Malta Private Limited Liability Company

Characteristics of a Malta Private Limited Liability Company:

1. Shareholders:
   Single member (one shareholder) companies are now also possible in setting up a Malta Private Limited Liability Company and such member may be an Individual or a Corporation. Bearer shares are not permitted.
   The minimum paid up share capital for a Malta Private Limited Liability Company of the foreign currency must be the equivalent to EUR 1,164.00 of which a minimum of 20% must be paid-up. Due to the variance of currency conversion from time to time, it is recommended that regardless of the currency chosen, it may be stated in round figures.
2. Directors:
   A minimum of one director is required and corporate directors are permitted in a Malta Private Limited Liability Company. Director can be non-resident. Details of the directors appear on the public register.
3. Officers/Secretary:
   A company secretary is required to be appointed to set up a Malta Private Limited Liability Company and the said secretary must be an individual. The Director can also be appointed as Secretary; however, if the Secretary and Director is the same person, an additional Director must be appointed.
4. Restrictions on Name and Activity:
   Names of a Malta Private Limited Liability Company must end with the word “limited”. There are few restrictions on the words, which may be included within a company name but those indicating a connection with the banking or insurance industries can only be used when an appropriate license has been obtained.
5. Local Requirements:
   As a matter of Maltese company law, every Malta Private Limited Liability Company must maintain a registered office address in Malta and must also appoint a Malta resident as registered agent. We would generally provide these services as part of the domiciliary service fee.
6. Timescale:
   Incorporation of Malta Private Limited Liability Company can be achieved within 1 week.
7. Annual Reporting:
   Malta Private Limited Liability Company must file an annual return and must also prepare audited accounts on an annual basis. The accounts must be audited by a Maltese auditor and these accounts must be prepared in accordance to the International Financial Reporting Standards (IFRS) or GAPSE. Failure to submit such annual return and audited accounts would subject the Company to a penalty imposed by the Malta Registry of Companies on a daily basis.
8. Taxation of a Malta Private Limited Liability:
   Malta Private Limited Liability Company are considered to be ordinarily resident in Malta and are consequently subject to tax on their world-wide income.
   Income Tax is the only tax imposed on the profits of the companies. The standard rate of income tax is 35% of taxable income, which is the net profit (accounting profits) as reported in the companies’ audited financial statements, subject to certain adjustments. All expenses incurred wholly and exclusively in the production of the income are considered deductible.
   Upon distribution of dividends by a Malta Private Limited Liability in favour of its shareholder/s the recipient shareholder/s would be entitled to claim a refund of six-sevenths (6/7) or five-sevenths (5/7) of the Malta tax suffered at the level of the Malta company on its said profits. However, should a Malta company have claimed relief for double taxation in respect of profits allocated to its Foreign Income Account and out of which dividends were distributed, its shareholder/s would only be entitled to a refund of two-thirds (2/3) of the Malta tax paid by the Malta company on the said profits.
9. Secrecy:
   The identity of the beneficial owners of a Malta Private Limited Liability may remain confidential if a trustee company authorized by the Malta Financial Services Authority is engaged to act as shareholder on behalf of the underlying beneficial shareholders. This confidentiality is maintained as long as the company and its beneficial owners are not involved in any money laundering activity.