As an EU Member State, Malta company law is in conformity with EU directives, offering low effective tax rates within a professional infrastructure and a legal, respected and regulated jurisdiction. The Malta Financial Services Authority (MFSA) is the only regulator for financial services in Malta and it also houses the Companies Registry. Malta`s main appeal is the favourable tax environment. In Malta, apart from having the lowest corporate tax rate, we also have the lowest intellectual property rate, VAT rate and gaming tax in Europe.
Malta operates a full imputation system under which companies are taxed at a corporate rate of 35%; however, foreign shareholders are entitled to claim tax refunds which results in an effective tax rate of 5%. This tax incentive makes the opening of a Malta company a favourable move for your new business.
A Malta company formation requires a Memorandum and Articles of Association together with identification documents of the subscribers, and also proof of the initial paid up share capital. The minimum share capital required to set up a company in Malta is €1,165. The share capital does not need to be paid in full, however a minimum of 20% needs to be paid up. At least two subscribers (natural or legal persons) are required to form a private company. Fairwinds Management Limited also offers the possibility to take up the second shareholding, however thus can be without any economical rights. A single-member company can be formed having a sole member whereby it needs to specify the main objects that the company will trade in.
It is therefore essential that upon an application for incorporation each new company presents a tailor made set of constitutive documents highlighting the specific needs and objectives of the company. Our corporate professionals will help you create the necessary framework so that your company is enabled to undertake the desired trading, holding or other activities. Key features of a Malta offshore company are that we offer the highest level of privacy protection and that it can be part of a tax efficient corporate structure. Furthermore, here at Fairwinds Management Limited we are able to do Bank accounts introductions, apply for a Malta VAT number and other related services for your newly formed Malta company.