Register Company in Malta

• There are various forms of business structures available in Malta to choose from including the following:
  • Limited Liability Company (LLC)
  • Malta Freeport company
  • Public Limited Company (PLC)
  • Branch Office
  • Representative Office
• Tetra Consultants’ team of experts will first fully understand your unique business model, needs, and goals, before recommending the most optimal business structure for you. The Limited Liability Company tends to be the most common choice among smaller businesses due to its tax benefits.
• Prior to incorporating a Malta company, you will be advised on the optimum paid up share capital, company structure, legislations and whether there is a need to apply for any licenses to operate.

• After your company submits a unique business name, Tetra Consultants will reserve your preferred company name with the Malta Business Registry.
• Once it is approved, it will be valid for up to 3 months before it is released.

• Before Tetra Consultants move forward to register company in Malta, you are required to provide a list of required KYC documents. Some of these documents include the names of directors and identification proof.
• You will also have to fill in an application form to be submitted to the authorities.
• Upon receiving all the necessary documents, Tetra Consultants will proceed to draft and notarize the company’s Memorandum and Articles of Association.
• According to the business activity and company structure, Tetra Consultants will also draft articles of incorporation, business plan and other incorporation documents.

• Tetra Consultants will then proceed to file for registration with the Malta Business Registry and submit the application form online.
• After receiving approval, Tetra Consultants will courier the company registration certificate, Memorandum and Articles of Association and other documents to your preferred address.

• After registration, Tetra Consultants will assist you in opening a corporate bank account. Our team has established partnerships with multiple reputable banks in both Malta and globally. We will present your business to each relationship manager and compliance team.

• Tetra Consultants will continue to provide you with the necessary accounting and tax services to ensure that you can continue to legally conduct business while staying compliant with regulatory obligations.
• Our team of dedicated consultants will prepare your firm’s financial statements, corporate tax returns and manage bookkeeping on your behalf.
• The corporate tax rate in Malta is 35%, while the VAT rate is 18%.
• Our team of dedicated consultants will continue to clarify any doubts you may have with regard to your company’s obligations.

Bank account opening to register company in Malta 

• Registering a company in Malta requires opening a bank account. This is a legal prerequisite for depositing the share capital, set at €1,200 (for private limited liability company). Tetra Consultants specializes in company registration. They secure a corporate bank account for companies within around 4 weeks post-registration. The timeline for securing a bank account may vary based on the business activity’s risk level. In some cases, Malta may need applicants to travel for an interview. Tetra Consultants possess expertise in navigating regulatory processes. This ensures an efficient and compliant registration experience for clients. They offer a swift avenue for establishing and operating companies in Malta. 

Documents required to have a corporate bank account: 

• Shareholders’ and company’s bank references 
• Utility bills with the directors’ and shareholders’ current Maltese addresses 
• Copies of passports or identification documents of the shareholders and managers 
• Certificate of good standing of the company 
• Company’s statutory documents (Articles of Association, Memorandum, etc.) 

Documents required to register company in Malta 

• When registering a company in Malta, the following documents are typically required:
• Memorandum and Articles of Association
• Identification documents of shareholders, directors, and company secretaries
• Registered office address in Malta
• Shareholder and director registers
• Company name reservation
• Company formation fee
• Form BO1 (Ultimate Beneficial Owner disclosure form)
• Incorporation forms (e.g., Form CO1, Form CO2)
• Tax Identification Number (TIN) application
• It is  important to note that this list is not exhaustive, and additional documentation may be required depending on the specific circumstances of the company and its activities. You can consult with our team of business setup consultants to ensure compliance with all necessary requirements.

Annual accounting and tax considerations for company registered in Malta

Annual accounting and tax considerations are crucial for companies registered in Malta. Here are some key points to keep in mind:

1. Financial Statements: Maltese companies are required to prepare annual financial statements in accordance with the International Financial Reporting Standards (IFRS) or the General Accounting Principles for Smaller Entities (GAPSE). These statements must provide a true and fair view of the company’s financial position, performance, and cash flows.

