ACT No. XIX of 19119 AN ACT to amend Iht: Income Tax A CI (Cap. 123) UE IT ENA CY"ED by the Presid ent. by a nd wi th the advice and consent of the House of Representativcs. in this present Parliament assembled, and by the authority of the same, as follows:-

(L.S .)

CENSU T ABONE

21st July. 1989

ACT No. XIX of 19119

AN ACT to amend Iht: Income Tax A CI (Cap. 123)

UE IT ENA CY"ED by the Presid ent. by a nd wi th the advice and

consent of the House of Representativcs. in this present Parliament

assembled, and by the authority of the same, as follows:-

( I ) This Act may be ci led as the Income Tax (Ame ndment) Shon "'k

Act . 1989, and shall be read and construed as onc with the Income _ _ _ , ...... ,.

Tax Act (Cap. \23). hereinafter referred to as Mt he principal Ae!"·.

The provisions o f this Aa shall come into force as

(2)

(a ) the provisions of this Act. othe r than seaion 3 and

paragraph (c) of section 5, shall come into force upon the

publication of this Act in the Gazette;

(b) the provisions o f scxtion 3 andof paragraph (c) o f section

5 shall come into force as from the first day o f January 1990 in

respect of the )'ear o f asscssment commenci ng on Ihat date and

of subseque nt )'e3rs of assessment.

Section 4 of the principal Ad 5hall be amended as follows

(a) for paragraph (a) of sub!;ca ion (4A) thereof. the re sh all

be substituted the following

'"(a) The Commissioner shall submit to the Spea ker o f

the l'louse of Representatives a ce rtified state ment showing

the de tail s of income and capital assets declared by each

Membe r o f the House for the purpose of this Aa from the

year of aSSCSSmerll in which such Member first became a

Member of the House and for every subsequent yea r of

assessmem Up to .and including the year of assessme nt

following the yea r in which such Member ceases to be a

Member of the House

"rovided that if a Member lIavingcensed to be a Member

of the Ilo use as aforesaid again becomes a Me mber of the

House, tile Com missio rler shall also subm it to the Speak er

Ihe detai ls of the income and capilal assests in rcspo::et of the

period COliC ring the years when such Member ceased to be a

Me mbe r until he again becomes a Member of the 1·louse.··;

(b) fur paragra ph (b) uf subsectiun (4A) thereof. there shall

be substilU! ed th e followi ng

·'(b) The Speaker of the Huuse uf Representatives

shall , upon a request in writ ing by any Member of the House

o r by the Edi tor responsible for any ne .. -spare r registe red

under the ,'re\oS Act. 1974. furnish such Member o r Editur

with the details uf income and capital assets in respect uf any

year uf assessment declared by any Member of the Huuse rUr

the purposes of this Act. provided that the de tails o f income

and capital as.sets so requested have been made avai lable 10

the Speaker urlder the provisiurls uf paragraph (a) uf this

subsect io n arid that priur tU giving suc h infurmatiurI th e

Speaker shall nOl ify suc ll Me mber wllose detail s uf incume

and capital assets are beirlg requested. with a cupy uf sucll

request a nd uf the re pl y be ing give n ... : and

subsectiun (7) tllereof sh all be repealed.

(c )

J . Paragrap h (c) uf subsectiun (1) of sectiu n 5 uf the principal

Act shall be repealed .

Fur paragraph (b) uf subsection (I) uf secliun 11 uf the

principal Act. there shall be substituted the following

M( b) the allowarlces and benefi ts as may be specified by tbe

Mi nister responsible for finance by notice publ ished in the Gazelle

and which are payable under the Social Security Act. 1987. ur in

conseque nce of any measure annuU rlced in the annual Budge t

Speech.

n.

Sectiun 28 uf the princi pal Act shall be 3mended as folloW!;

(a) in subpa ragraph (~) uf paragraph (b) uf subsc.:tio n (I)

' hereof for the wurds ··of !'art IVuf the Natiunal lnsura nce Acf'

there sha ll be suIKtituted the words '·of sections 83 and 84 uf 'he

Social Security Act , 1987'·;

(b) in th e proviso tu pa ragraph (d) of subsect iun (I) thereof.

and in the marginal nu,e tu that paragraph. fur the wurds Mt he

National Insurance Act M and "Nat ional Insurance M. the re shall be

substi tuted the words ··,he Social Securi ty Act" and ··Social

SecurityM respectively; and

(c) immediately afte r subsectiun ( 13) the reof. there shall be

added the fulluwi ng new subsect iun

"000.0""<10

(14)

In the case of an indi vidu a l resident in

:~i~:::;:.c Malta in the year immediately preced ing the yea r of

assessment , who proves \0 the sa tisfaction of the

Commissione r by appropriate recei pts that in the year

im mediately p receding the yea r of assessme nt he has

donated money to such philan thropic institutions as

may be approved by the Commis.~ione r , by notice

publ il;hcd in the Gazette, there shall be allowed a

deduction equivalent to the amou nt of the donation

subjecttoa maximum deduction of three hundred tiri .~.

