J. F.Tech Entrepreneur (Post-Exit)
Post-Exit Planning
Post-Exit Wealth Structuring in Malta
The exit is complete – now the crucial phase begins: structuring the proceeds. Malta offers post-exit entrepreneurs an environment combining asset protection, tax efficiency, and discretion. The prerequisite: Planning must start early.
Since 2013 · CSP Class C · MFSA Regulated
At a Glance
Post-exit entrepreneurs structure their sales proceeds via a Malta Holding company: no inheritance tax, Non-Dom status with remittance basis, and Participation Exemption for tax-free dividends. Timing is key – planning must begin before the exit to optimise your position regarding Capital Gains Tax and residency rules.
Why Malta after selling your business?
Malta offers post-exit entrepreneurs a unique combination of tax benefits: no inheritance tax, no gift tax, and no wealth tax. For individuals with Non-Dom status, foreign capital gains are generally tax-exempt even if remitted to Malta. Combined with the remittance basis system – where only foreign income transferred to Malta is taxed – this creates a highly attractive environment for wealth structuring.
The Maltese tax refund system also allows for an effective corporate tax rate of approx. 5% on profits from trading companies or holding structures. For dividend income from qualified holdings, a full tax exemption (Participation Exemption) can apply under certain conditions.
Malta is MFSA-regulated and, as an EU member state, adheres to European standards for transparency and the rule of law. This is a decisive difference compared to offshore jurisdictions: The structure is sustainable, recognised, and transparent to tax authorities, banks, and business partners.
For entrepreneurs looking to start a new chapter after their exit, Malta also offers high quality of life, excellent connectivity, and an active business community – without the isolation of a pure tax haven.
Location Comparison
Malta vs. Switzerland vs. Portugal for Post-Exit Wealth
Malta, Switzerland and Portugal for post-exit wealth, compared on inheritance tax, capital gains tax, Non-Dom status and EU membership.
| Jurisdiction | Inheritance Tax | Capital Gains Tax | Non-Dom Status | EU Member |
|---|---|---|---|---|
| Malta | 0 % | 0 % (Non-Dom) | Yes | Yes |
| Switzerland | 0–54.6 % (Cantonal) | 0 % (Private) | No | No |
| Portugal | 0–10 % | 28 % | NHR (Reformed) | Yes |
- No inheritance tax in Malta
- Malta levies neither inheritance tax nor gift tax; only stamp duty applies to transfers of certain Maltese assets. Switzerland taxes inheritances at 0–54.6%, depending on the canton.
- Foreign capital gains tax-exempt
- Under Non-Dom status, foreign capital gains are tax-exempt in Malta, whether or not they are remitted. Portugal taxes capital gains at 28%.
- Temporary Non-Residence: plan before the exit
- If you were solely UK resident in 4 of the 7 tax years before leaving, gains realised abroad may be taxed when you return within five years. A valuation at the time of the move records the value for planning.
Typical Post-Exit Structures in Malta
The standard structure following a business sale consists of a Malta Holding company that manages the exit proceeds. Depending on the asset composition, further entities may be added – such as an investment company for capital markets, a property company, or a family office vehicle for long-term wealth management.
Timing is crucial: Tax planning must begin before the exit. While the UK does not have a formal exit tax like some other jurisdictions, you must carefully consider Capital Gains Tax rules and the Temporary Non-Residence (TNR) rules. A qualified business valuation at the time of your move can record the value of your holdings and support your planning, but it does not fix a taxable value with HMRC.
Moving your tax residence to Malta requires a substantial physical presence. Non-Dom status, residence permits, and tax registration must be carefully coordinated. We guide you through the entire process – from preliminary analysis to ongoing wealth management.
- Inheritance Tax Malta
- 0 %
- Maltese Tax Law
- Foreign Capital Gains (Non-Dom)
- 0 %
- Non-Dom Status, Malta
- Participation Exemption
- 100 %
- Maltese Participation Exemption
- Business Valuation (Est.)
- 15–50k €
- DW&P Estimate
“Failing to plan for Capital Gains Tax and residency rules can be costly. Proper timing and a qualified business valuation help you avoid unnecessary tax liabilities.”
