Malta’s technology and artificial intelligence businesses could benefit from a series of new tax incentives aimed at encouraging investment, innovation and business growth, following a visit by Economy Minister Silvio Schembri to Maltese AI company Neural AI.Under Budget 2027, eligible companies with an annual turnover not exceeding €1 million will benefit from a reduced corporate tax rate of 25%, down from 35%, on retained or reinvested profits from 2027.The measure is intended to encourage businesses to put more of their profits back into their operations, supporting expansion, investment and long-term growth.Technology companies could also benefit from new incentives designed to support research and innovation, including a 175% tax credit on eligible research and innovation expenditure.Another measure introduced in the Budget will allow businesses to benefit from accelerated depreciation over two years on eligible investments in artificial intelligence, automation, digitalisation and cybersecurity.These incentives could prove particularly relevant to companies operating in emerging sectors such as AI, where continued investment in technology, research and development is key to remaining competitive.The visit to Neural AI highlighted the importance of supporting Maltese businesses operating in innovative industries, while creating an environment that encourages entrepreneurship, investment and the development of new technologies.Through lower taxation and targeted incentives, Budget 2027 aims to encourage businesses to reinvest, expand their operations and create quality employment opportunities, contributing to Malta’s wider economic growth.What do you make of this?•