Doing Business in Malaysia VS Malta – A Comparison
Entrepreneurs and investors often face a complex decision when choosing between Malaysia and Malta as a business destination. Both countries offer strategic advantages but serve very different markets. Malaysia is well-regarded for its competitive landscape, affordable cost of living, and seamless processes for starting a business in Malaysia. Malta, situated in the Mediterranean, provides access to the EU and offers tax planning benefits for international companies. This article compares key factors to help investors decide which location aligns better with their expansion plans.
Malaysia: Offers a politically stable environment and government-backed support for foreign investment. Companies can engage 3E Accounting for incorporation and regulatory guidance.
Malta: Malta maintains a stable government and EU-aligned legal system, making it a preferred destination for finance, gaming, and maritime businesses.
Taxation
Malaysia: Corporate tax stands at 24%, with tax reliefs and sector-specific incentives. Those undergoing Malaysia company registration may qualify for pioneer status and reinvestment allowances.
Malta: Malta has a nominal corporate tax rate of 35%, but effective rates can drop to 5% or lower with refunds, especially for foreign shareholders.
Ease of Company Incorporation
Malaysia: Registration is fast and digital, often completed in 3–5 business days. Investors typically use company incorporation in Malaysia services to simplify the process.
Malta: Incorporation can be completed in a few days, but compliance with EU regulations requires detailed documentation and due diligence.
Cost of Living and Business Operations
Malaysia: Malaysia offers low operational and living costs, ideal for startups and SMEs. Setting up businesses in Malaysia is budget-friendly with scalable infrastructure.
Malta: Malta has moderate to high living costs compared to Malaysia, particularly for office space and professional services.
Access to Markets
Malaysia: Centrally located in Asia, with strong trade ties to ASEAN, China, and the US. Using company incorporation services provides fast access to regional supply chains.
Malta: Offers direct access to EU markets, North Africa, and the Middle East, supported by strong transport and financial connectivity.
Quick Comparison Overview
Here’s a quick overview of the key differences for easy reference.
Factor
Malaysia
Malta
Business Environment
Stable, supportive of foreign investment
Stable, EU-compliant legal system
Corporate Tax Rate
24%
35% nominal, ~5% effective with refunds
Capital Gains Tax
Yes, varies by asset type
Yes, under certain conditions
Ease of Incorporation
Digital, 3–5 days
Efficient but EU-regulated
Business Costs
Low setup and operating costs
Moderate to high
Market Access
ASEAN, China, global trade partners
EU, North Africa, Middle East
Benefits of Choosing 3E Accounting
Selecting the right partner is crucial when it comes to starting a business in Malaysia. At 3E Accounting, we offer a comprehensive range of solutions designed to simplify the entire process of company incorporation in Malaysia. From ensuring compliance with local regulations to providing expert guidance tailored to your specific needs, we make the journey seamless.
To explore our services or discuss your business needs, contact 3E Accounting. With our strong presence in Malaysia and a proven track record, we are your trusted partner for success in Asia.
Ready to Expand into Malaysia? Choose 3E Accounting Today!
Stay Secure, Stay Successful With 3E Accounting Services
Malta has a high nominal corporate tax of 35% but offers refunds that reduce the effective rate to around 5%. In contrast, Malaysia’s 24% rate remains competitive and comes with incentives for Malaysia company registration.
Incorporation in Malaysia is faster and digital-friendly. Investors often use company incorporation in Malaysia services to complete setup in under a week.
Malaysia has lower operational costs than Malta. Setting up businesses in Malaysia is more cost-effective, especially for startups and SMEs.
Malaysia connects to ASEAN, China, and the US through various trade agreements. Businesses benefit from regional access via company incorporation services.
Yes, most sectors in Malaysia allow full foreign ownership, and company setup in Malaysia can be done without local partners in many industries.
All companies must appoint a qualified company secretary. Company secretary services ensure compliance with Malaysian law.
Abigail Yu oversees executive leadership at 3E Accounting Group, leading operations, IT solutions, public relations, and digital marketing to drive business success. She holds an honors degree in Communication and New Media from the National University of Singapore and is highly skilled in crisis management, financial communication, and corporate communications.
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