The Malta Limited (Private Limited Liability Company) is a company incorporated under the Companies Act (Cap. 386) with its own legal personality. Shareholder liability is limited to the capital contributed. The statutory minimum share capital is EUR 1,165, of which only 20 percent must be paid up on incorporation. The company requires at least one shareholder, one director (who does not need to be resident in Malta) and a company secretary. Registration takes place at the Malta Business Registry (MBR) and typically takes six to eight weeks.
For international entrepreneurs the Malta Limited is attractive because it combines EU membership, the Maltese imputation system with an effective corporate tax rate of 5 percent, and a dense network of more than 70 double taxation treaties. The precondition for tax recognition is economic substance in Malta: a real place of business, qualified staff and genuine management decisions taken on the island. Without substance, shareholders risk HMRC treating the company as UK tax resident under the central management and control test, or attributing its profits under the CFC rules.
The Malta Limited is registered as a private company and is subject to the annual obligations of the Companies Act: annual accounts, an annual return filed with the MBR, tax compliance with the Commissioner for Revenue and, depending on the activity, sector-specific regulation by the MFSA or MGA. The company can operate throughout the EU without having to set up separate establishments in each member state.
