Tax Advisor & International Tax Expert
EU member. 5% effective corporate tax. 300 days of sunshine.
Over the past two decades, Malta has established itself as one of the most attractive business locations in the EU. What at first glance looks like a small Mediterranean island with just 500,000 inhabitants is today an international financial centre with over 70,000 registered companies. The reason: an EU-compliant tax system based on the full imputation method that legally enables one of the lowest effective corporate tax rates in all of Europe.
Corporate Tax
Income Tax (top rate)
Capital Gains Tax
Dividend Tax
VAT
Inheritance Tax
The Maltese tax system works quite differently from the British one. Your Malta Limited initially pays 35% corporate tax on its profits. The key difference: as a shareholder, you then apply for a refund of 6/7 of the tax paid. The effective rate comes out at 5%. Add to that 0% on dividends and capital gains for non-domiciled residents. This isn't a loophole – it's current EU law, reviewed and confirmed by the European Commission.
Tax framework conditions compared
Corporate Tax
Income Tax (top rate)
Capital Gains Tax
Dividend Tax
Compare estimated corporate tax on your business profits.
€200,000
Estimated annual savings
€90,625
90% less tax
Net after tax
€190,000
instead of €99,375
Simplified illustration. Actual tax burden depends on individual factors.
Every case is different. Tell me about yours – the initial assessment is free.
Enquire nowBeyond the tax advantages, Malta offers a genuinely good quality of life: 300 days of sunshine a year, English as an official language, EU membership since 2004 and the euro since 2008. The island has a lively expat community, international schools and solid healthcare. The cost of living is below comparable European locations. And from Malta, you can reach any European business partner within three hours by air.
Most people know by now that you only pay 5% tax in Malta. But how exactly is that achieved? I need to address this again, because there has been a significant development regarding the refund system.
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Malta is known for its sandy beaches, rugged cliffs, and historic fortresses. But there is much more to this island than just tourism. Here are my direct answers to the most common questions.
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Thinking about moving to Malta? I've lived here since 2011. From the ID card bureaucracy and healthcare to finding an apartment and navigating the tax system—here is everything you need to know before you pack your bags.
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2026 Tax Comparison: Malta (5%), Dubai (9% CT), Cyprus (15%) and Portugal (IFICI 20%) in detail. Corporate tax, Non-Dom, and formation costs. By tax advisor Philipp M. Sauerborn.
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This practical guide reveals the typical mistakes entrepreneurs make when setting up a Malta Limited – from false assumptions about tax benefits to a lack of substance. With clear...
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When you set up a Malta Limited, opening a local bank account is part of the package. It is essential for proving you have a permanent establishment here—something that is hard to do if you only have foreign accounts.
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First, let me be clear: this article focuses primarily on tax aspects. I'm not asking whether you could move to Malta—that's a personal decision. However, the tax implications differ massively depending on where you live.
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With Non-Dom status in Malta, you pay 0% tax on crypto gains—as long as you know the rules. This article covers the requirements, common mistakes, true costs, and how to navigate the system correctly.
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Moving abroad in 2026: A tax comparison of Dubai, Malta, Cyprus, Singapore, Portugal, Switzerland, Georgia & Paraguay. Tax rates, costs, pros and cons. By tax advisor Philipp Sauerborn.
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Tax-free crypto in 2026: A comparison of Malta, Dubai, Switzerland, Singapore & Georgia. DAC8, CARF, and exit tax rules explained. By Philipp Sauerborn, Tax Advisor, Malta.
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I'm in my forties now, and I've spent the vast majority of my career sitting at desks. But the definition of an "office" has changed radically since I started. Is a virtual office in Malta enough to secure the 5% tax rate, or is it a compliance risk?
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As a digital nomad, you are the modern equivalent of a shepherd looking for the best pastures for your herd. In this article, I compare the tax environments of the UK, Ireland, Cyprus, and Malta to help you decide where to set up your base.
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Anyone moving to Malta quickly notices the unique relationship locals have with animals. From stray cats to strict leash laws in Sliema, here is my personal take on keeping pets on the island.
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Before joining Dr. Werner & Partners, I worked as a consultant in London advising on UK company formation. Here is my direct comparison between the UK Limited and the Malta Limited, and why the tax difference matters.
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With the Malta holding model, entrepreneurs can reduce their effective tax rate to 5%. In this article, I explain how the refund system works, the new Fiscal Unit rules, the substance requirements – and why Malta isn't for everyone.
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Moving to Malta doesn't mean giving up your fitness routine. From high-end gyms in St. Julian's to scenic coastal jogging routes, here is how I stay active on the island.
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At Dr. Werner & Partners, my goal is to optimize your tax situation legally. While the Malta Limited is the standard for entrepreneurs, the Global Residence Programme offers a powerful solution for employees and high-net-worth individuals.
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While we usually focus on setting up Malta Limited companies, many entrepreneurs start as sole traders. Here are the four essential authority registrations you need to complete to become self-employed in Malta.
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The Austrian furniture giant XXXLutz is facing heavy criticism for routing its licensing business through a Malta company. Critics are calling it tax evasion, but is it? As a tax advisor in Malta, I take a closer look at whether this is illegal or simply smart use of EU law.
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Malta is ranked among the top 3 diving destinations in the EU. Here is what you need to know about the Rozi wreck at 36m depth, the caves of Gozo, and my recommendations for local diving schools.
Read moreBriefly outline where you stand – you'll receive a free initial assessment of your tax options in Malta.
Get in touchAll information provided without guarantee. Tax regulations are subject to constant change. For individual advice, please consult a qualified tax advisor.
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