ACT No. XXII of 1995 AN ACT 10 amend the Income Tax Act, Cap. /23.

(LS.)

Uoo M IFSUD BoNNI Cl

President

28th July. 1995

ACT No. XXII of 1995

AN ACT 10 amend the Income Tax Act, Cap. /23.

BE ITENACTED by the President. by and with the advice and

consent of the House of Representatives, in this present Parliament

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

I . ( I) This Acl may becitcd as the Income Tax (Amendment) ShoItlitle...:i

Act, 1995. and shall be read and construed as one with the Income ""'" "ell

Tax Act, hereinafter referred to as "the principal Act",

(2) Sections 4 and 6 of this Act shall come into force upon

the publication of this Act in the Gazette in respect of year of assessment

commencing on I SI January 1996 and subsequent years of assessment.

For paragraph (b) of subsection (6}ofsection 5 of the principal

Act, there shall be substituted the following

"(b) transfe r of securities listed on the Malta Stock

Exchange; and" .

3 . Immediately after sectio n 9 of (he principal Actlhere shall AdcIitioa 0( .....

be added the following new section

"Spon!lrooqu.

Min nufih warn I-artikolu 9 ta' I-AU principaJi ghandu jiidied :ticda1l'I.ottikDlu

dan I-artikol u gdid li gej

:!t.:;~

9A . ( I) M.inkcjja kull dispoiizzjoni ohra la' I-Ani

la dWar il·Tuxi , persuna, minbarra l-prospett ghas-sena ta'

511ma 1995. lista' tipprci.cnta wkoll Dikjarazzjoni Spontanja

fuq il-formola preskrilta u I-income ta' dik il-persuna tahtl-

anikoli 4 u 5111' dan I-An ghas-snio ta' 51ima lijii:;u qabel is-

seoa ta ' slima msemmija ghandu jilqics bhaJa I-income kif

mahdum skond id·dispoiizzjonijiet li geijin ta' dan I-artikolu ,

(2) Id·Dikjarazzjoni Sponlanja ghandha turi

bhala income lahl is-subartikolu (I ) ta' I-artikolu 41a' dan 1-

An ghas·snin ta ' slima 1994, 1993, 1992 u 199 1 ammont

baial fuq dikjarazzjoni vera ta' I-income dikj3rn1 minn dik

il·persuna taht I-imsemmi subartikolu (I) ta ' I-artikolu 4 (iUta

eskluz kull income minn inveSlimcnt kif imfisser fl -artikolu

4 1 ta' dan I-Au u qliegh kapitali tah tl-artikolu 5 ta' dan 1-

An) ghas-sena la' slima 1995 kif gcj

(a) ghas-sena la' slima 1994, ammonl Ji j kun

ekwivaJenli gl'lal80% la' I-income relalliv dikjarnl fil -

prospelt ghas-sena ta' stima 1995, bJ.eskluzjoni la' kull

income minn investimenl kif imfisser fl-artikolu 4 1 ta '

dan I-All u qliegh kapilaJi taht I-artikolu 5 ta' dan I-All

ki f imsemmi qabcl

( b ) ghas-sena ta ' s lima 1993 , a mm onl

ekwivalenti gha1 90% la' I-ammont dikjarat tah l il-

paragra fu (a) ta' dan is-subanikolu;

g has- sen a l a' s lima 1992 , ammont

(c)

ckwivaJcnli ghal 90% ta' I-ammon! d ikjaral taht il-

paragrafu (b) la' dan is-subaniko1u; u

( d) g l'las-sena ta' s l ima 1991 , ammonl

ekwjvnlenli gha1 90% la' I-am mont dikjaral lahl i]-

paragrafu (c) ta' dan is-subartikolu

lroa meta pcrsuna mat ul xi wahda mis-snin ta'

stima mill- I991 sa ]-1994 ma kinelX regislrnta bl'lala persuna

li Ihallas il-Iaxxa u ma kc1Jhiex income laxll.abbli skond dan

]-Atl. hija ghandha tidd ikj ara biss skond il'paragrali (a) sa

(d) ta' dan is,subartikolu, 1i ma tkunx irccvict income ghas-

soin ta' stima hcmm imscmmija lijigu qabcl is-sena ta ' Slims

mela l-ewwel kellha tha llas iHaxxa skond dan I-Atl.

