Since 1992, Feod Grouphas been offering a comprehensive suite of corporate, immigration, and legal services, with a specialized focus on facilitating company registration in Malta.
✓ Remote Company Registration in Malta ✓ Bank Account Opening Services ✓ Attaining Tax Resident Status in Malta ✓ Redomiciliation of Companies to Malta ✓ Securing Residence Permits and Permanent Residency in Malta for the Entire Family ✓ Verification of the Legality of Fund Sources
Furthermore, we provide a full comprehensive array of relocation and adjustment services abroad, including property acquisition and leasing in Malta, international tax planning, recruitment assistance, accounting support, guidance in selection schools and universities for children’s education, medical insurance and various other offerings.
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Business in Malta
Malta, as a member of the EU, stands as a contemporary international hub for business and finance, boasting excellent infrastructure in a strategically convenient geographical location and time zone.
The country proves advantageous for entrepreneurs and investors seeking a stable, secure, and appealing business environment.
Benefits of initiating a company in Malta include:
✓ A prestigious jurisdiction that is not blacklisted and operates outside the offshore realm.
✓ Superb air and sea connectivity, in close proximity to European ports.
✓ English, one of the two official languages, is used in corporate documents. Maltese is the other official language, and there is also widespread proficiency in French, Italian, and German.
✓ Accessible terms for securing a Malta residence permit for both entrepreneurs and their family members.
✓ Numerous tax advantages, including the potential for tax holidays. Leveraging corporate tax schemes enables a reduction in the tax burden to as low as 95% of taxable income:
Thanks to the available tax refund scheme for shareholders of companies registered in Malta, the overall net effective corporate tax rate can be reduced to as low as 5%, and even down to 0%.
Foreign sources of income are exempt from taxation.
No capital gains tax is applicable.
VAT is not levied on many goods and services.
When involved in real estate transactions, you may be exempt from paying state duty.
There are no gift, inheritance, or wealth taxes.
Exemption from income tax is granted for transactions involving securities.
Malta has entered into 76 Double Tax Treaties, ensuring that you won’t be subject to the same tax obligations twice.
Registering a Company in Malta: Fundamental Criteria and Requirements
Below are the primary criteria and requirements for establishing a company in Malta from the ground up.
1. Select the organizational and legal structure for the company.
Foreign entrepreneurs have the option to establish any of the following commercial enterprises in Malta:
Private Limited Company (the most frequently chosen form of business registration in Malta)
Public Limited Company – public limited liability companies
Branches of foreign companies – Branch of a company registered outside Malta
2. Choose and officially register a company name
For a private company, the name must conclude with “Ltd.” or “Limited,” while a public company should feature “plc” at the end.
3. Establish a legal address in Malta
To successfully register a company in Malta, a valid legal address is required. This could be the office of a Maltese law firm, accounting firm, or other corporate service providers.
4. Open a bank account and deposit the authorized capital
Key documents needed for opening a business account in Malta include:
Certificate of company registration.
Memorandum and Articles of Association of the company.
Passports of company shareholders.
Shareholders’ CV.
Documents validating the legality of funds intended for the account.
Account Opening Forms.
The specific documentation and timeline for opening an account are contingent on the policies of the individual bank. Every individual applying to open an account with a Maltese bank is subject to due diligence checks in compliance with European anti-money laundering legislation.
When establishing a Maltese company, it’s not obligatory to open a corporate bank account within Malta itself. The share capital can be deposited into an account with a foreign bank, provided the bank issues a receipt or letter certifying that the deposited sum is allocated for the share capital.
For private limited companies in Malta, the minimum share capital is €1,164.69, of which at least 20% needs to be paid in advance. Typically, to facilitate easy division, this amount is rounded up to €1,200, with only €240 (20%) deposited into the account.
Alternatively, for a public company, the minimum share capital is €46,587.46, with at least 25% required to be deposited into the account.
The payment can be made in euros or the equivalent in any other currency if using a foreign bank.
5. Director, Shareholders and Secretary
For the establishment of a private company, a minimum of one director and one secretary is necessary. In the case of public companies, a minimum of two directors is required. Directors can be citizens of any country, and they can either be individuals or legal entities.
While directors can be either individuals or legal entities, secretaries must be individuals, with the exception being investment companies, which permit legal entities to serve as company secretaries. The role of the Maltese company secretary encompasses distributing notices, registering forms, recording minutes, enrolling members, and submitting reports. Hence, it is advisable for the company secretary to be a resident of Malta.
A private company must have at least one shareholder, referred to as a single-member company, and can have a maximum of 50 shareholders. In the case of public companies, a minimum of two shareholders is mandated, with no set limit on the maximum number of shareholders.
