Balance de Malta tras 3 años: Lo que un empresario internacional haría diferente hoy – Lecciones aprendidas

Why I Moved to Malta in 2021: My Original Expectations

6% tax, EU membership, English as the official language, and 300 days of sunshine per year – that was my Malta pitch in autumn 2021. After three years, I can say: it’s all true. Still, there are things I’d do differently now.

Back then, I was running a German online marketing agency and dreaming of the digital nomad life with tax optimization. Malta seemed perfect: an EU country with attractive tax regulations for entrepreneurs, without the language barrier of other tax havens. What could go wrong?

The Malta Promise from a German Perspective

My original calculation was simple: As a German entrepreneur I was paying nearly 45% tax (trade tax, corporate tax, capital gains tax) at the time. Malta offered, with the Remittance System, just 6.25% on distributed profits. On an annual profit of €200,000, that would have meant saving over €70,000.

EU freedom of movement made the relocation legally straightforward, and English as an official language would hopefully ease the bureaucracy. Plus Mediterranean climate – I was sold.

What I Didn’t See Back Then

Now I know: The 6% is real, but getting there is way more challenging than any tax consultant brochure suggests. No one told me these three things in 2021:

• Setup costs: Expect €15,000–20,000 in the first year – just for lawyers, tax consultants, and authorities
• Substance requirements: You really have to live and work here – its not just about setting up a shell company
• Practical hurdles: From opening a bank account to finding a flat – everything takes twice as long as expected

What does that mean for you? If youre considering Malta, allow at least 18 months for a complete move. And have a €30,000 buffer for unforeseen costs.

Setting Up a Company in Malta: What Really Happened

In February 2022, I stood for the first time at the Malta Business Registry in Valletta. Three hours of waiting for a 10-minute appointment – welcome to Malta, I thought. I can laugh about it today, but at the time, I was shocked.

The Paperwork: More Than Expected

Setting up a Maltese Limited (Ltd.) officially takes 3–5 working days. In reality? Expect 3–4 weeks, if all documents are complete. You’ll need:

• Minimum capital: €1,165 (must be paid in)
• Registered office: A real business address in Malta (from €500/year)
• Company secretary: Must be a Maltese citizen or EU resident (from €1,500/year)
• Memorandum and articles: The company statutes – let your lawyer handle this

My mistake: I thought I could manage it all myself. After two weeks of back and forth with incomplete forms, I brought in a local lawyer after all. Cost: €3,500. If I’d done that straight away, it would have been cheaper.

The Banking Odyssey

This is where it gets truly Maltese: opening a bank account is like an initiation ritual. BOV (Bank of Valletta), HSBC Malta, APS Bank – I tried them all. Every bank asks for different documents, and nobody can tell you exactly what in advance.

I ended up with APS Bank. Not because theyre the best, but because the banker there had patience with confused Germans.

Tax Registration: The Moment of Truth

Registering with the Commissioner for Revenue is theoretically simple. You fill out the VAT registration form and wait. In practice, you quickly notice that Malta has its own tax system that differs fundamentally from Germany’s.

The Maltese Imputation System means your company pays 35% corporate tax, but as a shareholder you get 6/7 of that back when distributing profits. Effectively, only 5% tax remains. Sound good? It is – but only if you do everything right.

What does that mean for you? Have a Maltese tax consultant explain the system before you set up. My recommendation: Budget €2,000–3,000 per year for professional tax advice.

Malta Taxes in Practice: My Honest 3-Year Review

Let’s get specific. After three years in Malta, I can tell you exactly what tax optimization really delivered – and what it cost.

The Numbers: Savings vs. Extra Costs

My average annual profit is €180,000. In Germany, I would have paid about €75,000 tax. In Malta, it’s €9,000. Savings: €66,000 per year.

Sounds fantastic, right? Here’s the reality:

Bottom line: I’m saving €48,500 per year. That’s still a lot of money, but not the €66,000 promised in the marketing brochures.

The Maltese Tax System in Practice

What no one tells you: the Maltese system is complex. You have three different accounts in your firm (Maltese Source Account, Foreign Source Account, Final Tax Account), and every distribution has to be categorized correctly.

My first tax advisor got this wrong. Result: A back payment of €12,000 plus penalties. I now only work with tax specialists who focus 100% on Malta.