(3) Fid-Dikjarazzjoni Sponlanja ghandu wkoll

ikun hcm m dikjaranjoni dwar kull qliegh kapilali mhux

dikjarat taht ]-anikol u 5 13' dan I-Att dwarkull sena ta' srima

1i fiha dak il.qliegh ma jkunx Sic hekk dikjarat.

(4) Meea Ikun satet Dikjarazzjoni Sponlanja

skond id-dispoiizzjonijiet ta' dan l-artikolu

I-income tal-persuna li iku n qed laghmel id·

(a)

dikjarazzjoni u 1i lkun suggetta ghat-13xxa taht id-

dispoiizzjonijict ta' dan I-Atl minbarra dan l-artikolu

ghandu jitqies 1i jkun I-income dikjarat minn dik il-

persuna fil-prospett ghas-sena ta' sllma relattiva

lida

meta ghar-rigward ta' xi sena ta' 51ima

(i)

I-income ta' dik il-persuna jkun inhadem fi Slima

1i tkun finali u konklusiva I-income hckk mahdurn

ghandu jitqies li jkun I·income hekk dikjarat; u

mCla xi income laht is-subartikolu (I )

(ii)

ta' \-artikolu 4 ta' dan I-All ikun Sic jew ikun

rapponat minn prinCipal jew minn persuna ohra li

tkun qed thallas dak I-income lill-Kummissarju

rx; prospett mehtieg ghall-ghanijiet tar-Regoli ta'

1- 1972 dwar Tnaqqis ta' Taxxa (PAY ,E.), jew

skond dawk ir-regoli jkollu jigi hek.k rapportat ,

dak I-income ghandu jitqies bhala dikjarat minn

dik iI-persuna;

I-istimaghas-sena ta' slima relauiva ghandha

(b)

ssir fuq il-baii ta' I-income dikjaratjew ti jitqies li jkun

dikjarat skond il-paragrafu (a) ta' dan is-subartikolu

lida fil-kai meta I-prospett majkunx gie prezentat

liIl-Kummissarju sal-31 ta' Manu , 1995, l-istima ghas-

sena ta' stima relattiva ghandu jsir fuq il-baii Ii gejja

0) Jek.k il-prospett ikun ghar-rigward ta'

xi wahda mis-sni n ta' stima 1991 sa 1994,1-

income ghas-sena ta' stima relattiva ghandujilqies ,

bla hsara ghad-dispoi.il.l.jonijiet tas-subparagrafu

(ii) tal-paragrafu (a) ta' dan is-subartikolu, li jkun

dak li jigi hek.k dikjarat ruinn dik il-persuna fil -

prospeu relattiv jew I-income stabbilit skond is-

subartikolu (2) ta' dan I-artikolu , skond liemajkun

l-oghla;

Jell il-prospelt ikun ghar-rigward ta'

(ii)

sena ta' slima li ligi qabeJ is-sena ta' slima 1991,

I-income ghas-sena ta' slims relattiva ghandu

jilqies, bla hsara ghad-dispo:i.izzjonij ict tas-

subparagrafu (i i) tal-paragrafu (a) ta' dan is-

subartikol u , li jkun dak !i jigi hck}: dikjarat minn

dik il-persuna fil-prospeu rclattiv jew somma li

tkun doqs I-income stabbilit skond il-paragrafu

(d) tas-subartikol u (2) ta' dan \-artikolu, skond

liema jkun \-oghla; u

(c)

kull taxxa addizjonali lab l is-subartikolu

(12) la' l-anikolu 56 la' dan I-Atl ghar-rigward ta' xi

sena ta' slima li dwarha ma jkunx hemm suma finali

u konklusiva, ghandha tilhassar.