6. Directors and shareholders Meetings
A Malta-registered company is required to convene an annual general meeting for its board of directors, along with a meeting for its shareholders. These meetings can be conducted either within Malta or abroad.
It’s essential to note that, in order to leverage tax benefits and adhere to double taxation provisions, it is advisable for the Maltese company to be managed and controlled directly from Malta, ideally by a tax resident of Malta. Moreover, to ensure compliance, all decisions pertaining to the Maltese company should be made within Malta.
7. Annual reporting
Every company, whether private or public, registered in Malta must submit an annual report accompanied by the relevant registration fee. This report needs to be filed with the Registrar of Companies within 42 days from the date it is generated. An annual fee, ranging from 100 to 1,400 euros, is additionally paid along with the declaration, depending on the authorized capital. The format of the reports varies based on the type of company.
We offer our clients services for the remote registration of a company in Malta, including the opening of a bank account!
Malta boasts one of the most competitive tax systems within the EU, courtesy of its special tax refund scheme.
Corporation tax in Malta is levied at a flat rate of 35% on a company’s gross profit. However, shareholders can claim a refund of 6/7, 5/7, or 2/3 of the tax paid upon dividend distribution, resulting in an effective net tax rate of approximately 5-10%, depending on the income stream. Additionally, holding company structures may benefit from a reduced corporate tax rate of 0%.
Value Added Tax (VAT) stands at 18% in Malta, although certain goods and services qualify for reduced rates of 7%, 5%, or even 0%.
Employer’s social insurance contributions entail a payment equal to 10% of an individual employee’s salary.
Property tax is notably absent in Malta, except for property transfer tax. Property transfer tax, set at 5%, applies to the first 400,000 euros of real estate value. Subsequent amounts are subject to taxation at rates of 8% or 10%.
Business in Malta – FAQs
Why companies are registered in Malta?
Malta is an economically and politically stable EU member state with a convenient location, time zone and climate. In addition, the Maltese tax system provides an opportunity for entrepreneurs and investors to optimize and reduce their tax burden, and obtain a Malta Tax Residence Certificate.
How to open a company in Malta?
In order to open a company in Malta, you need to select and register a name, prepare founding papers, have a legal address, open a bank account and deposit share capital, appoint a director, shareholders and secretary, pay a registration fee and register the company in the Register, as well as with the tax authorities and social insurance authorities.
These are the main stages, there are also other requirements and procedures depending on the type of company, number of founders, shareholders, etc.
Is it possible to open a company in Malta remotely?
Yes, you can register a company in Malta remotely without your personal presence. We provide services for remote registration of a company in Malta under a power of attorney to a Maltese accredited lawyer.
Is the company in Malta offshore?
No, Malta is part of the European Union and therefore is not considered an offshore jurisdiction.
How much does it cost to open a company in Malta?
Share capital minimum 1165 euros + company registration fees. Registration fees payable to the Malta Companies Registry are calculated based on the company’s share capital. A company with an authorized share capital of less than €1,500 is subject to a minimum registration fee of €245.
Is it possible to obtain a residence permit by opening a company in Malta?
Yes, you can obtain a Malta residence permit through business immigration and under the Global Residence program in Malta or under the Malta Permanent Resident Program (Malta permanent residence by investment), as well as through opening a branch of your company in Malta under the Intra Company Transferee program
How to open a bank account in Malta?
To register a company in Malta, it is not necessary to open a bank account in a Maltese bank.
In order to open a bank account in Malta, you need to collect a package of documents, translate and certify them, fill out all the necessary bank forms, and also undergo a bank check on the client’s reliability, and an interview with a bank representative.
Feod Group will help you select different options for opening a bank account, both in Malta and in other countries.
In 2013, she graduated in law from the National University «Odessa Law Academy» with honors and received a Master of Law degree. Anastasia Taran has experience in international and contract law, as well as corporate and tax law in Europe. Within the framework of Feod Group, she specializes i...
In 2013, she graduated in law from the National University «Odessa Law Academy» with honors and received a Master of Law degree. Anastasia Taran has experience in international and contract law, as well as corporate and tax law in Europe. Within the framework of Feod Group, she specializes in immigration and corporate law of European countries, particularly:
Since 1992, Feod Group has been providing a wide range of legal, business and immigration services in Europe, the USA and other countries of the world.
The company has accredited western lawyers, experts in various fields of law and jurisdictions of the world.
Having offices in Europe and the USA, Feod Group provides rapid paperwork and maximum customer comfort.
We provide our clients with related services, such as relocation and adaptation abroad, organizing family relocation abroad, enrollment of children in schools and many other services.
Our publications about immigration, real estate and business in Europe and the United States:
