Malta Company Accounting & Audit

Accountants & Auditors Malta - Accounting Services Malta

Our accountants are ready to offer you the best accounting services if you choose to open a business in the small, sunny island country. Out of all accounting firms in Malta, you can rely on us for tailored services. Malta is a small island country in the Mediterranean Sea, but its size does not reflect its economic power and importance in the European Union. The island relies heavily on tourism, but trade and manufacturing are also powerful economic sectors.

Our accountants will help you know everything about the taxation system in Malta. The double taxation treaties that Malta signed with more than 50 countries ensure that entrepreneurs are protected from double taxation. You can rely on our accounting firm in Malta no matter if you run a small, medium or large-sized business in this country.

Services provided by our tax advisors

With a proven track record in the accounting and bookkeeping fields, our accountants have a great experience in offering a wide range of services, among which:

-tax consultancy and planning for your company in order for you to measure your results and draft realistic plans
-audit services for your company, no matter if imposed by the law or you simply want to audit the performance of your business
-bookkeeping services which are necessary from the very beginning of your activity
-payroll services in order for you not to worry about your employees’ salaries and documents which need to be prepared when paying them
-financial statement preparation and filing services, including VAT return filings for your Maltese business. The company’s directors are responsible for preparing individual accounts for each accounting period that include the balance sheet as of the last day of the period they refer to, the profit and loss account for that period, the notes to the accounts, and any additional statements that may be necessary. Our auditors can assist in this aspect.

Reporting requirements for companies in Malta

The management of Maltese companies does not mean only taking decisions related to the activities of the business, but a great part of work implies the correct use of the funds the company has. However, the money a Maltese business relies on must be administered and proper documents should account for them. The preparation of these documents rests on the accounting department.

Accounting firms can make sure the International Financial Reporting Standards are complied with and the balance sheets and other accounting documents are drafted and submitted in a timely manner with the Commisioner of Revenue in Malta.

Preparation of financial documents in Malta

The accounting of businesses in Malta implies the preparation of various financial documents. Among our accounting services, you can also count on specialized assistance in drafting and submitting such documents with the tax authorities.

Among the documents a company is required to file periodically and annually, we mention the following:

- the accounting records which must be kept in the same currency as the share capital of the business
- the annual accounts of the company which must be prepared and filed with the tax authorities, but also with the Registry of Companies (MBR) in Malta
- the auditor’s report which must be presented during the Annual General Meeting of the shareholders
- the director’s report which must be drafted in accordance with the provision of the Companies Act
- the company’s balance sheet and profit and loss accounts which must reflect the company’s financial standing
- the annual return and the tax return which must comprise detailed information on the company’s assets and liabilities

Our accounting services target both locally registered companies and foreign companies with branches and subsidiaries.

Malta Company Accounting

Our team of accountants can help you draw up the monthly trial balance, establish the monthly and quarterly payment obligations, prepare and submit the annual financial services, as required by the law.

The accuracy of the accounting and financial information guarantees the credibility of the company and protects it from unfortunate events, such as bankruptcy.

Our team of accountants provides a wide range of accountancy and accountancy-related services, suited to your specific business needs. Some of the services we provide are:

- complete financial and management accounting
- tax consultancy
- performing audits for your company
- monthly trial balance
- annual financial statements preparation
- VAT returns
- tax registration
- annual accounts
- audit

Malta Company Accounting Fees

Accounting fees for companies in Malta can vary based on factors such as the company's size, transaction volume, and the specific services required. Overview of typical costs:

Basic Accounting Services: Starting from €100 to €500 per month, depending on the volume and complexity of transactions.
Tax Return Preparation: Raging from €500 to €850 annually, depending on the company's financial activities.
Audit Services: Mandatory for most companies, with fees starting from €1,500 annually, varying based on company size and complexity.
VAT Returns: Fees for VAT quarterly filings range from €100 to €350, varying based on company size and complexity.

For a tailored quote, please contact us, as fees can vary based on specific business needs and complexities.

