Over the past years, Malta proactively positioned itself not only as a competitive and tax efficient place to do business, but as an increasingly versatile and sophisticated structuring hub, with a sound regulatory framework. Malta has been an EU member state since 2004. It is a country with a stable and predictable tax system, which is one of the most important factors for any entrepreneur. For years, Malta has been working on improving its tax policy, reducing bureaucracy, making its accounting simple and comprehensible.

Whether you want to obtain a gambling or crypto license, first of all you need to set up a local company.

The private company is required to have at least one shareholder, one director, one company secretary, and a registered office. The legislation does not require the company’s directors to be Maltese residents. However in relation to a company’s performing restricted activities subject to a special license, such as dealing with regulated financial activities, appointment of local Maltese director is necessary. The minimum share capital must be more than €1,200.

Accounts

All companies must prepare an annual return in the prescribed format to be made up, upon each anniversary of its registration. The return must be filed with the Malta Business Registry within 42 days after the date to which it is made up.

Taxes

Corporate tax in Malta is 35%. However non-resident companies can obtain an 85% refund, meaning the rate is reduced to 5%. This is obtained by way of refunds that are made to the shareholders once the tax is fully paid. When distributions are made to the shareholder as dividends, they receive a partial refund (85%), resulting in 5% total tax paid by the IBC.

The Value Added Tax (VAT) is only applied to companies engaged in trading intra-EU and the rate is 18%.

KYC and AML requirements

All our clients prior onboarding have to go through our Due Diligence procedure which includes our AML and KYC checks.