Enterprise Support Incentives Regulations, 2008

L.N. 70 of 2008

MALTA ENTERPRISE ACT

(CAP. 463)

Enterprise Support Incentives Regulations, 2008

IN exercise of the powers conferred upon him by article 5 of the

Malta Enterprise Act, hereinafter referred to as “the Act”, the Prime

Minister and Minister of Finance and the Minister for Investment,

Industry and Information Technology have made the following

regulations>

(1) The title of these regulations is the Enterprise Support Title and

Commencement.

Incentives Regulations, 2008.

(2) These regulations shall come into force on the 1 st

January, 2008.

In these regulations, unless the context otherwise requires >

Interpretation.

“the Act” means the Malta Enterprise Act<

“the Corporation” means Malta Enterprise established

under the Malta Enterprise Act<

“Guidelines” means such guidelines as may be published

by the Corporation from time to time in terms of the Act<

“the Treaty” means the Treaty establishing the European

Community published in the Official Journal of the European

Union in the edition of the 29 th December 2006<

“undertaking” means an undertaking as defined in the Act.

(1) Where the Corporation is satisfied that an undertaking Cash Grants.

is carrying on or intending to carry out an activity that may contribute

to the economic development of Malta, the Corporation may provide

such an undertaking with a cash grant as established in these regulations

and in the Guidelines>

Provided that an undertaking shall not qualify for any of the

benefits provided by these regulations if such undertaking operates in

(a)

fishery or aquaculture sectors<

(b)

primary production of agricultural products>

Provided that such assistance may be granted to

undertakings that operate in the processing and marketing of

agricultural products as described in Annex 1 to the Treaty>

Provided further that such assistance may not be granted

to undertakings that operate in the processing and marketing of

agricultural products as listed in Annex 1 to the Treaty>

(a) when the amount of the assistance would be fixed

on the basis of the price or quantity of such products

purchased from primary producers or put on the market by

the undertakings concerned<

(b) when the assistance is conditional on being partly

or entirely passed on to primary producers.

(2)

Assistance under this regulation may not be granted>

(a) when the assistance would be granted for export-

related activities towards third countries or Member States, that

would be directly linked to the quantities exported, to the

establishment and operation of a distribution network or to other

current expenditure linked to the export activity.

(b) when the assistance would be contingent upon the

use of local over imported goods.

(c) when the assistance would granted to undertakings

in difficulty.

(d)

to undertakings selling by retail>

Provided that an undertaking shall be deemed not to sell

by retail if its sales of goods or services are made to -

(i) a person who carries on a trade and the goods or

services so sold to such person are either resold by such

person or are used by such person for the purpose of his

trade< or

(ii) a person, other than an individual, who uses

those goods or services for the purpose of an undertaking

carried on by such person<

(iii) a person through e-commerce activities

resulting in on-line transactions effected by means of a

secure payment system.

Where the Corporation is satisfied that an undertaking carrying Assistance for

on or intending to carry out an activity that may contribute to the participation

trade fairs, etc

economic development of Malta, requires assistance for the participation

in trade fairs, trade missions and other such events the Corporation may

provide such an undertaking with a cash grant which shall not exceed

65% of the total costs incurred by the undertaking in accordance with

the terms and conditions set out in the Guidelines.

Where the Corporation is satisfied that an undertaking .Assistance for

carrying on or intending to carry out an activity that may contribute to collaboration

other

the economic development of Malta, requires assistance to collaborate undertakings.

with other undertakings or to administer interactions between a number

of undertakings that are collaborating with it with the aim of achieving

common objectives, the Corporation may provide such an undertaking

with a cash grant that may not exceed the limits set in regulation 9 in

accordance with the terms and conditions set out in the Guidelines.

Where the Corporation is satisfied that an undertaking Assistance for

business

carrying on or intending to carry out an activity that may contribute to development

the economic development of Malta, requires assistance to set up projects.

business development projects, the Corporation may provide such an

undertaking with a cash grant that may not exceed the limits set in

regulation 9 in accordance with the terms and conditions set out in the

Guidelines.

Where the Corporation is satisfied that an undertaking Assistance for the

carrying on or intending to carry out an activity that may contribute to engagement

advisors.

the economic development of Malta, requires the assistance of advisors

in a particular field, the Corporation may provide such an undertaking

with a cash grant that may cover up to 100% for the first fifteen hours

of the costs of the services of such an advisor and that otherwise may

not exceed 75% of the costs of the services of such advisor in accordance

with the terms and conditions set out in the Guidelines.

Where the Corporation is satisfied that an undertaking

carrying on or intending to carry out a qualifying activity that may

contribute to the economic development of Malta, requires assistance

to support or develop the international competitiveness of the

undertaking, the Corporation may provide such an undertaking with a

cash grant that shall not exceed 65% of the eligible costs incurred in

accordance with the terms and conditions set out in the Guidelines.

Any assistance that may be provided under these regulations

shall be in conformity with the De Minimis Regulation as defined in

Commission Regulation (EC) No. 1998#2006 of 15 December 2006 on

the application of Articles 87 and 88 of the Treaty to de minimis aid. An

undertaking may receive a total amount of up to €200,000 of de minimis

aid over a consecutive three fiscal year period. This maximum threshold

includes all aid granted as de minimis aid from the Corporation as well

as from any other entity.

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