Dr. Jörg Werner
Founder, DW&P Dr. Werner & Partners
Tax Residency & The 5-Year Rule
Unlike some countries that tax unrealised gains upon departure, the UK focuses on your residence status at the time of disposal. However, under the Temporary Non-Residence (TNR) rules, if you were solely UK resident in at least four of the seven tax years before leaving and your period of non-residence does not exceed five years, you may be liable on your return for tax on gains realised during your absence on assets held before departure.
Planning must therefore be robust: You need to establish a genuine, permanent tax residence in Malta. A qualified business valuation at the time of your move records the value of your assets and supports your planning. It does not create a taxable baseline: where the TNR rules apply, the whole gain on pre-departure assets is taxed on your return.
Errors in timing – such as spending too many days in the UK or failing to cut ties sufficiently – can lead to significant tax liabilities. We coordinate the entire process with specialised tax advisers in the UK and Malta.
Non-Dom Status and Remittance Basis
The Non-Dom status (Non-Domiciled) is available to individuals who are tax resident in Malta but not domiciled there. For UK and international entrepreneurs moving to Malta, this status is typically applicable.
Under the Non-Dom status, foreign source income is only taxed if it is remitted to Malta. Foreign capital gains are completely tax-exempt, regardless of whether they are remitted to Malta or not. This system offers significant flexibility for post-exit wealth management.
Wealth Management After the Exit
Managing exit proceeds typically involves multiple asset classes: liquid capital investments, real estate, private equity, and alternative investments. Each asset class has specific tax implications that must be considered during structuring.
We work with a network of specialised partners: wealth managers, banks, real estate experts, and lawyers. DW&P handles the tax and legal framework – you make the investment decisions.
Client Voices
What trust looks like in practice.
Our Process
- 01
Confidential Preliminary Analysis
Analysis of your holding structure, the planned exit timeline, and your current tax position. Initial structuring options.
- 02
Business Valuation
Coordination of a qualified business valuation to record the value of your holdings upon departure – in collaboration with independent experts.
- 03
Structuring & Formation
Formation of the Malta Holding company and any additional vehicles. Tax registration and compliance setup.
- 04
Relocation & Non-Dom Status
Support with moving to Malta: residence permits, tax registration, Non-Dom application, and coordination with authorities.
- 05
Ongoing Wealth Management
Continuous tax support, compliance, annual accounts, and coordination with your wealth managers and advisers.
Your situation deserves an individual analysis.
In a free initial consultation, we assess whether and how Malta works for you.
Relevant Advisory Services
Your Contact
Horst Wickinghoff
Senior New Business Manager
- HNWI
- Wealth Protection
Christine Ann Galea
Tax Transformation Leader
- Tax Advisory
- Exit Taxation
Frequently Asked Questions
Transparency matters to us. Here you will find answers to the most common questions on this topic.
When must I move to Malta – before or after the exit?
Ideally before the exit. Capital Gains Tax liability often depends on your tax residence at the time of disposal. Establishing tax residence in Malta before selling can offer significant advantages, provided you do not return to your home country within the Temporary Non-Residence period (typically 5 years for the UK). Timing is critical.
What does a business valuation cost?
Costs depend on the complexity of the corporate structure. For medium-sized enterprises, expect fees between EUR 15,000 and EUR 50,000. This investment is usually negligible compared to the potential tax savings and security it provides.
Can I keep my existing company (e.g. UK Ltd)?
In principle, yes. The question is how the structure is treated for tax purposes after you move. In many cases, the existing company is transferred into a holding structure before the exit. We analyse the optimal approach for your specific situation.
Is there inheritance tax in Malta?
No. Malta does not levy inheritance tax or gift tax. This makes Malta particularly attractive for succession planning. There is only a stamp duty on the transfer of certain Maltese assets (like local real estate or shares in Maltese companies).
How discreet is the process?
Very discreet. The client relationship is subject to professional confidentiality. Malta has strict data protection laws (GDPR). While the company registry is public, the scope of disclosed information is limited and can be managed via fiduciary structures where appropriate.
Do I have to live in Malta permanently?
To maintain tax residence and Non-Dom status, your centre of vital interests must be in Malta. A substantial physical presence is required – but you can continue to travel, conduct business, and spend time abroad, provided you do not trigger tax residency elsewhere.
Next step
Let us discuss your situation.
Book a confidential initial consultation – in person or via video call.
Roderick Galea
Managing Partner
Nathaniel Borg
Partner
and the team in Malta
