context of the European Union and the Commonwealth. The Indian minister said other areas of possible cooperation could be the film industry in view of India’s growth in this sector, as well as India’s expertise in renewable energy.
Once signed and in force, the new tax treaty will supersede the existing India Malta Double Tax Treaty (L.N. 46 of 1995) which was signed and ratified way back in 1995. A Joint Commission and a Business Council for technical discussions on visa facilitation, trade agreements and cooperation in the fields of science, technology and education will also be set up.