The Maltese Government has designed different programs and schemes in order to provide tax incentives or tax deductions for foreign investors. Some of these incentives are also part of the process of opening a company in Malta.
Subsidiaries are legal entities with capital that is partially or totally owned by foreign companies. However, the management of the subsidiary is not conditioned by the foreign capital, and the entity is able to handle business contracts, hire employees or issue and transfer shares.
Double taxation refers to the fact that two countries collect simultaneously taxes on the same company. This situation often arises when companies have subsidiaries or branches in various countries.
Malta is not only for its low tax rates, but it is also one of Europe’s fastest developing countries. Part of this development is due to the introduction of the citizenship by investment program, accepted by the EU. In addition, Malta also introduced several residency by investments programs, to help foreigners significantly reduce their taxes.
Malta does not have a dedicated legislation for the incorporation of holding companies, the country does have a unique taxation system, which is why it becomes the perfect location to open a holding company. Holding companies in Malta may operate in and outside of the EU.
It is possible for non – residents to open a bank account in Malta, even before arriving to the country. Maltese banks offer a wide range of services and they often use incentives to attract new customers, especially foreigners. Opening a bank account is a quick and easy process in Malta, especially if there is no history of adverse credit or debts.
