How high are the corporate income tax in Malta?
Malta's corporate income tax rate is 35%.
- However, incentives are given to companies that can lower their effective tax rate:
- Dividends paid out of the company’s taxed profits give right to an imputation credit on the paid taxes
- This imputation system is supposed to eliminate the double taxation burden on dividends (Malta has no withholding taxes) and can lead to very low effective tax rates for the company
What Double-tax treaties has Malta?
Many countries have bilateral conventions to avoid double taxation and prevent fiscal evasion
Andorra, Albania, Australia, Austria, Azerbaijan, Bahrain, Barbados, Belgium, Botswana, Bulgaria, Canada, China, Croatia, Cyprus, Czech Republic, Denmark, Egypt, Estonia, Finland, France, Georgia, Germany, Greece, Guernsey, Hong Kong, Hungary, Iceland, India, Ireland, Isle of Man, Israel, Italy, Jersey, Jordan, Korea, Kuwait, Latvia, Lebanon, Libya, Liechtenstein, Lithuania, Luxembourg, Malaysia, Mauritius, Mexico, Moldova, Montenegro, Morocco, Netherlands, Norway, Pakistan, Poland, Portugal, Qatar, Romania, Russia, San Marino, Saudi Arabia, Serbia, Singapore, Slovakia, Slovenia, South Africa, Spain, Sweden, Switzerland, Syria, Tunisia, Turkey, Ukraine, United Arab Emirates, United Kingdom, United States of America, Uruguay, Vietnam
Status: end of 2020
Two treaties are signed but not in force: Belgium, Curaçao