Research and Development Scheme

This Grant is offered through the Malta Enterprise.

Objective

• Promote innovation and economic growth through research and development (R&D).

• Encourage collaboration between businesses, research organizations, and international networks like EUREKA.

Incentive Overview

Forms of Support:

Tax Credits: Offsetting tax liabilities. Cash Grants: Primarily reimbursed after project completion, with up to 30% as front financing.

Aid Intensity:

Large enterprises: 50% for industrial research, 25% for experimental development. Small and medium enterprises (SMEs): Higher rates (up to 70% for industrial research). Additional bonuses for collaboration, dissemination, or projects in assisted areas (up to 80% total).

Duration:

Open from 1 January 2024 to 31 December 2026. €5M annual budget, €15M total.

Eligibility

Eligible Applicants:SMEs, large enterprises, and cooperatives registered in Malta or as overseas companies.

Excluded Entities:

Businesses in difficulty (except under specific conditions). Public entities and organizations with unpaid VAT or taxes exceeding €1,000. Those subject to EU recovery orders for illegal aid.

Eligible Costs

Personnel Costs:Salaries for researchers, technicians, and project staff.

Instruments & Equipment:Depreciation costs based on project duration.

External Services:Contractual research and consultancy from qualified experts or universities.

Buildings & Land:Depreciation or capital costs directly tied to the project.

Operating Expenses:Materials, supplies, and overheads (up to 20% of eligible costs).

Application Process

Submission:

Applications accepted via Malta Enterprise's portal until 30 September 2026. Include detailed project plans, budgets, and timelines.

Evaluation:Projects are assessed based on economic impact, knowledge growth, and alignment with R&D objectives.

EUREKA Collaboration:Additional support for projects endorsed by EUREKA, promoting cross-border R&D efforts.

Post-Approval Requirements

Claims:Submit progress and final reports with fiscal documentation to claim tax credits or grants.

Monitoring:Audits and on-site inspections may occur during and up to 5 years post-project completion.

Tax Credit Rules:Non-refundable and carried forward until utilized.

Gauci Magri and Partners can assist businesses by:

Advisory Services: Guiding businesses through the application process and ensuring compliance with eligibility requirements.

Funding Optimization: Helping clients allocate funds strategically to maximize benefits from the incentive.

Document Preparation: Assisting with incorporation, application, and due diligence documentation.

Business Support: Supporting clients in identifying suitable accelerator programs aligned with their growth goals.

Let’s Connect

Contact us today at admin@gaucimagri.com to learn how we can help your business thrive.

The Team at Gauci Magri & Partners