(5) Gl'lall-ghanijiet tas-subaJtikoli (2).(4) u (7)

ta' dan I-artiko[u , income taht is-subartikolu (I) ta' 1-

anikolu 4 u qliegh kapilal i tahl \-art ikolu 5 ta' dan I-AIt,

ifisser I-income kif aggustat skond id-dispoiizzjonijiet la'

dan I-AIL

(6) L -income d ikjarat f" Oikjar azzjoni

Spontanja skond dan I-artiko lu ghandu jilqies Ii jkun

income taxxabb li separat ghas-sena la' Slima 1995, u

ghandu, kif suggell biss ghal-Inaqqis kif hemm provd ul

fis-subartikolu (7)ta' dan I-artikolu_ ikun suggelt ghat-Iaxxa

bir-rata ta' 25 eentezmu fit-l ira,

(7) Ghanduji tnaqqas biss mill-income dikjarat

dwar kull sena ta' stima taht is-subartikolu (2) ta' dan 1-

artikolu.l-income dikjarat jew meqj us bhaJa dikjarat skond

is-subartikolu (4) ta' dan I-anikolu, minn min ihallas it-

taxxa ghas-sena ta' sllma rispettiva li jkun income tahl is-

subartikolu ( I) la' I-artikolu 4 ta' dan I-An Ii ma jkunx

income minn invCSliment kifimfisser fl-artikolu 4 1 la' dan

I-All jew ql iegh kapitali taht I-artikolu 5 la' dan I-All

Izda

(a) Ille!a dwar xi sena ta' stima I-income taht

il-paragrafu (a) tas-subartikolu ( ) ta' I-anikolu 4 ki f

dikjara t skond is-subartikolu (4) la' dan I-anikolujkun

wiehed ta' lelf. dak I-income ghand u jitqics ghall-

ghanijie' ta ' dan I-artikolu li majkun xejn; u

meta dwar)(1 sena ta' slima ]-;,Jcome dikjarat

(b)

sko nd is-subarti kolu (4) la' dan l-artikolu faht is-

subartikolu (I ) la' ]·artikolu 4 ta' dan I-An (cskluz

income min n investiment kif imfisse r n -artikolu 4 1 ta '

dan l-Atljew ql iegh kapita!i laht I-artikolu 51a' dan 1-

Att) iku n iktar mill-income dikjaru t taht is-subartikolu

(2) ta ' dan I-artikolu dwar I-isless sena ta' 51jma, 1-

income dikjarat skond is-subartikolu (4) ta' dan 1-

artikolu ghandu jilqies li jkun daqs dak dikjarat taht is-

subartiko lu (2) dwar I-istcss sena ta' slima.

(8) It-taxxa fuq I-income li tithallas ta ht dan 1-

artikolu ghandha tithallas fi lieu pagame nti rateali kif gej

(a) 50 fit-mija sa mhux aktar lard mill-3l ta'

Ottubru, 1995 n i mkien mas-soltomissjoni lad-

Dikjarazzjoni Spontanja Ji ll-Kummissarju;

(b)

20 fil-mija sa mh ux aklar lard mid-29 la'

Marz.u, 1996; u

30 fi l-mija sa mhux ak lar tard mil-30 la '

(c)

Settembru, 1996.

(9) n -Kummissarju gh .. ndu jibghat bi l' p<>Sta

registrata lil kull persuna li laghmel Dikjarazzjoni Spontanja

valida skond dan I-anikolu , avv ii li j kun fih I-ammont la' I-

income taxxabbli scparat tieghu g has-sena ta' stimn 1995 u

I-ammont la' taxn li ghandhn tithallas fuqu minnu, u d-

dispoiizzjonijiel lal,Taqsima VII u la' I-nn ikolu 32 ta ' I-Att

ta' 1- 1994 dwar I-Amministrnz.zjoni tal-Taxxa ghandhom

ikunu japplikaw ghal dak I·avvii.

(10) Id-Dikjarazzjoni Spontanja msemmija fis-

subanikoli la ' qabcl la ' dan I·anikolu ghandhomjitq iesu li

maj kunux gew prei entati ghand il·Kummissarju kemm·j)

darba

(a) il· formola preskritta ma Ikunx giet mimlija

komplelamenl u bl-eiatt u pprei.enlala in duplikat 1il1-

Kummissarju mhux iktar tard mill-3 1 ta' Ottubru, 1995;

(b) il·prospetti koll ha ghas-sni n ta' stima sa u

in kluia s-sena ta ' stim a 1995 ma j k un ux gew

ip preientat i lill- Ku m mi ss arju sa meta ssi r id -

di kjarazzjoni: u

(c) il-hlas la' l-ewwel pagament ratcali ta ' taxxa

isir kif Slabhilil fis-subartikolu (8) ta' dan I-artikolu.