Annual Accounts and Annual Returns FAQs in Malta

When running a business in Malta, staying on top of annual accounting and compliance obligations is essential to ensure your company remains in good standing with the law. Two of the key obligations are the submission of Annual Accounts and Annual Returns. To make these processes clearer, we’ve compiled some of the most frequently asked questions (FAQs) regarding these two requirements.

What Are Annual Accounts in Malta?

Annual Accounts are a set of financial statements that a company must prepare at the end of each financial year. These accounts provide a detailed overview of a company's financial health, including its income, expenses, assets, liabilities, and equity.

In Malta, companies are required by law to prepare their Annual Accounts in accordance with International Financial Reporting Standards (IFRS) or Malta GAAP (Generally Accepted Accounting Principles), depending on the size and nature of the company.

FAQs about Annual Accounts:

1. When do I need to submit the Annual Accounts?
- Companies must submit their Annual Accounts to the Malta Business Registry (MBR) within 10 months of the end of their financial year. For most companies, this is the same deadline as their tax return filing.

2. Who is responsible for preparing the Annual Accounts?
- The responsibility falls on the company directors to ensure the Annual Accounts are accurate and filed correctly. However, most companies hire external auditors or accountants to prepare and audit the financial statements.

3. What should be included in the Annual Accounts?
- The key components of Annual Accounts include the balance sheet, profit and loss account, cash flow statement, and a director’s report. In some cases, the audit report may also be required.

4. Do all companies need to have their Annual Accounts audited?
- Not all companies are required to have their Annual Accounts audited. Small companies (those with turnover under €10 million, assets under €5 million, and fewer than 50 employees) may be exempt from mandatory audits, but this depends on their specific size and structure.

5. What happens if I don’t submit my Annual Accounts on time?
- Failure to submit your Annual Accounts on time can result in significant penalties, including fines and potential issues with your company’s legal standing. The company’s directors could also be held personally liable for failing to meet this obligation.

What Are Annual Returns in Malta?

An Annual Return is a document that provides updated information about a company, such as its registered address, directors, shareholders, and other key details. This is a distinct filing from the Annual Accounts but is equally important for maintaining corporate compliance.

In Malta, the Annual Return is filed with the Malta Business Registry and is required to be submitted each year. It is not directly related to the financial performance of the company but ensures that the official records are accurate and up-to-date.

FAQs about Annual Returns:

1. When do I need to file my Annual Return?
- The Annual Return must be filed annually, no later than 42 days after the anniversary of the company’s incorporation. For example, if your company was incorporated on January 25, 2020, your Annual Return must be submitted by March 7, 2025.

2. What information is included in the Annual Return?
- The Annual Return typically includes the company’s registered office, details of directors and shareholders, share capital information, and any changes to the company since the previous return. It’s essentially a snapshot of the company’s structure at the time of filing.

3. Who is responsible for filing the Annual Return?
- The directors of the company are responsible for ensuring that the Annual Return is filed on time. Failure to do so can lead to penalties or issues with the company's status.

4. Can I file the Annual Return online?
- Yes! The Malta Business Registry allows for the online submission of Annual Returns, making the process more efficient and convenient.

5. What happens if the Annual Return is not filed on time?
- If the Annual Return is not submitted by the deadline, the company may incur penalties, and its directors may be subject to fines. In extreme cases, if an Annual Return is overdue for a significant amount of time, the company may be struck off the registry.

6. Are there any fees for submitting an Annual Return?
- Yes, there is a filing fee for submitting the Annual Return. The fee varies depending on the size of the company and whether the return is filed on time or late.

How Are Annual Accounts and Annual Returns Different?

While both the Annual Accounts and Annual Returns are mandatory filings, they serve different purposes:

- Annual Accounts focus on the company’s financial performance and must be prepared according to specific accounting standards.
- Annual Returns focus on the company’s structural details and must be filed to keep official records updated.

Both filings are essential for regulatory compliance in Malta, and missing either one can result in fines or other penalties.

Can I Submit Both at the Same Time?

Yes, it’s often practical for companies to submit their Annual Accounts and Annual Return simultaneously, especially if both are due around the same time. However, they are separate documents and must be prepared independently.

Our qualified accountants (Member of the Institute of Financial Services Practitioners in Malta) will help you in all aspects of your business to Malta.