Lawyer
Expert in corporate and international corporate law. Has extensive experience in supporting the acquisition of financial licenses in Ukraine, as well as business incorporation in the EU, the United Kingdom, Switzerland, the UAE, and key Asian jurisdictions.
Company Registration in Malta
Recently, in the legal sphere, Malta is one of the most attractive jurisdictions for entrepreneurs who plan to expand their activities in the European market. Thanks to a stable economy, favorable tax policy and EU member status, the country actively attracts investors, including from Ukraine. In recent years, the number of Ukrainian companies registered in Malta has been steadily growing, as this state offers a unique combination of a flexible business environment and a high level of legal protection, as well as favorable tax structuring conditions, with properly established legal work.
Advantages of registering a business in Malta for Ukrainians

- Tax incentives – although the standard corporate tax rate is 35%, thanks to the system of tax deductions and refunds for foreign shareholders, the actual tax burden can be reduced to 5–10%.
- Access to the EU market – a company registered in Malta has the right to operate freely in the territory of the European Union countries.
- Prestigious jurisdiction – Maltese companies are recognized as reliable counterparties in financial and commercial relations.
- Developed financial services sector – the presence of banks that open accounts for international companies.
Transparent corporate legislation – companies operate on the basis of the Companies Act, which meets European standards.
The most common form of business for Ukrainians
The most popular form of doing business in Malta is the Private Limited Liability Company (Ltd) – an analogue of the Ukrainian LLC.
Basic requirements:
- minimum authorized capital – €1,165 (of which €245 must be paid immediately);
- at least one director and one shareholder (can be foreigners);
- a mandatory company secretary – a resident of Malta;
- a registered legal address in the country.
Taxes for business in Malta
Malta has one of the most attractive tax systems for companies in Europe. Formally, the corporate tax rate is 35%, however, thanks to special refund mechanisms (the so-called refund system), the actual burden is much lower.
How it works:
- the company pays corporate tax at a rate of 35%;
- after that, non-resident shareholders are entitled to a refund of up to 6/7 of the amount paid;
- resulting in an effective tax rate of between 5% and 10%, depending on the type of activity.
Example: A company has made a profit of €100,000. It pays €35,000 in corporate tax. Non-resident shareholders receive a refund of €30,000. In fact, the company only pays €5,000, which is 5%.
In addition, Malta does not apply:
- capital gains tax in most cases;
- tax on dividends paid to non-residents;
- tax on repatriation of profits.
Thus, a business in Malta can simultaneously enjoy the benefits of a European jurisdiction and a really low tax burden. This makes the country extremely popular for holding structures, IT companies, consulting businesses and international trade.
Taxes for non-residents in Malta
Special attention should be paid to the taxation of income of non-resident individuals who receive profits from Maltese companies.
- Dividends for non-residents – are not taxed in Malta if paid to non-resident shareholders; Ukraine and Malta have an agreement on the avoidance of double taxation, which allows minimizing taxes also in the country of tax residence of the shareholder.
- Interest and royalties – are not subject to taxation when paid to non-residents, provided that the funds do not originate from Maltese sources.
- Personal income tax (PIT) – residents of Malta pay taxes on global income on a progressive scale of up to 35%; non-residents are taxed only on income received in Malta, at rates from 0% to 35% depending on the amount; many Ukrainians who register a business in Malta remain tax residents of Ukraine or other countries, avoiding Maltese residency.
- Favorable regimes for foreigners – the Global Residence Programme allows you to receive a preferential tax of 15% on income transferred to Malta from abroad; entrepreneurs can structure their financial flows in such a way as to minimize the burden.
As a result, we can note the following:
- for businesses – Malta offers one of the lowest effective corporate tax rates in the EU;
- for non-resident owners – income in the form of dividends, interest or royalties is often exempt from taxation;
- for resident individuals – a progressive system operates, however, there are special programs with reduced rates.
Challenges for Ukrainians
Despite the obvious advantages, there are a number of practical points to consider:
- opening a bank account can take time due to requirements for confirming the origin of funds;
- the company is required to keep accounting records and submit annual financial statements;
- the need to have a resident secretary and a registered address in Malta;
- increased requirements for AML/KYC procedures, which involves verifying owners and sources of capital.
As previously mentioned, registering a business in Malta for Ukrainians is not only an opportunity to open a company in a prestigious European jurisdiction, but also a real chance to integrate into the international market. A Maltese company allows you to optimize taxes, strengthen your business reputation, and ensure smooth work with European partners.
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