(11)

Mela l-Kummissarjujirrii;ullalu Ii persuna

li Ikun ippre:iem8t Dikjarazzjoni Sponlanja "alida labl dan

I-artikolu lkun iddikjarnt bin-nieqes I-income laghha ghas-

sena ta ' slima 1995 jew tkun iddikjarat bin-nieqes xi income

Ii kellujigi dikjarat tah l is-subartikolu (3) ta' dan I-artikolu

jew tkun lahl it-proviso ghas-subanikolu (2) ta' <fan l-anikolu

iddikjarat li ma lkun ireeviet ebda income ghal ebda sena la'

slima Ii matulha kienet suggetta ghal-wxa , il-Kummissarju

ghandu jerga' jikkalkoJa I-income taxxabbli separat fuq il-

baii la ' I-income kifsUllaI mill-gdid ghas-sena ta' slima 1995,

u,jew kif keJtu jigi dikjarat tahl is-subartikolu (3) la' dan 1-

aniko]u, u ,jew bla majiltiehed kai. tad-dispo:iizzjonijiet tal-

proviso ghas-subartikolu (2) la' dan J·artikolu sko nd kif ikuJl

jJ-kai, u jaghme l taxxa fuqu bir-rata la' 65 Cenlei.mu m-lira.

II-Kumm issarj u ghandu wara d an johrog avvi i. ca' stima

gdida u kull avvii ta' qabeJ mahrug tahl dan J-artikolu ghandu

jithassar u kull csxxa digll imhallsa dwar I-avvii ta ' qabe l

Jew flimkien mal- preien tata tad· Dikjarazzjoni Spontanja

ghandha ssir tpaCija dwarha ma' kulllsxxa dovuta skond

dan is-subartikolu ,

( 12) Id-dispoiizzjo nijiel relevant i lal-Taqs ima

Vil la' I-All ta' 1·1994 dwar I-Ammi nistrazzjoni tal-Taxxa

ghandhom jappJikaw ghal-t3Xxa dovula laht is-subartikolu

( 11) ta ' dan ]·art ikolu

lida persuna jkollha jedd li taghmel oM:ezzjoni u

appell kif stabbilit n ·art iko ti 33,35 u 371a' I·AII ta ' 1·1994

dwar I· Amministrazzjoni tal·Tax xa, kontra avvii ta ' slima

mahru g skond is-subart ikolu ( 11) ta ' dan I-artikolu ,

(13) (a) It· tau a li tilhallas skond id·

dispoiizzjonijie! ta ' dan J·artikolu ma ghandhiex lilqies

1i tkun taghme l sehem minn xi taxxa mhallsa jew li

tithallas skond dan I·Att ghall' ghanijiel ta' J·artikoli 59,

76 u 89 ta' d an '·Alt.

(b) Ebda haga li tinsab fdan J-artikolu ma

ghandha tolqot id·dispoi.izzjonijiet ta'J·artikol i 43 , 44

u 45 ta ' dan I· AII,

(J 4) M eta pers una laghme J D ikj arazzjoni

Spontanja skond id·dispoiizzjonijiel ta ' dan J·artikolu , jJ.

Kummissarju ma ghandux jaghti kai rad-dispoiizzjonijicl

taJ-paragrafu (g) tas-subanikolu (I) ta' I-anikolu 14 la' dan

I-Att dwar il-kalkolu ta' kull te lf li jkun sar matul xi sena I;

tigi qabel is-sena ta' stima 1995 dwar is-sena ta' stima 1995

u soin ta' slima Ii jigu wara.

