Malta is a small island that continues to successfully maintain its tax system even after it accedes to Europe for more than a decade now. The country also has many incentives to offer to its citizens and foreign investors. Thanks to the lowest tax rate in the European countries, you can register a Malta company and gain a larger number of benefits than offshore companies in other countries. Many foreign investors are moving their businesses from other EU member states to benefit their companies from this taxation system.
Registering a company in Malta is not only tax-effective but is also a safe investment option for foreign entrepreneurs and investors. These days, Malta is again in the hype because of economic opportunities and benefits for many businesses.
As a shareholder of a Malta company, for instance, you can claim most of the money that you paid as dividends from corporate tax. The Maltese taxation system allows a company on the island to pay corporate tax at an official rate of 35 percent.
However, if you only register a company in Malta and are not a tax resident there, you are entitled to recover 6/7 of the tax paid. It means you will only pay only a 5-percent corporate tax. Moreover, you do not have to wait long for the reimbursement since it only takes up to 14 days of the month to recover the money paid as tax.
Similarly, the dividend received from a registered Maltese company and the profits from its sales is tax-exempted. It is because your company already pays this to the shareholder as a dividend. Your Maltese company can also attract many investors from other countries. While you can set up any of the businesses of your choice, a trading company engaged in international trading activities can be a wise choice.