The Institute of Financial Services Practitioners said today that the a series of “sensationalist” media reports in parts of the international tabloid press, referred to as the “Malta Files” contain several inaccuracies and false statements.

“Maltese financial services practitioners operate within a legal and regulatory framework of the highest standards. Malta is a full member of the European Union and all its laws, including anti-money laundering rules, are fully aligned with European rules and best practice.

Whilst taxation policy remains a matter for each Member State to determine in the exercise of its sovereignty, Malta has pro-actively ensured that its tax rules continue to be compliant with applicable EU legal principles. Its laws apply transparently to all Maltese incorporated companies, irrespective of who their shareholders are. Consequently, referring to Malta as an “offshore jurisdiction” or a “tax haven” is entirely baseless and purely sensationalist,” the IFSP said.

“Malta has participated actively in all of the EU’s and international tax transparency initiatives, being an early adopter of all EU directives and other international agreements aimed at improving transparency between EU and other countries on tax matters. Malta’s tax system is also fully compatible with OECD principles, and the country has become a BEPS associate which means that it is fully committed to the efforts being undertaken by the OECD in combatting Base Erosion and Profit Shifting in international tax structures. Malta will also fully transpose into its legislation those elements of the EU’s recently adopted Anti Tax Avoidance Directive (itself implementing some of the OECD BEPS recommendations) which are not already included in Malta’s tax legislation.

Malta’s tax system is neither harmful nor discriminatory, and is certainly not secretive. In this regard, it is pertinent to note that much of the information released in the “Malta Files” is available through the Registry of Companies’ online portal at http://registry.mfsa.com.mt/.”

The IFSP represents the vast majority of financial services practitioners in Malta, with a membership base of professionals and other individuals working individually or through firms established in Malta, amongst whom the Institute actively promotes the adherence to the highest ethical, legal and operational standards.