Guide · setting up a company

Estonia vs Malta: setting up a company

Costs, registration time, destination taxes and yearly duties side by side, from the same official data as the setup cost calculator.

Estonia and Malta both use the euro, and both take the application for a private limited company online. A founder comparing them will find the gaps in four areas: what the founder needs before applying, how much of the price firms publish, when and how the company pays tax on its profit, and what the company files each year.

This guide puts the official facts for each country next to each other, with the date each source was read. It gives no verdict on which country to pick. The right fit turns on where you live, where the company is run from, who its customers are and what income it earns. Tax at home is a separate question: the country where you live may tax the dividends paid to you, and its controlled foreign company rules may reach the company’s profits as well.

At a glance

EstoniaMalta
Company typePrivate limited company (OÜ), founded online with e-ResidencyPrivate limited liability company (Ltd)
Official fees at setupEUR 415EUR 100
Official fees every yearNone publishedEUR 85
Company formation by a firmEUR 294 to EUR 499 one-offPrice on request
Accounting and annual accountsEUR 300 to EUR 948 per yearPrice on request
Registration timeAbout 1 dayAbout 1 day
Minimum share capitalMinimum EUR 0.01 with one shareholder, paid in full before the application is submittedAt least EUR 1,164.69 authorised, 20% of each share taken up paid up at signing
Corporate tax22% (22/78 of the net amount) only when profit is distributed; retained profit is not taxed35%, with refunds to shareholders depending on the income and structure; or a final 15% by election
Tax on dividends to a non-resident individualNot taxed in Estonia for non-resident individuals from 2025None on dividends from taxed profits paid to a non-resident individual not controlled by Malta residents
VAT24%; registration above EUR 40,000 of taxable supplies from the start of the year18%; registration within 30 days of the first taxable supply

Firms' figures are starting prices published by firms on Accountanty (the lower to the upper quartile with at least 8 firms; "from" with 5 to 7; on request below 5). Tax lines are summaries: the full rules and sources are further down.

Cost to set up and run the company

The calculator's estimate for each company type with its default services: company formation, accounting and the services the law requires.

Estonia

Setup cost EUR 709 to 914
Every year EUR 442 to 1,240
Open the calculator for Estonia

Malta

Official fees only, at setup EUR 100 + firms' fees (on request)
Official fees only, every year EUR 85 + firms' fees (on request)
Open the calculator for Malta

Taxes on the destination side

Your country of residence may tax the dividends you receive, and it may also tax the company's profits under its rules on foreign companies controlled by its residents. A company managed from your country may be treated as resident there. This is general information, not tax advice.

Estonia

Corporate tax

  • An Estonian company pays corporate income tax only when it distributes profit, at 22/78 of the net distribution (22% of the gross amount); profit kept in the company is not taxed. emta.ee
  • The rate stays at 22% in 2026: the increase planned for 2026 was cancelled in December 2025. emta.ee
  • The planned security tax on company profits was repealed in June 2025. riigikogu.ee
  • The income of an Estonian company is also taxed abroad when the company is managed from outside Estonia. emta.ee

Tax on dividends paid abroad

  • From 2025 Estonia does not tax dividends received by non-resident individuals, except dividends from profits taxed at the former 14/86 rate up to 2024. emta.ee

VAT

  • VAT standard rate 24% from 1 July 2025; other rates 13%, 9% and 0%. emta.ee
  • VAT registration is required once taxable supplies in Estonia exceed EUR 40,000 from the beginning of the calendar year. emta.ee

Example: profit of EUR 100,000, all paid out

Tax on distributed profit (22%)
Corporate taxEUR 22,000 (22%)
Tax withheld on the dividendEUR 0
Dividend received, before any tax in your countryEUR 78,000

Malta

Corporate tax

  • Companies are taxed at a flat rate of 35% on chargeable income. mtca.gov.mt
  • When dividends are distributed, shareholders may claim a refund of part or all of the tax paid by the company. mtca.gov.mt
  • Refunds are set by article 48(4) and (4A) of the Income Tax Management Act; the fraction depends on the kind of income and on the structure. legislation.mt
  • From year of assessment 2025 a company may elect a final 15% tax instead of 35%: no refunds, at least five years, and never less than the 35% tax net of shareholder refunds. legislation.mt

Tax on dividends paid abroad

  • 15% is deducted only from dividends paid out of untaxed profits to Malta residents other than companies, or to non-residents controlled by persons resident and domiciled in Malta. legislation.mt
  • A dividend paid from taxed profits to a non-resident individual not controlled by Malta residents has no withholding. legislation.mt

VAT

  • VAT standard rate 18%. legislation.mt
  • A taxable person established in Malta applies for VAT registration within 30 days of its first taxable supply; small undertakings can register under article 11 up to EUR 35,000 of domestic turnover. legislation.mt

Example: profit of EUR 100,000, all paid out

35% rate (refunds not computed)
Corporate taxEUR 35,000 (35%)
Tax withheld on the dividendEUR 0
Dividend received, before any tax in your countryEUR 65,000
15% final tax election
Corporate taxEUR 15,000 (15%)
Tax withheld on the dividendEUR 0
Dividend received, before any tax in your countryEUR 85,000

Shareholders may be entitled to refunds that reduce the effective tax, depending on the structure of the company and its income. Ask firms in Malta to assess your case.

