Open a Holding Company in Malta: Key Requirements

Are you a foreign entrepreneur interested in opening a holding company in Malta in 2026? We invite you to explore our online business formation services. With the legal support of our Maltese lawyers, you can properly understand the key requirements for setting up such a business structure.

Quick Facts
Legal entities used	Private or Public Limited Liability Company
Incorporation method	With the Maltese Registrar of Companies
Incorporation time	Around 2 weeks
Advantages	It can operate within or outside EU
Precautions	Employer number required
Shareholding structure	1 shareholder
Minimum Capital	EUR1,165 for private LLC; EUR46,588 for public LLC
Taxation	0% tax on dividends and capital gains
Control	Foreign ownership available
Accounting and Reporting	Annual accounts submitted to the Maltese Government
Number of double taxation treaties	More than 70
Company name	Must be unique and approved by Registrar of Companies
Share capital structure	No restrictions on currency; can be in any denomination
Holding company activities	– Holding investments; – managing subsidiaries.
Accounting standards	Follow International Financial Reporting Standards (IFRS)
Annual filing requirement	Financial statements and annual return
Corporate tax rate	Flat rate is 35%, but Malta provides a 6/7ths corporate tax refund for non-resident, non-domiciled shareholders, lowering the effective tax rate to 5%.
Dividend Taxation	Exemption for dividends received from subsidiaries
Registered office	Must have a registered office in Malta
VAT registration	Pure holding companies are exempt from Maltese VAT, but the tax might be applicable to intra-community acquisitions of services under reverse charge regulations.
Shareholders’ liability	Limited to share capital
Types of assets owned by the holding company in Malta	Malta holding companies have the flexibility to hold various assets, including shares, securities, real estate, aircraft, bank accounts, and intellectual property, as well as personal assets like yachts, residential properties, and artworks.
Requirement for local bank account (Yes/No)	Yes
Registered agent requirements	No, but it is recommended to hire our company formation agents in Malta for smooth incorporation of a holding company.
Residency requirements for the founder(s) (yes/no)	No
Assistance in opening a holding company in Malta	From initial consultations to navigating legal requirements and paperwork, our team ensures a smooth and efficient incorporation process.

What is a holding company in Malta, and why is it used?

If you want to own shares in one or more subsidiaries in Malta, it is recommended to set up a holding company. You don’t need to handle daily activities; you can manage assets, investments, and more.

Are there any nationality restrictions when opening a holding company in Malta?

No.

What is important to consider when opening a holding company as a foreigner in Malta?

To understand and comply with the corporate laws in Malta.

What is the proper business entity for opening a holding company in Malta?

The private limited liability company.

Is there a minimum share capital to open a holding company in Malta?

EUR 1,165, from which 20% must be deposited in a local bank account upon incorporation.

This infographic presents information about holding companies in Malta:

Where do I register a holding company in Malta?

At the Business Registry in Malta.

What are the key requirements to set up a holding company in Malta in 2026?

ensure a business address,
verify and reserve the business name,
prepare the documents,
pay the administrative fee,
appoint a director and a company secretary,
open a bank account in Malta,
submit all documents to the Maltese Business Registry.

What are the documents needed to open a holding company in Malta?

Articles and Memorandum of Association,
proof of registered business address,
IDs/passports of shareholders & directors,
company secretary details,
declarations of Ultimate Beneficial Owners (UBOs), etc.

What can I own through a holding company in Malta?

Shares in subsidiaries,
Intellectual property,
Securities,
Various financial assets,
Real estate investments, etc.

What is the time frame to open a holding company in Malta in 2026?

A few weeks.

What are the tax benefits of setting up a holding company in Malta?

holding company shareholders in Malta can claim a 6/7ths tax refund upon dividend distribution, reducing CIT from 35% to 5%,
0% withholding tax on outbound payments of interest, dividends, and royalties to non-resident shareholders of a holding company,
no capital gains tax, etc.

NOTE: Holding companies in Malta are advantageous because they have lower setup and annual maintenance costs, can protect parent company assets, and are fully compliant with EU regulations.

In case you want to open a holding company in another offshore jurisdiction, such as the BVI, we can put you in contact with our partners – BridgeWest BVI, who can help you. The time frame for the incorporation process in the BVI is approx. 2 working days.

We can also help you set up a company in Luxembourg, where the time frame for incorporation is three weeks, while in Malta it takes 1-2 weeks.

Apart from setting up a holding company, foreigners can also benefit from our support in purchasing property in Malta. For comprehensive information on the advantages of holding companies, please get in touch with our law firm in Malta.