(15) II-MiniSlru jisla' jaghmcJ regoli b'mod

generali ghal-thaddim tad-dispoz;zzjonijiclla' dan I-artikolu

u jisra' b'med partikolari jipprovdi b'dawk ir-regali dwar

kif ghandha tk un il -formola la' prospeni. lalbie!.

dikjarazzjooijict u avv;z; tarn dan I-anikolu." _

Minnufih wara I-artikolu 48 ta'I-An prinCipali ghandujiidied ~ ~.~

d an I - artl 'k 0 I U g ' d'd

1 I' I geJ

. .

48A . (I) Mela penuna li lkun regiSlrata ghall-

"DiopollujDo

finijiet tat-Ta:u:a dwar il-Valur Miijud Iqabbad IiI xi hood

sabiex dan jaghmcJ xi hdim ta' maJjar bl-idejn. bizzilla.

xoghoJ lal-gane u rakkmu gewwa d-dar b'rimunerdzzjoni

::.. lltir:'"

ghal xi sena 1i ligi qabel sena ta' slima li ma Ikunx la- aktar

minn Lm200 it-laxxa dovula dwar I-;ncomt' imhallas lil dak

I-arti&jan fid -dar u Hnsqqis li jista' jsir dwar dan mill-

persuna li tkun qeghda thaddem ghandhom ikunu regolati

skond dawk ir-regoH Ji jistghu isiru tsht dan I-artikolu

I:i'.da x-xoghol maghmul minn dawk I-artigjani rid-

dar ghandu rkull kai ikun maghmul bl-idejn u mhux bB-

makna.

(2) II-Mini stru jista' jagh mel ordni li biha

jestendi d-dispozizzjonijiel 18s-subartikolu (I) ta' dan 1-

artikolu ghar-rimunerazzjoni ta' dawk il-haddiemali jistghu

jigu hekk preskritti n-Ordni laht dawk il-kondizzjonijiet Ii

jistghujigu stabbiliti rdak l-Ordni ....

5 , FI-ahhar tas-subartikolu (l 3) ta' I-artikolu 56 la ' I-Att rn.., to .. '

prinCipali ghandu jiidied dan i)·proviso

" Iida rkas la' Kunlnlllta' Produclion Sho.ring iffirmal wara

1· 1 ta' Jan nar. 1996, it-taxxa tithallas bir·rala stipulata ris·subar-

tikolu (6) la' dan l·artikolu ....

E-t ......

A -anikolu S8 ta' I-Att prinCipali minfJok iI-kliem '"roija u

l_itcIoo 51

...... .,

disgha u ghoxrin lira" u "mija u tliet 1io" ghand hom jidl'llu I-kliem

.. ' I·Aa

" mija u e rbgha u siltin lira" u "mij a u tmienja U Ilelin lira"

rispettivamenl.

Mghoddi mill-Kamra tad-Deputati fis-Seduta Nru. 446 la' 1-24 ta' Lulju , 1995.

LAWRENCE GoN'ZJ

S~oke,

R ICHARD J. C AUCHI

Skrivon tal-Kamra tad-DepuUJti.

( I ) Notwithstanding any other provisio n ofthe

" .... ....,

Decl_ion

, ,-.

Income Tax Acts, a person, apart from the return for the

year o f assessment 1995. may present a Spontaneous

Declaration on the prescribed form and the income of that

person falling underseclions 4 and 5 of this Act for the years

of assessmen t prior 10 the said year of aSse<ismenl shall be

deemed 10 be the income as arrived at under the following

provisions of this section .

(2) The Spontaneous Declaration shall show as

income falling under subsectio n (I ) of section 4 of this Act

for the years of assessme nt 1994, 1993, 1992 and 1991 a

sum based on a true declaration of the income declared by

that person falling under the said subsection (I) of section 4

(but ex.cluding any investment income as defined in section

41 of this Act and capital gains falling under section 5 of

th is Act) for the year of assessment 1995 as follows

(a) fo r the yea r of assessment 1994 , a sum

equivalent to 80% of the relative income declared in

the return for the year of assessme nt 1995 , excluding

any investment income as defined in section 41 of this

Act and capital gains falling under section 5 of this Act

as aforesaid;

(b) for the year of assessment 1993 , a sum

equivalent to90% of the sum declared under paragraph

(a) hereof;

(c) for the year of assessment 1992, a sum

equi valent to 90% of the sum declared under paragraph

Cb) hereof; and

(d) fo r the year of assessment 1991 a sum

equivalent to 90% of the sum declared under paragraph

(c) hereof

Provided that where a person was in any of the

years of assessment 1991 to 1994 not registered as a taxpayer

and had no income liable to tax under this Act, he shall under

paragraphs (a) to (d) hereof,only declare that he received no

income fo r the years of assessment therein refe rred to

previous to the year of assessment in which he first became

liable to tax under this Act.