Destination taxes only, before tax treaties and before any tax in your country of residence. Assumption: one shareholder, an individual not resident in the destination, holding 100% of the company; EUR 100,000 converted at the ECB rate. Try your own figure in the calculator.

Registration: steps and time

Estonia

About 1 day. Applications are reviewed in up to one working day; the notary route can add up to 3 days. Actual registration times may vary.

  1. Obtain a means of digital signature: e-Residency card, Estonian ID card, Smart-ID or Mobile-ID abiinfo.rik.ee
  2. Prepare the business model and choose a company name ending in Osaühing or OÜ e-resident.gov.ee
  3. Get a contact person or legal address in Estonia from a licensed service provider e-resident.gov.ee
  4. Pay the share capital in full before submitting the application abiinfo.rik.ee
  5. Submit and sign the founding application online in the e-Business Register and pay the state fee abiinfo.rik.ee
  6. Open a bank account e-resident.gov.ee
  7. Apply for VAT registration within three working days once taxable supply exceeds EUR 40,000 from the start of the year emta.ee

Malta

About 1 day. Within 24 hours of a complete online application, including due diligence documents.

  1. Draw up the memorandum and articles, naming the objects, the registered office in Malta, the first directors and the company secretary legislation.mt
  2. Subscribers sign the memorandum and pay up at least 20% of each share taken up legislation.mt
  3. Prepare the beneficial owner declaration (Form BO1) where needed mbr.mt
  4. Submit the incorporation online to the Malta Business Registry with the due diligence documents mbr.mt
  5. Receive the certificate of registration; the company exists and may start business from that date legislation.mt
  6. An income tax number is generated automatically once the company is registered mtca.gov.mt
  7. Register for VAT, which all companies registered in Malta must do mtca.gov.mt

Every year after registration

Estonia

  • Annual report submitted to the registry within six months of the end of the financial year, even with no activity rik.ee
  • Micro and small companies file at least a balance sheet, an income statement and notes rik.ee
  • Audit when two of these are exceeded: EUR 5,000,000 revenue, EUR 2,500,000 total assets, 50 employees riigiteataja.ee
  • Review when two of these are exceeded: EUR 2,000,000 revenue, EUR 1,000,000 total assets, 24 employees riigiteataja.ee

Malta

  • Annual return within 42 days of the anniversary of registration legislation.mt
  • Annual accounts with the auditors' report and directors' report delivered to the Registrar within 42 days of the period for laying them legislation.mt
  • Tax return and self-assessment within nine months of the financial year end, submitted by a registered tax practitioner mtca.gov.mt
  • Late annual return or accounts: maximum penalty EUR 2,329 plus EUR 46 a day legislation.mt
  • Companies Act audit exemption for small private companies under 2 of: balance sheet EUR 46,600, turnover EUR 93,000, 2 employees legislation.mt

Documents and requirements

Estonia

  • Online application with principal activity, financial year, address, e-mail, board members, founders, capital contributions and articles fields abiinfo.rik.ee
  • Beneficial owners determined in the application; other documents are generally not required abiinfo.rik.ee
  • Without an ID or e-Residency card, the foundation documents are verified by a notary in Estonia investinestonia.com
  • When the management board is abroad, the company designates a contact person with a residence and address in Estonia; the registrar decides e-resident.gov.ee
  • The contact person may be a notary, attorney, sworn auditor, tax representative or a trust and company service provider e-resident.gov.ee
  • A company address abroad requires a contact person in the application abiinfo.rik.ee
  • Trust and company service providers need an authorisation from the Financial Intelligence Unit fiu.ee
  • Beneficial owners are disclosed in the commercial register and kept up to date e-resident.gov.ee

Malta

  • Memorandum of association subscribed by at least two persons, or by the single member legislation.mt
  • Articles of association legislation.mt
  • Each director's signed consent to act, on the memorandum or in a separate written consent legislation.mt
  • Beneficial owner declaration (Form BO1), unless all shareholders are natural persons disclosed in the memorandum mbr.mt
  • At least one director legislation.mt
  • Every company must have a company secretary, who cannot be its sole director (except in an exempt company) legislation.mt
  • The memorandum must state a registered office in Malta and an email address legislation.mt
  • Anyone providing company formation, directors, secretaries or a registered office as a service must be authorised by the MFSA legislation.mt
  • The objects may not be stated simply as any lawful purpose or trade in general legislation.mt

What to weigh between Estonia and Malta

Formation. In Estonia the state fee for founding a company electronically is EUR 265. A founder without an Estonian ID card also pays EUR 150 for the e-Residency digital ID. Share capital can be as low as EUR 0.01 with one shareholder, paid in full before the application goes in, and applications are reviewed in up to one working day. In Malta the registration fee is EUR 100 for authorised capital up to EUR 1,500. The legal minimum is EUR 1,164.69 authorised, with 20% of each share taken up paid at signing. A complete online application is registered within 24 hours.

