Malta offers a practical and convenient tax system for new businesses. Our team of legal and accounting professionals provide a holistic service to our clients based out of Malta. We can help you set up your business in Malta, ensuring compliance with the tax regulations followed by the country.  

Services include:

Efficiently align your business goals to Malta’s tax system. We provide expert tax advice for your corporate structure and can handle your:   

  • Direct and indirect tax advisory solutions   
  • Tax-efficient structuring solutions   
  • Maximum tax treaty benefits   
  • Communication with the Maltese Revenue   
  • Tax confirmations from the tax authorities   
  • Tax implications of certain investments   
  • Investment holding vehicles   
  • Substance requirements   
  • Real estate tax planning and indirect tax considerations   
  • Advisory services concerning the applicability of the recently introduced tax consolidation rules for companies forming part of the same group 

Our team provides the following tax and VAT compliance services:   

  • Structure implementation and compliance   
  • Compliance toward necessary tax registrations   
  • Easy enablement of Malta’s tax refund system   
  • Ensuring full tax deductibility   
  • Assistance with foreign tax credits   
  • Applicability of available fiscal incentives, whether related to intellectual property, R&D, IT or any other eligible activity   
  • Tax accounting compliance   
  • Compliance with Foreign Account Tax Compliance Act (FATCA) and the Common Reporting Standard (CRS)   

Let us support you as your company in Malta grows. We will assist you with employment-related matters and ensure that you remain fully compliant. Benefit from our tax expertise on:   

  • Income tax registration upon relocation   
  • Visa requirements and residency permits   
  • Employment or trade permit requirements   
  • Cross-border tax planning/treaty analysis   
  • Tax planning for senior executives   
  • Advice on the introduction of share options and schemes   
  • Preparation and submission of annual income tax returns   
  • Fringe benefit analysis and advice   

Our team stays up-to-date with direct and indirect tax developments and will guide you based on this. Through frequent alerts and monthly newsletters, we will constantly keep you posted with:   

  • Latest tax updates   
  • Employment-related tax updates  

Build your business in Malta 

And let our team of professionals guide you through your tax compliance. 

Frequently Asked Questions

Q1. What is the standard corporate tax rate?

The standard corporate tax rate in Malta is 35%, which is applied to the company's income after allowing for any deductible expenses and non-taxable income.

Q2. Is a new company set up in Malta automatically deemed a tax resident?

Yes, a company is deemed resident in Malta for tax purposes if it is incorporated in Malta. Companies incorporated outside Malta but are effectively managed and controlled from Malta are also considered tax residents in the country.

Q3. Suppose a Maltese Company receives foreign income subject to tax outside Malta. Will it be entitled to claim relief for foreign tax?

Yes, Malta offers various forms of double taxation relief. The most common is the treaty relief, which emanates from Malta's extensive treaty networks with over 70 countries. The relief is given in credit, whereas the foreign tax suffered is set off against the Maltese tax liability.

Q4. Is there a possibility for the corporate tax rate to be reduced?

Yes, through the refundable tax credit system, whereby non-resident shareholders are allowed to claim a refund of 6/7ths (in certain circumstances 5/7ths or 2/3rds) of the tax paid by the company upon the distribution of a dividend. This reduces the effective tax rate to 5%.

Q5. What is a full imputation system?

It is a system where the shareholders of a Malta company will be entitled to a tax credit equivalent to the tax paid by the company upon a distribution of profits. The highest tax rate applicable to individual shareholders is 35% (equivalent to the corporate rate of tax). The shareholders will pay no further tax on the distribution of profits by the company.

Q6. Is a Maltese company required to withhold any tax upon paying dividends as a shareholder?

Under Maltese tax law, a Maltese company is not required to withhold any tax on paying dividends to the shareholder, irrespective of residence, domicile, and nationality.