Malta, as a business jurisdiction, has seen an increase in popularity over the last two decades. Being part of the EU, it makes it easier for businesses to trade across EU member states’ borders. This is further supported by an industry, which is focused on servicing international business and specifically efficiencies in new business set-up. The country is able to facilitate international trade with a network a of double taxation treaties with 70 countries together with a full imputation system for local taxation.
Malta’s position in the Mediterranean makes it an ideal location for yachting. Malta has become one of the largest ship registers in the world. The Maltese Flag is reputable with the added benefit of being an EU flag. Malta offers and efficient and straight forward yacht registration process with competitive fees. In addition, there are no restrictions on the nationality of the Master, officers and crew. In 2020 Malta became the largest register of superyachts in the world with more than 850 vessels over 24 meters.
Malta can also offer attractive options for importing yachts into the EU. Yachts intended for commercial use can be imported into Malta and may benefit from a deferral on the VAT due on the import. Following importation into Malta, yachts can sail freely within EU waters. Malta continues to offer one of the most efficient ownership solutions available. In 2019 it was estimated that yachting contributed EUR 100 million in revenue to the economy and direct reemployment for 1,500 people.
Malta’s aircraft register is also growing in popularity. With its FAA Category 1 rating it offers peace of mind to the aircraft owners. The register offers flexibility to operators with no restrictions on where the aircraft can be based and operated, as well as the possibility of fractional ownership. Since Malta is an EU member state, registration on the aircraft register gives the benefits of free aircraft circulation in the eurozone and in turn tax-free commercial operation.
Malta’s economy is highly reliant on the service sector, meaning that the country will keep improving its economic policies to enable it to provide the best possible services and offer an attractive proposal for international businesses and prospective investors. The country is also committed to provide a highly educated workforce for the ever-growing industry.