Malta Ltd

 

Malta ltdOpusGuide: Malta – Limited Liability Companies

Malta is a member of the EU and has an advantageous
tax system which allows tax to be reduced to an effective
rate of 0%. Costs relating to registering an entity in
Malta are relatively low. The country’s policy is one of
attracting investors from the financial sector in particular.
Setting up a company in Malta takes one day.

 

 

V Sammut  Valentina Sammut
Accountant
Tel. +356 27 340 004
valentina.sammut@opustrust.eu

Download: OPUS_GUIDE_MALTA_spółkazoo_ENG

LEGAL FORM Private Company Limited by Shares
POLISH EQUIVALENT Limited Liability company under the Polish law
SPHERE OF ACTIVITIES Any operational activities; no requirement to obtain permits (not a regulated activity).
GOVERNING BODIES AND OTHER IMPORTANT POSITIONS / FUNCTIONS ownership General meeting (annual / extraordinary) – made up of shareholders (it’s possible to set up a company with a sole shareholder), whose influence on activities is reflected in resolutions. Written voting is allowed.
management Board of Directors – it is based on the Anglo-Saxon model (supervisory and management functions are found all in one body); at least one member is a natural person or legal person (with the exception of single-person companies).
supervisory Supervisory functions are carried out by the Board of Directors, due to the Anglo-Saxon structure of the company.
other Company Secretary is responsible for the internal documentation of the company; only a natural person can fulfil this function.
USE OF TRUSTEESHIPS nominal shareholder Provided for under Maltese law, trustee’s secret is binding.
fiduciary management Regulated under Maltese law, trustee’s secret is binding.
MINIMUM SHARE CAPITAL Issued Share Capital is a minimum of 1,164.69 Euros. If it rises to 1.200 Euros there is the possibility of paying only 20% of the capital.
Authorised Share Capital is a minimum of 1,164.69 Euros. NB: at this level all
(100%) of the capital must be paid.
ACCOUNTING/AUDIT Carried out in accordance with International Accounting Standards (ISA); every year an audited financial statement must be submitted; there are exemptions from the requirement to carry out an audit.
HEADQUARTERS Required in the territory of Malta.
TIMESCALES Establishment The company exists from the moment it is entered in the Maltese Registry of Companies, carried out after at least 3 working days from the submission of the registry application.
Dissolution This requires the formal appointing of the Company’s liquidator. It takes from 6 to 12 months depending on the number of transactions carried out by the Company.
Strike-off Strike-off applies to companies which do not carry out any economic activity and have no liabilities. The timescale for strike-off is set individually.
BANK ACCOUNT In any bank including those outside Malta.
NATIONAL CURRENCY Euro
OFFICIAL LANGUAGE Maltese and English.
FINANCIAL YEAR The same as the calendar year. Other accounting periods may be chosen.
TAX RESIDENCY The company acquires Maltese residency if it is registered or its management is conducted in Malta.
 INCOME TAX (CIT) AND TAX REFUNDS The CIT tax rate is 35%.
Under Maltese law there is a tax refund system. A shareholder of the company (not a resident of Malta), at the moment of payment of a dividend, may apply to have part of the income tax – paid in advance by the company – returned. This allows an effective rate of taxation of 0-5% to be achieved.
SPECIAL TAX REGIME Holding companies: in Malta income from dividends as well as capital gains (from the sale of stocks and shares) are exempt from tax if 1 or 5 conditions is fulfilled, for example the existence of capital relations at a level of 10%, or a minimum value of the investment of 1,146,000 Euros for at least 183 days.
WITHOLDING TAX (WHT) Dividends, royalties and interest paid to non-residents are exempt from WHT.
ANTI-TAX -AVOIDANCE RULES Transfer pricing: NO.
Thin capitalization: NO.
CFC: NO.