L-artikolu 28la'I-Al1 prinCipali ghandujip eme nda. kif gej

(a) fis.subparagrafu (v) tal-paragra(u ( b) tas-subartikolu ( I)

tiegl'lu, minllo k il-kliem "tat-Taqsima IV ta'I -An dwar is-Sigurtll

Nan jonali '- ghandhom jidhlu I- kliem -'.a'l-a rt ikoll 83 u 84 la' I-An

111' 1-1987 dwar is-Sigurla Sotjali";

(b) m-proviso li hemm mal -p:lragrafu (d) t3S'subartikolu ( I)

licgl'lu , u fin-nota marginali ghal tlak il-paragmfu. mi nflok il-khem

MI_ Atl dwar is-S iguna Naujonali" u "Sigurta Nazzjon3li ~

ghand oom jidhlu I-kl ie rn "I-An dwar is-Sigurt a SOCjali" u "Sigurt~

SOCjali ~ rispel1ivament; u

(t ) minnufih wara s-subanikolu (13) ticghu ghandu jiidicd

dan is-subarl;ko!u gdid li gej

' ~",,"-

(14) Fi l-kat 13' ind i ... id","U residenti f Malta

::,~;;"fis-sc na li I3hbat min nufi h qahel is-sena la- slim3 _ li

~I .. "op;t; _ jipprova ghas-sodisfau jon la l-Kummisarju bir-riCevut i

x.ier'la illl fis-5ena li 13hOOl minnufih 'label is-sena ta '

51ima kien ghamcl donazzjoni la' nus 1il dawk 1-

iSli tuzzjonijiel (1I anlrop;c; li I-Kummissarju jisla'

japprova b-avvii fiI ·G azzcua, ghandu jinghala Inaqqi s

\! kwivaieJll i ghall-ammo n! lad-donazzjoni SUggcll ghal

Ina'lqis massimu la' Il iel mi ll lira, ~.

•• L-anikolu 31 la ' I-All prinCi pal i ghandu jigi emeJldal kif gej

(a)

fis-subarlikolu (9) licghu -

(i)

mintlok iI-paragrafu (a) li egh u ghandu jidhol dan li

gej

~(a) jaghmd xi nuqqas mela jipprdenla prospe ll

dwar is-sena la' Slima li libda n-ewwcl jum la' Jannar.

1949, jew xi sena susscgwc nli fa ' slima, jigi intaxxal ghal

dik is-se na la' 5tima b'I3xxa la' Iliel darbiel I-ammon!

lat-Iaxxa li ghaliha huwa suggell ghal di k is-sena lahl

is-suba rtikoli l-ohra la' dan I-artikolu jew b 'da k I-ammonl

i:i:ghar la' la!l.lla li jisla' jigi slabbilil mill-KummiMa rju

i:i:da li febda kai ma jkun inqas minn ghaxar lin jcw nofs

wiched fil-mija ta' l. imsemmi ammonlla ' la~xa li ghaliha

huwa suggeu_ skond li cma minnhom Ikun ' ,akbar:jew";

(ii)

fiHieni proviso li hcmm mieghu , minHok il -Idicm

~sk ond liemaj kun I-ikbar: u" ghandhom jidhlu I· klicm "skond

liema jkun I-ikbar:";

(iil) minnufih wara I-lien i proviso ghandu jiMied il-

proviso gdid li gej;

- li.da ""'koll mCla I-KummiMarju jkun baghat lil xi

pcTSuna avvii: imscmmi fis-subartikolu (3) ta' I-arlikolu

45 la' dan I-Ail, dik il'persuna jkollha Ih81hlS, ghal kull

dak I-avvii, laxxa addil.zjonali skond kif ikun spei:ifikal

fdak I-avvii ghas-se na ta' Slima li dwarh:1 jkun sar in-

nu qqas itda li febda kai ma ghandha tkun itjed minn

ghuar liri, II-Kummissarj u jisla' biss jaMer din il-Iax.xa

addizzjonali mCIa hu .... a jkun sodi$fall li minhabba

assenza minn Malla, mard Jew raguni xierq" o hra dik

il-persuna ma setghclx laghti prospclI skond id-

dispoiizzjonijicl ta' I-artiko lu 43 jcw44la' da n I-All,"; u

(b)

fis-sl,lbartikolu (14) liegl\u -

(i) minftok il -klie m ~i;Wa minbarra kull servizz abbord

bastimem jcw inge nju la' l·ajru M alti ~ ghandoom jidhlu 1-

klie m ~ itda minbarra kull servizz abbord ba51imcnl, ingenju

ta: I-aj ru jew vCllura lal-Ir;q 1i jkunu proprjcliI. Ill', nolcggati

rew mikrija minn kumpannija Malt ija; u

(ii) fil ' par"grafu (d) ticghu , minHok il -kl;c m "I-All dwar

is-Sigurlil. Nazzjonali" u "ghas-Sigurl!t. Nanjonali" ghandhom

jidhlu I-kl iem ~I-A II dwar is-Sigun~ Sotjali u "ghas-Sigu nil.