Substance Requirements: More Than a PO Box

Malta takes economic substance very seriously. You have to prove your business genuinely takes place here. Practically, that means:

• Spend at least 183 days a year in Malta
• Have a real office (home office only counts to a limited extent)
• Employ Maltese staff or use service providers
• Hold board meetings in Malta

Authorities check this strictly these days. An acquaintance had to pay €35,000 back taxes because he’d spent too much time in Germany.

What does that mean for you? Plan your Malta move as a real relocation, not a tax trick. Anything else will cost you.

Daily Business in Malta: The Things No One Mentions

After three years in Malta, I know every coffee shop in Sliema and that the bus to St. Julians is more likely not to show up on Mondays. But what does that mean for your business?

Internet & Infrastructure: Better Than Its Reputation

Surprise: The internet is much better than expected. With Epic or Melita you get 1 Gbit/s for €40–50 per month. In Germany you pay twice as much.

Power outages? They happen, but less often than feared. In three years, I had maybe five outages lasting more than 30 minutes. It’s worse in Gozo, but in Malta’s main areas it’s stable.

Business Partners & Networking

Malta is small – that’s an advantage and a disadvantage. Pro: You’ll know the most important players in your industry after a year. Con: Everyone knows each other, and gossip spreads quickly.

The business community splits into three groups:

• iGaming sector: The biggest employer, many events
• Fintech & blockchain: Growing fast, but still manageable
• Traditional business: Import/export, real estate, tourism

My tip: Go to the Malta Blockchain Summit events. Even if you’re not in crypto – you meet the island’s most innovative entrepreneurs there.

Hiring Employees: The Never-ending Challenge

Malta has full employment. Sounds great, but it means finding qualified staff is tough and expensive. A good marketing manager costs €35,000–45,000 per year – in Germany, youd find better for that money.

The solution: work remote-first. I now have a team from Germany, Poland, and Malta. The best of all worlds.

Bureaucracy: Slow, But Not Impossible

Yes, Maltese authorities are slow. No, they’re not incompetent. You just have to understand the system:

What does that mean for you? Plan visits to authorities strategically and bring patience. A book or podcast will make the waiting bearable.

Malta Mistakes and Lessons Learned: What I Would Do Differently Now

Three years in Malta means a lot of lessons learned. Here are the five biggest mistakes I made – and how you can avoid them.

Mistake 1: Going With the Cheapest Tax Advisor Instead of the Best

My first Maltese tax advisor cost €1,500 per year. Sounded cheap, but was a disaster. Wrong tax return, missed deadlines, and in the end, a €12,000 back payment.

The lesson: Don’t skimp on Maltese tax advice. A good specialist costs €5,000–8,000 per year but saves you hassle and money. My tip: Only go with firms who focus exclusively on Maltese tax law.

Mistake 2: Renting a Flat Too Quickly

In March 2022, I signed a rental contract for €1,800/month in Sliema – without knowing the area or checking alternatives. The flat was okay, but overpriced and too loud.

The lesson: Take at least two months to try out different areas. St. Julian’s is party central, Sliema is expensive but convenient, Valletta is historic but very touristy. I now live in Gzira – cheaper, quieter, still central.

Current prices (3-bedroom furnished flat):

• St. Julian’s/Paceville: €1,800–2,500/month
• Sliema/Ta Xbiex: €1,500–2,200/month
• Gzira/Msida: €1,200–1,800/month
• Valletta: €1,300–2,000/month

Mistake 3: Trying to Keep German Banking

I thought I could keep my German business account and just run a Maltese firm. Wrong. After six months, the German banks asked questions and closed my account as soon as they realized I was no longer resident in Germany.

The lesson: Plan the full banking move right from the start. I now use APS Bank Malta for local business and Wise for international transfers.

Mistake 4: Underestimating Social Life

Malta is an island. That means: limited social options. After a year I was, honestly, lonely. The expat community exists, but is often superficial – many people stay only 1–2 years.

The lesson: Invest consciously in friendships. Join local clubs (diving, hiking, photography), attend business events, and learn some Maltese – even the basics. Locals warm up much more if you show interest in their culture.

Mistake 5: Not Taking Substance Requirements Seriously

In my first year, I was still in Germany a lot – old clients, family, friends. That’s normal, but problematic for tax. Malta counts every day, and 183 days means 183 days.

The lesson: Keep a detailed travel diary. App tip: TripIt or a simple Excel sheet. And really plan for Malta as your home, not just as an extended workation.

