The last decade has seen large numbers of businesses moving their operations to Malta. This steady rise in companies choosing Malta as a location for business is due mainly to the advantageous tax laws and a working environment that is pleasant and relaxed.
For example, if it would not be for the beneficial legislation concerning taxation that operates in this Mediterranean island nation, then many online gaming businesses might not have chosen Malta as their home base. In fact, one of these well-known names decided to open an office here after they discovered the benefits offered by our fair society in 2005 – namely: low taxes and all around favourable conditions for offshore gaming providers.
Companies From Around The World Are Moving To Malta
The applications approved so far were from countries as diverse as the US, Australia, India, Russia and the UK. This does not mean that companies from other countries would be turned down automatically – in fact every application is treated on a case by case basis. However, applicants must submit proof of tax payments in their home countries with the request for operating license applications.
Most noteworthy among the latest companies to move to Malta is Playtech plc (a company with 2 billion pounds worth of revenues during 2010). They are moving their operations to Malta because they believe it will help them obtain a more widespread business presence throughout Europe and Asia. Their aim is also to try and trim their total taxes paid around 4 percent, thus increasing profits available for salaries or dividends etc. All nations want profit businesses within their borders – so it is not a surprise to discover that Malta has become a popular business destination of late.
“We are seeing an increasing number of businesses choosing Malta as their home base.”
-Trevor Howlett, head of the Lotteries and Gaming Authority Department in Malta.
Reasons Why People Would Choose Malta As Their Business Base
Low Tax Rates
One benefit to running a business from this Mediterranean island is that there are only very low corporate taxes or no business taxes at all for industries such as gaming, shipping and some other sectors currently enjoying tax rebates by the Maltese government (with investment schemes). Apart from these incentives, companies can also apply for double tax treaties – so even if they pay zero tariffs on certain items, and if tax due on other material is refunded.
Apart from the low business taxes in Malta as explained above, there are also no restrictions when exporting to other countries – especially EU countries that share similar legislation. It is important to note here that even though offshore gaming operations are primarily located in Malta and Gibraltar, they will continue to be familiar with the local marketing regulations of these two countries. This means businesses can operate under specific guidelines already set by those governments but still enjoy the benefits offered by a Mediterranean nation like ours (including nice beaches).
A pleasant working atmosphere for executives was another reason why companies decided moving their operational bases to Malta from more northern European regions, such as the United Kingdom or Germany. An example of this is the Stella Maris hotel, situated on the coast of Malta – it is very popular with executives during their business conferences and important meetings. This should not come as a surprise because many top quality companies from around Europe will select to host their events at the Crystal Palace conference centre in the same area.
“Nice beaches and warm sun – what more could you want?”
-Trevor Howlett, Head of Gaming Authority Department in Malta.
Hi! I’m John, the owner of New Vine. Here I post about all things business, finance, and real estate. My aim is to help people learn about all things business!