When preparing, reviewing, or advising on annual financial statements for a Maltese company.
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General reference only
This Guide is general tax/accounting reference material for AI-assisted workflows. It has not been reviewed for your personal facts, documents, elections, deadlines, residency, filing status, or local procedures. Do not rely on it to file, pay, amend, or take a tax position without review by a qualified professional in the relevant jurisdiction.
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Approval deadline (private company)
Within 10 months from accounting year-endCompanies Act, Chapter 386
Filing deadline after shareholder approval
Within 42 days from date of approval by shareholdersCompanies Act, Chapter 386
Late filing penalty (Registry surcharge)
EUR 250 per year of delayMalta Business Registry
Standard filing fee
EUR 100Malta Business Registry
Micro-entity filing fee
EUR 20Malta Business Registry
Small company — balance sheet total threshold
EUR 4,000,000Companies Act, Chapter 386, Article 185(2)
Small company — turnover threshold
EUR 8,000,000Companies Act, Chapter 386, Article 185(2)
Small company — average employees threshold
50Companies Act, Chapter 386, Article 185(2)
Small company qualification rule
Must not exceed at least 2 of 3 thresholdsCompanies Act, Chapter 386, Article 185(2)
Micro audit exemption — balance sheet total threshold
EUR 46,600Companies Act, Chapter 386, Article 185(2); L.N. 139 of 2025
Micro audit exemption — turnover threshold
EUR 93,000Companies Act, Chapter 386, Article 185(2); L.N. 139 of 2025
Micro audit exemption — average employees threshold
2Companies Act, Chapter 386, Article 185(2); L.N. 139 of 2025
Audit exemption rule — not exceeding 2 of 3 micro-thresholds
Review report only (ISRE 2400)Companies Act, Chapter 386, Article 185(2); L.N. 139 of 2025
Audit exemption rule — not exceeding all 3 micro-thresholds
No audit or review requiredCompanies Act, Chapter 386, Article 185(2); L.N. 139 of 2025
Effective date of micro audit exemption rules
Periods starting on or after 1 January 2025L.N. 139 of 2025
Small group — balance sheet total threshold (net)
EUR 4,000,000Companies Act, Chapter 386, Article 185(5)
Small group — balance sheet total threshold (gross)
EUR 4,800,000Companies Act, Chapter 386, Article 185(5)
Small group — turnover threshold (net)
EUR 8,000,000Companies Act, Chapter 386, Article 185(5)
Small group — turnover threshold (gross)
EUR 9,600,000Companies Act, Chapter 386, Article 185(5)
Small group — average employees threshold (net and gross)
50Companies Act, Chapter 386, Article 185(5)
Corporate income tax rate (deferred tax computation rate)
35%Income Tax Management Act, Cap. 372
XBRL requirement
Not currently requiredMalta Business Registry
Filing language
English or MalteseMalta Business Registry
Auditor qualification requirement
Warranted accountant holding practising certificate (MIA registered)Accountancy Profession Act, Cap. 281
Income Tax Act audit alignment effective date
2025 Audit Exemption Rules (L.N. 139 of 2025) align income tax audit requirements with Companies Act exemptionsIncome Tax Management Act, Cap. 372, Article 19(4)(a); L.N. 139 of 2025
Quick Reference
| Field | Value |
|---|---|
| Country | Malta (Republic of Malta) |
| Currency | EUR |
| Filing authority | Malta Business Registry (MBR) |
| Primary legislation | Companies Act, Chapter 386 |
| Supporting legislation | Accountancy Profession Act (Cap. 281); Income Tax Management Act (Cap. 372) |
| Accounting standards | IFRS as adopted by the EU (default); GAPSME for qualifying entities |
| Financial year | Any 12-month period (calendar year common but not mandatory) |
| Filing deadline | 10 months from year-end for approval; 42 days after approval for filing |
| Late filing penalty | EUR 250 per year of delay (Registry surcharge) |
| Digital filing | Yes — MBR Online portal |
Reporting Framework
| Entity type | Applicable standard |
|---|---|
| Public interest entities / listed companies | Full IFRS as adopted by the EU |
| Large private companies | Full IFRS as adopted by the EU |
| Small and medium private companies | GAPSME (General Accounting Principles for Smaller Entities) permitted as alternative to IFRS |
| Micro-entities (Art. 185(2) criteria met) | GAPSME with further simplifications |
GAPSME is based on IFRS for SMEs with Malta-specific adaptations. Companies may always elect to use full IFRS even if eligible for GAPSME.
