An
entrepreneur may
decide to wind up his or her business for various reasons.
Unless it
involves a transfer of the business, winding up usually includes the following
steps:
·
Notifying
the body that initially registered the business to cancel the business licence
or employers' entry in the register;
·
Complying
with social security and tax obligations;
·
Selling
off plant, stock and office equipment;
·
Paying
off any outstanding business debts.
LEGAL
OBLIGATIONS
Maltese
law obliges any business owner to legally dissolve the business when closing
down. There are 3 types of dissolution:
·
Voluntary
Liquidation
·
Enforced
Dissolution
·
Bankruptcy
CLOSING A
BUSINESS OF A SELF-EMPLOYED
When a self-employed decides to close down the
business a number of entities that he/she registered with when he/she first
registered as a self-employed will need to be notified and certain
deregistrations need to be effected.
Jobsplus
Termination
Self-employed
person on ceasing to be self-employed need to fill in this form.
VAT
Deregistration
A sole
trader has to deregister from VAT by using this form: VAT
Deregistration (E-ID
has to be activated).
In order
for the application for de-registration to be processed a registered person is
required to settle all pending matters with the Department.
It is
pertinent to point out that if the registered persons are classified as non-exempt
individuals they shall be deemed to have, immediately before the cancellation
of their registration, supplied all the remaining business assets that belonged
to their business. In this regard they must account for the VAT due
thereon in the last VAT return.
·
PE Registration
·
PE De-Activation
·
PE Re-Activation
·
VAT Change in Register Type
·
VAT Change, Add, Remove Economic
Activity
Deactivation
of a PE number
If a Sole
Trader decides to close the business and has a PE number that is still active,
s/he would need to deactivate it. One has to fill in this e-form.
NON-REGISTERED PARTNERSHIPS
Jobsplus
Termination
Upon
closing down of a partnership, partners need to fill in the Declaration of
Termination of Employment form.
Tax Deregistration
For tax deregistration
of a partnership a declaration stating the closing of the partnership/ income
tax number must be sent to ralph.decelis@gov.mt.
VAT
Deregistration
When a
partnership is dissolved, deregistration form VAT has to be effected using this
form: VAT Deregistration (E-ID has to be activated).
In order
for the application for de-registration to be processed all pending matters
with the Department have to be settled.
·
PE Registration
·
PE De-Activation
·
PE Re-Activation
·
VAT Change in Register Type
VAT Change, Add, Remove Economic Activity
Deactivation
of a PE number
If a Partnership
is dissolved, deactivation of the PE number has to be effected using this e-form.
PARTNERSHIP EN NOM COLLECTIF
In the
case of partnership dissolution Form B
found in this link has to
be filled in. Further information can be
obtained from the Malta Business Registry.
Jobsplus
Termination
Upon
closing down of a partnership, partners need to fill in the Declaration of
Termination of Employment form.
Tax Deregistration
For tax deregistration
of a partnership a declaration stating the closing of the partnership/ income
tax number must be sent to ralph.decelis@gov.mt.
VAT
Deregistration
When a
partnership is dissolved, deregistration form VAT has to be effected using this
form: VAT
Deregistration (E-ID
has to be activated).
In order
for the application for de-registration to be processed all pending matters
with the Department have to be settled.
·
PE Registration
·
PE De-Activation
·
PE Re-Activation
·
VAT Change in Register Type
·
VAT Change, Add, Remove
Economic Activity
Deactivation
of a PE number
If a Partnership
is dissolved, deactivation of the PE number has to be effected using this e-form.
PARTNERSHIP EN COMMANDITE DISSOLUTION
In the
case of partnership dissolution Form B
found in this link has to
be filled in. Further information can be
obtained from the Malta Business Registry.
Jobsplus
Termination
Upon
closing down of a partnership, partners need to fill in the Declaration of
Termination of Employment form.
Tax Deregistration
For tax
deregistration of a partnership, one is required to send a declaration stating
the closing of the company/ income tax number to ralph.decelis@gov.mt.
VAT Deregistration
A partnership
can deregister from VAT using the following two methods:
·
By means
of a registered practitioner through CFR02;
Or
·
The individual
requires the company director/ shareholders to fill CFR 03 and once permission is granted
one can then access link via assigned or
delegated services and deregister the Company’s VAT number.
For the
application for de-registration to be processed all pending matters with the
Department have to be settled.
·
PE Registration
·
PE De-Activation
·
PE Re-Activation
·
VAT Change in Register Type
·
VAT Change, Add, Remove
Economic Activity
Deactivation
of a PE Number
If a Partnership
decides to close the business and has a PE number that is still active, the
latter would need to deactivate it. One has to fill in this e-form.
COMPANY DISSOLUTION
Information
about company dissolution may be found in this link.
For tax deregistration
of a company one requires sending a declaration stating the closing of the
company/ income tax number to ralph.decelis@gov.mt.
A company
can deregister from VAT using the following two methods:
·
By means
of a registered practitioner through CFR02;
Or
·
The
individual requires the company director/ shareholders to fill CFR 03 and once permission is granted
one can then access link via assigned or
delegated services and deregister the Company’s VAT number.
DEACTIVATION OF A PE NUMBER
If a Company
decides to close the business and has a PE number that is still active, this would
need to be deactivated. One has to fill in this e-form.
Tax/VAT Deregistration
For the
application for de-registration to be processed all pending matters with the
Department have to be settled.
• PE Registration
• PE De-Activation
• PE Re-Activation
• VAT Change in Register Type
• VAT Change, Add, Remove Economic Activity
RELOCATING IN ANOTHER COUNTRY AFTER CLOSING A BUSINESS
Social
Security Deregistration
Self-employed
closing their business and relocating in another country will need to deregister
from the Social Security by contacting the Social Security Department.
Tax Account Closure
Residency Card
LEGAL TEXTS
CONTACT INFORMATION
Business First
Tel: 144
or +356 25422020
email: info@businessfirst.com.mt
or visit
Business First Office at:
Ċentru Joseph Grech
2nd Floor, Cobalt House
Notabile Road
Mrieħel, B'Kara, BKR3000
Jobsplus
Jobsplus Resources (forms) Note: In order to access
the online applications, one is required to login on the Jobsplus portal first.
Malta Business Registry
Commissioner for Revenue
Social Security Department
last updated June 2020