2. Auditing Requirements: In Malta, companies are generally required to have their financial statements audited by a certified auditor unless they meet specific size criteria that exempt them from this obligation. The auditor’s role is to independently review the financial statements and express an opinion on their accuracy and compliance with the applicable accounting standards.

3. Tax Returns and Payments: Maltese companies must file an annual tax return with the Inland Revenue Department. The tax return should include all relevant financial information, such as income, expenses, and any tax credits or incentives claimed. It is important to ensure timely submission of the tax return to avoid penalties. Additionally, companies are required to make quarterly advance tax payments based on an estimated tax liability.

4. Tax Compliance: Malta operates a territorial tax system, where companies are generally taxed on their income derived in or remitted to Malta. It is important for companies to ensure proper tax compliance, including accurate record-keeping, maintenance of supporting documentation, and adherence to transfer pricing rules if applicable.

• The corporate tax rate in Malta is set at 35% on the chargeable profits as reflected in the audited accounts of the company. However, Malta has implemented a tax refund system that offers significant fiscal advantages to shareholders. This system allows for a reduction of the effective tax rate to 0% for holding companies and 5% for trading companies. It is important to note that specific legal conditions must be met in order for shareholders to qualify for these tax refunds.
• By satisfying the necessary requirements, shareholders of holding companies can enjoy a complete exemption from tax on the profits distributed to them. Similarly, shareholders of trading companies can benefit from a reduced tax rate of only 5% on the distributed profits. These tax refunds are designed to encourage investment and promote economic growth in Malta.
• It is crucial for companies and shareholders to seek professional advice and ensure compliance with all legal obligations to avail themselves of these tax refund benefits. By understanding and meeting the specific criteria set by Maltese tax legislation, shareholders can maximize their fiscal advantages and optimize their overall tax position.

5. VAT Reporting: Companies registered for Value Added Tax (VAT) must comply with the relevant reporting obligations. This includes timely submission of VAT returns, payment of any VAT liability, and maintaining proper VAT records. Certain companies may also be eligible for VAT refunds or special VAT schemes, such as the Malta Gaming Goods and Services VAT Scheme.

Why choose to register company in Malta?

Before proceeding to register company in Malta, it is important to understand the business landscape of the jurisdiction. This is to ensure that your newly established entity will be able to safely and legally conduct business, while striving towards your long-term business goals.

Political

• According to the Corruption Perceptions Index reported by Transparency International, Malta is the 50th least corrupt country worldwide.

Economical

• Euros is the official currency of Malta.
• The corporate tax rate in Malta is 35%. However, there are plenty of tax incentives that can reduce the effective tax rate to almost 10%.
• Malta has signed over 60 Double Taxation Avoidance Agreements (DTAAs), preventing double taxation during the import-export process. 
• According to the World Economic Forum’s Global Competitiveness Report, Malta was awarded a score of 68.55%. As such, Malta is the 38th most competitive economy in the world.

Social

• Malta possesses a literacy rate of 94.5%. In addition 88% of the Maltese workforce are proficient in English. As such, there will be minimal communication barriers when speaking to local authorities or bankers. 
• Malta has a population of approximately 500,000, which is extremely low in Europe. Most investors choose Malta to set up offshore companies instead of focusing on the domestic market.

Technological

• The Malta government introduces the Malta Virtual Financial Assets (VFA) licenses that provide a regulated and safe environment for businesses to set up cryptocurrency businesses. 
• Malta is home to many gambling businesses. With Malta Gaming Authority overseeing the regulatory framework, companies are able to apply for the gambling license and conduct business legally.

Legal

• According to the latest annual ratings given by the World Bank, Malta is ranked 88th worldwide in terms of ease of doing business. This is due to the slow response time provided by Maltese government throughout the process to register company in Malta. 

Environmental

• According to the Environment Performance Index, Malta is ranked 4th in the world. 

Looking to register company in Malta?

Contact us to find out more about how to register company in Malta. Our team of experts will revert within the next 24 hours.

FAQ