Accounting Giants Are Asked About Their Malta Tax Advice

By the Editorial Team · Thursday, October 22, 2026

Senator Ron Wyden has demanded detailed records from the Big Four accounting firms about their tax advisory services that help U.S. multinationals exploit Malta’s low-tax policies. This investigation aims to expose how these firms enable significant tax avoidance, highlighting growing concerns over corporate tax practices and potential impacts on the U.S. tax system.

Senator Ron Wyden, the top Democrat on the Senate Finance Committee, has formally requested detailed information from the Big Four accounting firms—KPMG, Deloitte, EY, and PwC—regarding their tax advisory practices involving Malta. The inquiry, sent on Tuesday, seeks to shed light on how these firms assist U.S.-based multinational corporations in leveraging Malta’s low-tax environment to substantially reduce their global tax obligations.

Recent investigations have revealed that numerous large companies have established subsidiaries in Malta, often housed in minimal or unoccupied office spaces, to take advantage of the country's near-zero effective corporate tax rate. Firms such as Crocs, Victoria’s Secret, Abbott Laboratories, and Thermo Fisher have been identified as using these structures to shift profits away from jurisdictions where they operate and generate revenue, thereby minimizing tax liabilities.

The four major accounting firms have played a central role in advising clients on these arrangements. They develop complex strategies that navigate the discrepancies in international tax laws to optimize tax outcomes for their corporate clients. While the firms’ involvement is known, KPMG declined to comment on the matter, and Deloitte, EY, and PwC did not respond to requests for statements.

In his letter to the firms, Wyden emphasized the disparity in tax compliance between ordinary workers and large corporations, stating that while average Americans pay taxes on each paycheck, sophisticated tax advisers continue to help corporate giants exploit offshore havens. The senator requested extensive documentation from the firms, including presentations, marketing materials, and other internal communications related to Malta-based tax strategies. He also asked for details on the tax savings realized by clients, fees charged for such services, and the number of clients involved.

Malta, the smallest member state of the European Union, has gained prominence as a corporate tax haven in recent years. In 2023, the country announced it would postpone implementing a minimum corporate tax rate, which had been adopted by dozens of countries under an international initiative designed to curb tax avoidance. Notably, the United States withdrew from this global enforcement framework on President Donald Trump’s first day back in office, further enhancing Malta’s attractiveness for tax planning.

Public records indicate that the number of Maltese subsidiaries established by U.S. companies increased by approximately 70 percent over the past three years, underscoring growing reliance on Malta as a hub for tax minimization strategies. Wyden’s inquiry seeks to bring transparency to these practices amid ongoing concerns about corporate tax avoidance and the erosion of the U.S. tax base.

This article was reported by synthesizing coverage from multiple independent news outlets to present a balanced, unbiased account. Read about our editorial standards. Spotted an error? Let us know.