(3) The Spontaneous Declaration shall also mue

a statement of any undeclared capital gains falling under

section 5 of this Act in respect of each year of assessment

where such gains were so undeclared.

(4) Where a Spontaneous Declaration has been

made in accordance with the provisions of this sectio n

(a)

the inco me of the person making the

dec laration and subject 10 tax under the provisions of

tbis Act other than this section shall be deemed to be

the income declared by that person in the return for the

relative year of assessment

Provided thal

where in respect of any year of

(i)

assessment the income of that person has been

arrived at in an assess menl which is final and

conclusive the income so arrived at shall be

deemed to be the income so declared; and

(ii ) whe re any income falli ng under

subsection ( 1) of section 4 o f Ihis Act has been or

is reported by an employer or other person paying

me income 10 the Commissioner in any return

required for the purposes of the Deduction of Tax

(pAYE) Rules, 1972, or in accordance with such

rules ought 10 be SO reported, such income shall

be deemed declared by such person ;

(b) the assessment for the relative year of

assessment shall be raised on the basis of the income

declared or deemed dec lared in accordance with

paragraph (a) hereof

Provided that in the case where a return was not

submitted to the Commissioner by the 31st March 1995,

the assessment for the relative year of assessmenl shall

be raised on the following basis

(i) If the return is in respect of any of the

years of assessment 1991 to 1994, the income for

the relative year of assessment shall subject to the

provisions of subparagraph (ii) of paragraph (a)

hereof be considered 10 be that declared by such

person in the re lative return or the income

determined in accordance with subsection (2) of

this section, whichever is the higher;

If the relUm is in respect of a year of

(ii)

assessment prior to year of assessment 1991 , the

income for the relative year of assessment shall

subject to the provisions of subparagraph (ii) of

paragraph (a) hereof be considered to be that

declared by such person in the relative return or a

sum equal to the income detennined in accordance

with paragrnpb (d) of subsection (2) of this section,

whichever is the higher; and

(c)

any additional tax under subsection (12) of

section 56 of this Act in respect of any year of

assessment for which there is not an assessmem which

is final and conclusive, shall be waived.

(5)

For the purposes of subsection (2), (4) and

(7) of this section, income under subsection (1) of section 4

and capital gains falling under section 5 of this Act, means

the income as adjusted in accordance with the provisions of

this Act.

(6) The income declared in a Spontaneous

Declaration in accordance with this section shall be deemed

to be separate chargeable income for the year of assessmem

1995, and shall, subject only to the deduc tions a.~ provided

in subsection (7) of this section be subject to tax at the rate

of 25 cents in the lira.

(7) There shall only be deducted from the income

declared in respect of each year of assessment unde r

subsection (2) of this section, the income declared or deemed

declared in accordance with subsection (4) of this section,

by the taxpayer for the respective year of assessment being

income falling under subsection (I) of section 4 of this Act

not being investment income as defined in section 41 of this

Act or capital gains falling under section 5 of this Ac!

Provided that

(a) where in respect of a year of assessment the

income falling under paragraph (a) of subsection (1) of

section 4 as declared in accordance with subsection (4)

of this section is a loss, such income shall for the

purposes of this section be deemed to be nil; and

(b)

where in respect of a year of assessment the

income declared in accordance with subsection (4) of

this section falling under subsection (1) of section 4 of

this Act (excluding investment income as defined in

secti on 41 of this Act o r capital gains falling under

section 5 of this Act) is greater than the income declared

under subsection (2) of this section in respect of the

sli me year of assessment , the income declared in

accordance with subsection (4) of this section shall be

deemed to be equal 10 that declared under subsection

(2) in respec t of the same year of assessment.