Small Company thresholds (Article 185(2) Companies Act)
| Criterion | Threshold |
|---|---|
| Balance sheet total | EUR 4,000,000 |
| Turnover | EUR 8,000,000 |
| Average employees | 50 |
Audit Exemption Micro-Thresholds (Article 185(2) Companies Act, 2025 rules)
| Criterion | Threshold |
|---|---|
| Balance sheet total | EUR 46,600 |
| Turnover | EUR 93,000 |
| Average employees | 2 |
Small Group thresholds (Article 185(5) Companies Act)
| Criterion | Threshold (net) | Threshold (gross) |
|---|---|---|
| Balance sheet total | EUR 4,000,000 | EUR 4,800,000 |
| Turnover | EUR 8,000,000 | EUR 9,600,000 |
| Average employees | 50 | 50 |
Required Financial Statements
| Document | Large | Small | Micro |
|---|---|---|---|
| Statement of Financial Position (Balance Sheet) | Required | Required | Required |
| Statement of Comprehensive Income (P&L) | Required | Required (abridged permitted) | Required (abridged) |
| Statement of Changes in Equity | Required | Required | Not required |
| Statement of Cash Flows | Required | Not required | Not required |
| Notes to the Financial Statements | Required (full) | Required (reduced) | Minimal |
| Directors' Report | Required | Required | Required |
| Auditor's Report | Required | See audit exemption | See audit exemption |
Year-End Adjustments Checklist
| # | Adjustment | Malta-specific notes |
|---|---|---|
| 1 | Depreciation | IAS 16 rates; no statutory rates prescribed (tax depreciation per 6th Schedule ITA is separate) |
| 2 | Accruals | Audit fees, bonuses, utilities, professional fees |
| 3 | Prepayments | Insurance, rent, licences spanning year-end |
| 4 | Provisions | Warranty, legal claims, restructuring (IAS 37 criteria) |
| 5 | Bad debt provision | Specific + expected credit loss model (IFRS 9) |
| 6 | Inventory valuation | Lower of cost and NRV; FIFO or weighted average |
| 7 | Deferred tax | Temporary differences at 35% corporate rate |
| 8 | Foreign exchange | Monetary items at closing rate; P&L differences |
| 9 | Lease accounting | IFRS 16 right-of-use assets (large companies) |
| 10 | Revenue cut-off | IFRS 15 performance obligations |
| 11 | Investment property | Fair value or cost model (IAS 40) |
| 12 | Employee benefits | Retirement benefits, accumulated leave |
The Companies Act Fourth Schedule prescribes formats. Most Maltese companies use the "by nature" classification:
Revenue
Cost of sales
─── Gross profit ───
Other operating income
Administrative expenses
Distribution costs
Other operating expenses
─── Operating profit ───
Finance income
Finance costs
─── Profit before tax ───
Income tax expense
─── Profit for the year ───
Other comprehensive income:
Items that will not be reclassified to P&L
Items that may be reclassified to P&L
─── Total comprehensive income ───
Companies Act Fourth Schedule format (vertical presentation):
ASSETS
Non-current assets
Intangible assets
Property, plant and equipment
Investment property
Right-of-use assets
Investments in subsidiaries/associates
Deferred tax assets
Current assets
Inventories
Trade and other receivables
Current tax assets
Cash and cash equivalents
Total assets
EQUITY AND LIABILITIES
Equity
Share capital
Share premium
Retained earnings
Other reserves
Non-current liabilities
Borrowings
Lease liabilities
Deferred tax liabilities
Provisions
Current liabilities
Trade and other payables
Current tax liabilities
Current portion of borrowings
Bank overdrafts
Total equity and liabilities
Minimum required disclosures
| # | Disclosure | Large | Small | Micro |
|---|---|---|---|---|
| 1 | Accounting policies | Full | Full | Summary |
| 2 | Property, plant and equipment movements | Full | Abbreviated | Not required |
| 3 | Related party transactions | Full (IAS 24) | Key management only | Not required |
| 4 | Financial instruments | Full (IFRS 7) | Simplified | Not required |
| 5 | Revenue disaggregation | By category/geography | Summary | Not required |
| 6 | Employee information | Average numbers + costs | Average numbers | Average numbers |
| 7 | Directors' emoluments | Required | Required | Not required |
| 8 | Contingent liabilities | Required | Required | Not required |
| 9 | Commitments | Required | Summary | Not required |
| 10 | Events after reporting period | Required | Required | Required |
| 11 | Share capital details | Required | Required | Required |
| 12 | Tax reconciliation | Required | Not required | Not required |
Filing Requirements
| Item | Detail |
|---|---|
| Filing authority | Malta Business Registry (MBR) |
| Filing method | Online via MBR e-services portal |
| Approval deadline | Within 10 months from accounting year-end (private company) |
| Filing deadline | Within 42 days from date of approval by shareholders |
| Documents to file | Annual return + financial statements + directors' report + auditor's report (if applicable) |
| Filing fee | EUR 100 (standard); EUR 20 (micro) |
| Late filing penalty | EUR 250 annual surcharge |
| Language | English or Maltese |
| Format | PDF upload via MBR portal |
| XBRL requirement | Not currently required |
Audit Requirements
| Category | Requirement |
|---|---|
| All 3 micro-thresholds met (Art. 185(2)) | No audit or review required (from FY starting 1 Jan 2025) |
| 2 of 3 micro-thresholds met | Review engagement required (ISRE 2400) |
| 1 or 0 micro-thresholds met | Full statutory audit required |
| Public interest entities | Always full audit |
| Groups preparing consolidated accounts | Audit required unless small group |
| Auditor qualification | Warranted accountant holding practising certificate (MIA registered) |
This skill and its outputs are provided for informational and computational purposes only and do not constitute tax, legal, or financial advice. Open Accountants and its contributors accept no liability for any errors, omissions, or outcomes arising from the use of this skill. All outputs must be reviewed and signed off by a qualified professional before filing or acting upon.
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Other Malta computations in the OpenAccountants Tax Library.
Rendered from the facts database. General reference only — confirm with a qualified professional before acting.
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