H

SOCjali ~ nspcn ivamenl.

S«tion 31 o f the principal Act shall be ame nded as follows

(a)

in subsection (9) thereof-

(i) For parag.T1lph (a) thereof there sha ll be subSlituted

the following

"(a) makes defaul t in fu rn ishing a return in respect

o f the year of assessmen t com mencing on the first day

o f Janua ry 1949 or any 5ubsequelll year of assessmelll.

shall be chargeable for such year of assessment with a

tax of treble the ~mou n t of tax for which he is liable for

that year under the other subsections of this section or

with such lesser amount of tax as ma y be dc termined by

the Commissioner but which shall in no case be less than

ten liri or one·hh lf pe r cen t of the said amOUIII of tax for

which he is liable whichever is the grea ter; or";

(ii) in the second proviso the reto. for the words

"whicheve r is the grea te r; nnd" the re shall be substituted the

words "whichever is the gre ate r:";

(iii) immedia tely after the second proviso there shall

be added the following new proviso

··I' rovided also that where the Com missione r has

sent 10 any person a notice referred to in subsection (3)

of sect ion 45 o f this Act. such person shall be req uired

10 pay. in respect of cach such notice. an additional t3X

as may be specified in such not ice for the year of

as~ment in respect of which the default bas occu rred

but which shall in no case cxceed ten liri . 1lIe

Commissioner may only remilthis additiona l tax whe re

he is satisfied Ihal owi ng to absence from Mal ta. sickness

o r other reasonable cause such person was prevented

from subm itting a return in accordilnce wilh the

provisions of section 43 or 44 of this Act:·; and

(b)

in subsection (14) thcreof -

(i) for the words Mex cl uding howeve r any service on

board a Maltese ship or ai rcrafC there shaH be subst ituted

the words "cxcludi ng however any service on boa rd a ship,

ai rcraft or ro.id ve hicle own ed, eha rtcred or le ased by a

Maltesc company"; and

(ii) in paragraph (d) thereof, for the words "the

Na tio nal Insurance AcC and "of Nationa l Insurancc" there

shall be substituted the words "the Social Security Act" alld

~or Social Security" respectively .

ImmediBldy ufter subsection (2) of section 37 of Ihe principa l

Act, there shall be added the following new subsecti on

"(3) The liquidator of a company which is being wound up

shall not di stribute any of the asse ts of the company to its

shareholders unless he has made provision. in so far as he is ablt

to do so ou t of the assets of the compa ny, for the payment in full

of any lax which he knows of or might reasonably expect 10 be

payable by th e compa ny under this Act and in dcfuuh , such

liquidator shall be liable personall y, and jointly and "oeve rally with

any olher person rcsJxmsiblc therefor , for payment of Ihe lax

due ....

Fis-subani kol u (8) la' 1·8ni1o:.01u 55 la' I·A It prinCipal;, min flo k

il·kliem " tad- Direltur tas-Scrviui Satjali glial ammomi li jkollhom

jilhallsu bhaJa 1o:. o nlribuujoni lahll-anikolu I02 la'l- Altdwar is-Sigun~

Naujon aJi , ~ ghandhom jidhlu j·kliem Mlad- Di renur tas-Sigurlil. SOCjali

gh31 a mmo nli Ji jkollhom jithallsu hhala kontribuzzjon i taht I-artikolu

119 la' I-An dwar is-Sigurta Sotjali:·.

Mghoddi mill·Kamra lad-Dcputati fIs-Scduta Nru. 260 la l- 12 ta ' Lulju, 1989.

L A WREN C E G ONZt

Speaker

P . M USCAT TE RRlIll.E

Skri.,o" /o/-Komro /od·Depwo/;

For subsection (3) of section 45 of the principal Act. there

shall be substitu ted the following

M(3) The Commissioner shall. every year. send to every

pe rson who has fail~d to submit a return in accordance with the

provisions o f section 43 or 44 of this Act one or more notices. as

mlty be necessary. referring 10 such failure and informing him that

for sueh failure he has furthermore incum:d a ch3rge to addilional

tu for e aeh such notice as provided under the provisions of the

third proviso 10 subseetion (9) of section 31 of this Act. M.

\l. In subsection (8) of section 55 of the princi pal Act. for the

words Mor the Director of Social Services for any amounts due by way

of contribution undcr seclion 102 of Ihe National Insurance Act. there

M

shall be substituted the words Mof the Director of Social Security fo r

any amounts due by wa yof contribution under sect ion 119 of the Social

Securi ty Act.M.

Passed by the Ho useof Representa tives al Sining No. 2600fthc 12th July. 1989.

LAWRENC E GONZI

Speake r

P . M U SCAT TU R RIHLE

Clerk fO the IIQuse of Represenl(ll;"cs

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