Reasons for setting up a company in Malta
Reasons for setting up a company in Malta
Reasons for setting up a company in Malta: Have you guys heard of setting up a company in Malta? This European company is becoming one of the top places to set up a business and there are many reasons why people are considering doing so. Do you want to know what they are? Let’s check some:
Lower effective corporate tax rates
Malta has a flat corporate tax rate of 35%, which may seem a bit high, but this figure can be reduced to around 5% to 7% through distribution of profits. Setting up a holiday company elsewhere means that you will only be liable to pay tax on the income remitted to Malta. Similarly, the income tax rate in Malta is also quite reasonable. Malta also has double taxation treaties and various exemptions. You can find more guidance about these policies at https://papilioservices.com/.
Low minimum wage
One of the best reasons to consider setting up a company in Malta is that you have to pay a very low minimum wage. It’s only around €720, which means you don’t have to pay more to have motivated and satisfied staff.
Share capital requirement
Another great reason to consider setting up a company in Malta is the low share capital requirement of just €1,165. With only 20% of this to pay, it is a very small investment when it comes to setting up a company in a European country. You need less physical money and the annual fee is also quite reasonable at €100, making it hard to resist.
Less social security
Companies are required to pay social security to all employees and the good news is that it is very low in Malta, which can reduce the cost of doing business in the long run.
