• Re-Domiciliation of Companies to Malta

Re-Domiciliation of Companies to Malta

Malta has become an attractive destination for companies looking to re-domicile due to its favorable business environment and legal framework. Re-domiciliation, or the process of transferring a company's registration from one jurisdiction to another, involves several steps and requirements. Here is an in-depth look at how to re-domicile a company to Malta. 

The process of re-domiciling a company to Malta is governed by the Continuation of Companies Regulations (Subsidiary Legislation 386.05) under the Companies Act (CAP386). This legislation provides a clear pathway for companies to transfer their domicile to Malta while ensuring compliance with local laws. 

Why Malta 

Malta offers numerous advantages for companies looking to re-domicile: 

  • A services-oriented economy with skilled and knowledgeable professionals 

  • Legal system based on a hybrid of Common & Civil Law 

  • 0% taxation on dividends 

  • One of the lowest corporate tax rates in Europe 

  • Wide network of Double Tax Treaties (around 80) 

  • Reduced administrative costs 

  • Excellent geographic position between Europe, Asia, and Africa 

For holding companies, some additional benefits include: 

  • No withholding tax on dividends, income, or royalties

  • Tax exemption on dividends 

  • Group relief laws 

  • No capital gains tax on disposals  

The Re-domiciliation Process 

Once the necessary documents are prepared, they must be submitted to the Malta Business Registry (MBR). The MBR will issue a provisional certificate of registration, allowing the company to operate in Malta. Within six months, a final certificate of registration will be granted once the company ceases to exist in its former jurisdiction. 

Eligibility Criteria 

To be eligible for re-domiciliation to Malta, a company must originate from an approved jurisdiction where re-domiciliation is legally permissible. This ensures that the company can legally transfer its registration without violating the laws of its current jurisdiction. 

Required Documentation 

The re-domiciliation process involves several key documents: 

  1. Extraordinary Resolution: The company must pass a resolution by its members or shareholders approving the re-domiciliation.  

  1. Constitutive Documents: These documents, such as the company's Memorandum and Articles of Association, must comply with Maltese legislation. 

  1. Certificate of Good Standing: This certificate verifies that the company is compliant with the requirements of its current jurisdiction.  

  1. Director's Declaration: A declaration by the directors regarding the company's name, current jurisdiction, decision to re-domicile, and solvency.  

  1. List of Directors and Secretaries: A comprehensive list of the company's directors and secretaries before and after the re-domiciliation. 

How We Can Help 

Our experienced team in Malta has acted in relation to numerous re-domiciliations, both into and out of Malta. We can assist and provide guidance throughout all stages of the process: 

  • Handling the entire re-domicilation process from the Malta side, including the necessary documentation, such as Directors’ resolutions, shareholders’ minutes, updated Memorandum and Articles of Association. 

  • Liaising with lawyers /advisors in other jurisdictions for the coordination of the matter. 

  • Dealing with all the other parties involved, including auditors and translators, to arrange for the translations of documents into English where applicable. 

  • Undertaking all the filings with the Registrar, as well as the publication of notices in newspapers required by law. 

If you have any questions or want to know more about how we can assist you, please contact either of our Directors of Trustee and Corporate Services, Josianne Cascun-Montebello at jcascunmontebello@tridenttrust.com or Janice Copperstone at jcopperstone@tridenttrust.com 

Authors


Josianne Cascun Montebello Josianne Cascun Montebello

Director – Trustee and Corporate Services

jcascunmontebello@tridenttrust.com +356 21 434 525
Janice Copperstone Janice Copperstone

Director – Trustee and Corporate Services

jcopperstone@tridenttrust.com +356 21 434 525