What does that mean for you? Malta works, but only with the right preparation. Expect 18 months for the full setup and at least €30,000 initial costs.

Malta 2025: Who the Move Is Still Worthwhile For

The question I get asked most: Would you still recommend Malta today? The answer: It depends.

Malta Is Right for You If…

Based on three years’ experience, I see a clear profile of entrepreneurs who thrive in Malta:

• Annual profits above €150,000: It’s not worth the effort below this
• Location-independent business: Online services, e-commerce, consulting
• EU-focused clients: The EU passport makes things easier
• Willingness for a real relocation: Not just tax optimization, but a lifestyle change
• Business-level English: You’ll deal with authorities, lawyers, and accountants

Malta Isn’t for You If…

Just as clearly, some people will struggle in Malta:

• Germany-dependent business: Local clients, in-person meetings
• Small profits: Below €100,000 per year it’s tough
• Family with school-age children: International schools are expensive and limited
• Health problems: The Maltese health system is… challenging
• Only tax motivation: Without real interest in Malta’s lifestyle, it’ll be tough

The 2025 Alternatives

Malta’s not the only option. Other EU tax havens have caught up:

My Conclusion After Three Years

Malta was the right decision for me. I save tax, live in a fantastic climate, and have built an international business. But it wasn’t a walk in the park.

The honest calculation: Malta saved me about €150,000 tax in three years. About €50,000 went into setup and running costs. Net savings: €100,000. Plus, the lifestyle upgrade – that’s priceless.

What does that mean for you? Malta works, but only with realistic expectations and professional advice. If you’re making €200,000+ in profit and want a taste of the Med, Malta is an option. If you just want to save tax, there are easier ways.

Frequently Asked Questions About Malta as a Business Location

How much does starting a company in Malta really cost?

Expect €15,000–20,000 in your first year. That includes legal fees (€3,000–5,000), tax consultant setup (€2,000–3,000), governmental fees (€1,000), company secretary (€1,500/year), office address (€500–1,000/year), and banking costs. Add personal moving expenses of around €5,000–10,000.

Are the 5% taxes in Malta really real?

Yes, but only if the remittance system is applied correctly. Your firm initially pays 35% corporate tax, but when profits are distributed to you as shareholder, you get 6/7 of it back. That means only 5% remains. But this only applies if you meet the substance requirements and spend at least 183 days per year in Malta.

How long does it take to fully relocate to Malta?

Plan for at least 12–18 months for a complete relocation. Setting up the company takes 3–4 weeks, opening a bank account 4–8 weeks, tax registration another 2–4 weeks. Add the time for home search, registration, and building local substance. Many people underestimate this timeline.

What substance requirements must I meet in Malta?

Malta checks economic substance strictly. You must spend at least 183 days per year in Malta, have a real office (home office only partially accepted), hold board meetings in Malta, and use local service providers. The authorities will ask for supporting documents like rental agreements, utility bills, and flight tickets. Breaches result in tax back payments.

Can I keep my German bank account as a Malta resident?

No, that won’t work for long. German banks close business accounts if they realize youre no longer living in Germany. You need a Maltese business account, which takes 4–8 weeks to set up and requires a lot of documentation. Plan the full banking move from the start.

How high really are living costs in Malta?

Malta is more expensive than Germany. A good 3-bedroom flat in a decent area costs €1,500–2,200/month, restaurants are 20–30% pricier, fuel is about €1.40/liter. On the plus side, electricity and internet are cheaper. Budget €10,000–15,000 more per year for living expenses than in German cities.

Is Malta suitable for families with children?

It depends on their age. For small children Malta is fine – plenty of international nurseries. It gets harder with school-age kids: international schools are expensive (€8,000–15,000/year) and have waiting lists. State Maltese schools are well-regarded but teach partly in Maltese.

Which industries work particularly well in Malta?

Online business, e-commerce, consulting, iGaming, fintech, and blockchain all work great. It’s tough for local services, trading with Germany, or industries that require a physical German presence. Malta is ideal for EU-wide digital services, but not for Germany-specific models.

Do I absolutely need a Maltese tax consultant?

Absolutely yes. The Maltese tax system is complex and totally different from Germany’s. A good Malta specialist costs €5,000–8,000 per year but saves you mistakes and back payments. Only go with firms focusing exclusively on Malta tax law – avoid German advisors with “Malta experience.”