Malta Partnerships

Partnerships in Malta are not a popular product but the following two options are available.

General Partnership
General partnerships are nothing more than a group of sole traders acting together in which the persons are jointly and severally liable and that liability is unlimited. Such partnerships can be formed in Malta, do not need to be registered or audited and each partner is taxable directly on their share of the income. For a fuller discussion of the different types of partnership please see our main article on partnerships and LLCs.

Limited Partnership (LP)
Limited partnerships have at least two partners of which one if them is the general partner. The general partner has the same liability as a sole trader but limited partners have liability limited to partnership assets and cannot engage in the trading activity of the partnership. LPs are taxed as companies at an effective rate of 5% for trading income and 10% for passive income (for more information on their taxation please see our main article on taxation of Malta companies). LPs can be registered in Malta but are not an attractive vehicle by comparison with the Malta private limited company. For a fuller discussion of the different types of partnership please see our main article on partnerships and LLCs.

Limited Liability Partnerships (LLPs)
Malta has no provision for LLPs. For a fuller discussion of the different types of partnership please see our main article on partnerships and LLCs.

Limited Liability Corporation (LLCs)
Malta has no provision for LLCs (not to be confused with corporations) and no similar body exists. For a fuller discussion of the different types of partnership please see our main article on partnerships and LLCs.