Advocates Primei offers assistance to clients seeking to register aviation companies or aircraft in Malta. We can assist with all aspects relating to planning a flexible yet secure structure, the setting up process and the eventual licensing.
The planning includes discussing the best opportunities for setting up of the business in Malta, providing advice as to the most ideal tax structure, and meetings with the relevant authorities to provide the best suitable solution for ones needs.
After Malta's success as a shipping registry, the Maltese government is trying to create a similar hub for aviaition and aircraft registration. Malta enacted the Aircraft Registration Act in 2010 which focuses on creating an aircraft registry which caters for both commercial aircrafts and private aircrafts. The Act also implements provisions of the Cape Town Convention and Aircraft Protocol into Maltese law.
The Act also introduces and recognises concepts such as fractional ownership, registering of Aircrafts under construction, and registration of security interests.
Furthermore, shareholders of an Aircraft Operating Company set up in Malta may also benefit from tax refunds available under Malta's tax regime (view the Taxation of Maltese companies factsheet here
). As with any other operational company, the corporate tax rate is 35% but shareholders may apply for a 6/7ths refund of the tax paid after a dividend distribution has been paid. This is possible also with any company set up in Malta to service the airline industry.
Furthermore, Airline operations are considered as Exempt with Credit for VAT purposes, and hence a company undertaking an aircraft related activity may be structured in a way to attain an VAT refunds on eligible expenses, whilst not needing to levy VAT itself on its services.
We can help in the formation of any corporate vehicle needed in Malta, with the registration requirements and any agreements needed to set up the structure. We can also propose suitable personnel to act as officers of the company and provide any necessary corporate support as necessary.
to view our factsheet Aircraft Registration in Malta.
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