Why Malta?
Malta - A Jurisdiction of Choice in the Eurozone
Malta’s reputation for stability, predictability and security makes it an exception among other global financial centres.
As the smallest member of the European Union, this tiny but industrious island boasts a robust and flexible regulatory framework that is OECD- and EU-compliant. It has increasingly become a jurisdiction of choice for international financial structuring, thanks to its tailored income tax provisions and a network of approximately 70 double tax treaties, rendering it far more cost-efficient compared to other jurisdictions within the EU.
As the smallest member of the European Union, this tiny but industrious island boasts a robust and flexible regulatory framework that is OECD- and EU-compliant. It has increasingly become a jurisdiction of choice for international financial structuring, thanks to its tailored income tax provisions and a network of approximately 70 double tax treaties, rendering it far more cost-efficient compared to other jurisdictions within the EU.
The Right Choice for Securitisation
Malta provides a legal framework tailored for domestic and cross-border securitisations, which offers statutory bankruptcy remoteness and tailored income tax neutrality rules. Therefore, this optimises the investors’ return and the originator’s cost of funding. The legal framework of a Securitisation Cell Company (SCC) delivers a platform-type structure that offers the advantage of lower costs and speedier set-up time.
While a securitisation vehicle, or cell, is an ordinarily taxable entity, tailored tax rules cause it to be tax neutral on its profit and losses. Malta applies no withholding tax on outbound payments, and inbound payments may benefit from Malta’s tax treaties.
As an operating company established in Malta, the Coprolin multi-originator securitisation platform responds to all requirements with regards to substance, which is sometimes a challenging issue for stand-alone securitisation vehicles.