Malta is a serious consideration for those wishing to set up a company in another jurisdiction and has several very serious advantages to consider. Malta company set up services it should be noted from the beginning are affordable in comparison to other more well-known financial services jurisdictions.
Malta is a serious consideration for those wishing to set up a company in another jurisdiction and has several very serious advantages to consider. Malta company set up services it should be noted from the beginning are affordable in comparison to other more well-known financial services jurisdictions. The cost of hiring staff to work in your business will generally be lower than a lot of European jurisdictions but not at the sacrifice of quality as Malta has generally an excellent standard of Education. The local workforce is also complimented by a large ex-pat community from several countries around Europe, meaning that skill shortages by the Maltese are often filled and language requirements can often be catered for. English is a national language in Malta, alongside Maltese and all legislation is drafted in both languages. With 95% of the countries population being able to speak and write in English, it is common for a general business to be conducted in English.
There are many fiscal and tax benefits of setting up a business in Malta with the quirky full imputation system of taxation offering a favourable if the indirect low effective rate of taxation. The standard rate of taxation is 35% on companies, which must be paid but shareholders on qualifying certain conditions being able to claim a refund of up to 6/7ths on the tax paid meaning a possible effective rate of taxation of 5% could be achieved. Malta also benefits from more than over 65 double taxation agreements with all the major financial jurisdictions in the world including the United Kingdom, United States of America, Australia, Canada and most of the European Union member states. As an EU jurisdiction, Malta benefits from the EU Parent-Subsidiary Directive which allows for the tax-free repatriation of profits via a dividend from a subsidiary in one EU member state to a Parent Company located in another EU member state.
Should a company set up in Malta or continue business in Malta, the country itself offers many favourable Malta residency programmes that give either a flat rate of taxation or a lower rate of taxation. The Highly Qualified Persons Programme as an example of one such programme seeks to attract highly qualified and experienced personnel in the aviation, gaming and financial sectors in exchange for a 15% flat rate of taxation. The Investment Services and Insurance Expatriates programme is another programme that offers similar incentives for persons working in the Investment Services or Insurance industries and if planned and advised correctly, it is possible several possible exemptions factored into an employment contract.
Malta apart from being a beautiful island in the middle of the Mediterranean that is blessed with a long and sunny summertime season from March to October is also very well connected to most European countries with flights generally being only a few hours. There are also easy connections to Dubai, London, Frankfurt, and Istanbul for flights to more long-haul destinations. Malta also has a frequent ferry and catamaran service to mainland Europe.
About The Author:
The author has been following the latest trends with regards to the Malta Individual Investor Programme and how the programme is contributing to the Maltese economy. In addition, the financial services industry is a major contributor to the island’s GDP with more and more people seeking Malta company formation services.
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