People and addresses. In Estonia a company whose management board is abroad names a contact person with a residence and address in Estonia. That person can be a notary, an attorney, a sworn auditor, a tax representative or a licensed service provider. In Malta every company needs a registered office in Malta and a company secretary, and the secretary cannot be the sole director. A founder acting alone in Malta therefore needs a second person.

Firms’ prices. Thirty-six firms on Accountanty publish a starting price for formation in Estonia, so the calculator shows a range. In Malta only three do, so firms’ fees there are on request and the figures show official fees only.

Taxes inside the company. An Estonian company pays corporate income tax only when it distributes profit, at 22/78 of the net distribution, which is 22% of the gross amount. Profit it keeps is not taxed in Estonia. The income of an Estonian company is also taxed abroad when the company is managed from outside Estonia. Malta taxes chargeable income at 35%, and shareholders may claim a refund of part or all of that tax after a dividend; the calculator does not compute these refunds. From 2025 a company may elect a final 15% instead, with no refunds, for at least five years. For a non-resident individual, the cases shown carry no withholding on dividends in either country.

Every year. An Estonian company submits an annual report within six months of the end of its financial year, even with no activity. An audit applies only above two of three size limits. A Malta company files an annual return within 42 days of its registration anniversary, with a EUR 85 fee at the base capital. It also delivers annual accounts with an auditors’ report, and a registered tax practitioner submits its tax return. Small private companies under two of three limits are exempt from the Companies Act audit.

Next steps

Estonia

Get quotes from firms in Estonia

Malta

Get quotes from firms in Malta

Estonia vs Malta: questions and answers

How long does it take to register a company in Estonia or in Malta?

Estonia reviews applications in up to one working day, and the notary route can add up to three days. Malta registers a complete online application, with its due diligence documents, within 24 hours. The time spent before filing, gathering documents and checks, depends on the founder and the firm.

Do I need anyone local to set up a company in Estonia or Malta?

In Estonia a company whose management board is abroad names a contact person with a residence and address in Estonia, such as a licensed service provider. In Malta every company has a registered office in Malta and a company secretary who cannot be the sole director. Ask a firm how this fits your case.

How is a company's profit taxed in Estonia and in Malta?

An Estonian company pays 22% of the gross amount only when it distributes profit; kept profit is not taxed in Estonia, but its income is also taxed abroad when it is managed from outside Estonia. Malta charges 35%, with shareholder refunds after a dividend, or a final 15% by election with no refunds. Your country of residence may also tax the dividends and the profits.

Why are firms' fees for Malta shown as on request?

Only three firms on Accountanty publish a starting price for company formation in Malta, too few for a reliable range. The figures show the official registry fees, which apply in any case. In Estonia 36 firms publish a formation price, so a range is shown. For the whole cost in Malta, send firms there a request for a quote.

Which is better for my company, Estonia or Malta?

The guide gives no ranking. It depends on where you live, where the company is run from, who its customers are and what it earns. Read the facts side by side, run your own figures through the calculator for each country, and ask firms in both for a quote and a view on your situation.

Sources and notes

  1. investinestonia.com read 2026-10-13
  2. abiinfo.rik.ee read 2026-10-13
  3. politsei.ee read 2026-10-13
  4. e-resident.gov.ee read 2026-10-13
  5. emta.ee read 2026-10-13
  6. e-resident.gov.ee read 2026-10-13
  7. fiu.ee read 2026-10-13
  8. rik.ee read 2026-10-23
  9. riigiteataja.ee read 2026-10-23
  10. emta.ee read 2026-10-23
  11. emta.ee read 2026-10-23
  12. riigikogu.ee read 2026-10-23
  13. emta.ee read 2026-10-23
  14. emta.ee read 2026-10-23
  15. mbr.mt read 2026-10-23
  16. legislation.mt read 2026-10-13
  17. mbr.mt read 2026-10-23
  18. legislation.mt read 2026-10-23
  19. mbr.mt read 2026-10-13
  20. mtca.gov.mt read 2026-10-23
  21. mtca.gov.mt read 2026-10-13
  22. legislation.mt read 2026-10-13
  23. legislation.mt read 2026-10-23
  24. mtca.gov.mt read 2026-10-23
  25. legislation.mt read 2026-10-23
  26. legislation.mt read 2026-10-23
  27. legislation.mt read 2026-10-23
  28. legislation.mt read 2026-10-23

Official figures checked up to 2026-10-23. General information, not legal or tax advice: check the official sources and confirm costs with a firm before you act.