Tax planning is one of the priorities of the tax department which endeavours to provide clients with a systematic analysis of differing tax options aimed at the mitigation of tax liability in current as well as future tax periods. This is made possible through the use of a variety of corporate vehicles available under the Maltese tax regime which includes trading and holding companies, trusts, foundations and partnerships. Effective tax planning involves combining Maltese tax legislation with existing international tax law and principles in order to provide clients with independent and tailored personal and business tax solutions which render even the small-managed companies competitive in the international arena.
Our tax department recognises the importance of efficient long-term tax planning and the implications that such will have on the performance of the entities in question. Thus we continuously take into consideration any changes in this regulatory environment in order to ensure that clients remain aware of changes in national and international tax laws while also taking advantage of any benefits or incentives that often come up with such.
Additionally, Malta has a strong international double taxation treaty network in place which can provide competitive tax advantages to the entities to which they apply. Most of such treaties are based on the OECD model and offer a wide range of tax planning opportunities on an international scale. Through such, Malta grants relief from double taxation under the credit method. At EMD we can provide comprehensive treaty advice and assist clients with tax issues such as withholding taxes, permanent establishments and the elimination of double taxation through various available forms of relief which may be claimed by the taxpayer.
In the process of the restructuring of our client’s companies, EMD can conduct the pertinent reviews in order to identify the most tax efficient structure and the optimal acquisition/transformation scenario which may include cross-border implications. EMD can also provide its clients with strategies in relation to the pre-acquisition or disposal reorganizations, purchase price structuring, review of the tax efficiency of the financing structures as well as financial modeling of the tax impact on our client’s operations.