Maximizing Tax Benefits: A Guide for Company Owners in Malta

Discovering the optimal strategies to leverage tax benefits is a key concern for business owners in Malta. In this comprehensive guide, we explore valuable insights and schemes offered by the Maltese government, focusing on tax credits to help company owners make informed decisions and maximize their taxpayers’ money.

Maltese VAT Insights

Malta, being a full member of the European Union, adheres to the EU VAT system with a standard VAT rate of 18%. At Parker Russell Turner, we ensure clients’ compliance with local VAT legislation, offering advisory services for international trading requirements. Our VAT services include preparation and submission of VAT returns, assistance during VAT investigations, and advice on indirect taxation matters.

Stamp Duty Considerations

Stamp duty in Malta is currently set at 3.5% on the first €150,000 of immovable property for primary residence purchases. Non-EU citizens are subject to 5% stamp duty. EU citizens, establishing Malta as their primary residence, benefit from a reduced rate of 3.5%. First-time buyers may enjoy an exemption on the first €150,000, saving up to €5,250. This incentive applies to property acquisitions through inheritance, first-time home purchases, and non-residents not requiring a property acquisition permit.

Tax Investigations and Planning

As one of the few fully licensed entities in Malta offering fiduciary and trustee services, we support clients in registering trusts and holding shares in the name of shareholders. Our expertise extends to tax investigations, where our experienced accountants provide crucial insights and feedback to fiscal authorities. We also assist in tax planning, leveraging our international partnerships to evaluate jurisdictions and structures, and taking advantage of government-issued schemes and tax credits.

Conclusion

Navigating the complexities of taxation in Malta requires a strategic approach. By understanding the nuances of VAT, stamp duty, and engaging in proactive tax planning, company owners can not only ensure compliance but also maximize the benefits offered by the Maltese government. At Parker Russell Turner, we stand ready to assist you in making the most of your taxpayers’ money, offering professional insights and expertise to guide your business towards financial success.