MALTA

Malta is an island in the central part of the Mediterranean Sea.

Malta has the total area of 316 square km. The population of the island is nearly 355,000 people. The official languages of Malta are English and Maltese.

The national currency of Malta is a Maltese Lira, Lm = 2.7 USD.

1	Advantages	Low taxation of resident companies – 4.17% of the net profit. The opportunity to determine taxable profit independently The availability of double taxation avoidance treaties with 23 countries A strict confidentiality code
2	Disadvantages	The need to pay high taxes and only after that the refund of the principal amount of taxes
3	Corporate Law	The Companies Decree of 1996
4	The form of tax exempt company	International Trading Company, hereinafter referred to as the “Company”
5	Permitted activities	Trading activity
6	Prohibited activities	Transactions with Maltese residents Banking, insurance, reinsurance and trust services are prohibited.
7	Taxation	The Company pays 35% of net profit tax. However, if the Company’s shareholders are Maltese non-residents the paid gross dividends are taxed at the rate of 27.5% in consideration of the tax paid. In addition, the shareholders are refunded 2/3 of the profit tax paid. The resulting net rate of the profit tax is 4.17%.
8	The period of registration	1 to 2weeks
9	The possibility to buy a shelf company	None
10	The name of the Company	Should not be identical or similar to any one registered. The name should end in the word “Limited” or “Ltd.”
11	Documents necessary for the registration	Memorandum of incorporation, the Articles of Association
12	Who signs the documents of incorporation?	The subscribers whose function is only to sign the documents of incorporation and appoint the first director
13	The Company’s share capital	The minimum size of the authorized share capital is Lm 500. The minimum size of the paid in share capital is Lm 100
14	The recommended share capital	Lm 500 divided into 500 shares with the face value Lm 1 per share
15	Shares	Only registered shares with the face value are issued
16	Shareholders, founders: -- minimum number -- nominee shareholders -- trust ownership	Two private individuals or corporate entities, shareholders being Maltese non-residents are recommended, to use the tax benefits permitted permitted
17	Whether the law provides non-disclosure of the information: -- on the beneficial owner of the Company -- on banking transactions	No No
18	Directors: -- minimum number -- ethnic origin and nationality -- status	One private individual or a corporate entity No requirement All rights except those being within the exclusive competence of the shareholders (determined by the Articles of Association)
19	The existence in the territory of Malta of: -- a registered office -- a registered agent	Obligatory Not obligatory if the secretary is available (a resident Company)
20	Meetings of: -- shareholders; -- directors	Annual meetings of shareholders are obligatory No requirement
21	The requirement of: -- the accounting -- preparing the annual report -- submission of the auditors’ opinion	Yes Yes Yes
22	The information available upon request of any third parties	Names and addresses of directors and shareholders, registered office, memorandum and the Articles of Association
23	Documents kept in the registered office	Register of the shareholders, directors and secretaries
24	Double taxation avoidance treaties	Australia, Austria, Belgium, Bulgaria, Canada, China, Cyprus, Finland, France, Germany, Hungary, India, Italy, Libya, Luxembourg, the Netherlands, Norway, Pakistan, Sweden, Poland, Great Britain, the USA
25	Currency control	None