(8) The tax on income chargeable under this

section shall be payable in three instalments as follows

(a)

50 per cent by not later than the 31st October

1995 together with the submission of the Spontaneous

Declaration 10 the Commissioner;

(b) 20 per cent by not later than the 29th March,

1996, and

(c) 30 per cent by not later than the 30th

September, 1996.

(9) The Commissioner shall send by registered

post to each person who makes a valid Spontaneous

Declaration in accordance with this section , a notice stating

the amount of his separate chargeable income for the year

of assessment 1995 and the amount of tax payable thereon

by him, and the provisions of Pan VII and of section 32 of

the Income Tax. Management Act, 1994, shall apply 10 such

notice.

( 10) The Sponlane:ous Dedaration referrc:d to-i n

the previous subsections to this section shall be deemed not

to have: been filed with the Commissioner unless

(a) the prescribed form is fully and accurately

completed and is submitted in duplicate 10 Ihe

Commissioner nOI later than the 31 si October, 1995;

(b) all returns for the years of assessment up to

and including the year of assessment 1995 are sl'bmitted

10 the Commissioner by the time the declaration is

made; and

(c)

payment of the first instalment of tax is

made as laid down in subsection (8) of Ihis section .

(11) Whe re it results to the Commissioner that

a person who filed a valid Spontaneous Declaration under

this section has undcrdcclared his income for the year of

assessment 1995 or has underdeclared any income which

ought to be dectared under subsection (3) hereof or has

under the proviso to subsection (2) hereof declared that he

has received no income for any year of assessment in which

he was liable to lax , the Commissioner shall recompute the

separate chargeable income on the basis of the reassessed

income for the year of assessment 1995, and ,or as ought to

have been dcclared under subsectio n (3) of this section ,

and, or disregarding the provisions of the proviso 10

su bsection (2) hereof as the case may be, and raise a tax

thereon at the rale of 65 cents in the lira. The Commissioner

shall thereupon issue a fresh nOtice of assessment and any

previous notice issued under this section shall be canceHed

and any tax already paid in respect of the previous notice

or together with Ihe fil ing of the Spontaneous Declaration

shaH be set off from any tax due in accordance with this

subsection.

( 12) The relevant provisions of Pan VU of the

Income Tax M:lnagement Act, 1994, shall apply 10 the lax

due under subsection ( 11) of this section

Provided that a person shall have a right of

objection and appeal as laid down in sections 33, 35 and 37

of the Income Tax. Management Act, 1994, against a notice

of assessment issued in accordance with subsection ( 11 ) of

this section.

(a) Tax charged under the provisions of

( 13)

this section shall not be deemed to be pan of any tax

paid or payable under this Act for the purposes of

sections 59,76 and 89 of this Act.

(b) Nothing contained in this section shall

affect the provisions of sections 43, 44 and 45 of this

Act.

(1 4) Where a person makes a Spontaneous

Declaration in accordance with the provisions of this

section, the Commissioner shall disregard the provisions

of paragraph (g) of subsection (I) of section 14 of this Act

regarding lhecarrying forward of losses incurred during any

year preceding the year of assessment 1995 with respect to

the year of assessment 1995 and sUbsequent years of

assessment.

( 15) The Minister may make rules generally for

carrying out the provisions of this section and may in

panicular by those rules provide for the form of returns,

claims, statements and notices undcr this section ....

4. Immediately aftcr section 48 of the principal Act there shall AddItio<I olnow

be added the following new section

48A. (I) Where a VAT registered person engages

any individual for the carrying out of hand knilling, lace

making. crochet and embroidery activities at homc against

a net remuneration in anyone year preceding a year of

assessment nO!: exceeding Lm200 the tax due in respect of

the income paid to any such outworker and the deductions

that may be made in respect thereof by the person engaging

them shall be regulated in accordance with such rules as

may be made under this section;

Provided that the work carried out by such

out workers shall in all cases be handmade and nO!: machine-

m .....

The Minister may by order extend the

(2)

provi sions of subsection (1) of this section to the

•

remuneration of such workers as may be prescribed in the

Order under such conditions as may be set out in the said

Order." .

5. In subsection ( 13) of section 56 of the principal Act. there .u.,' _ 01

shall be added the following proviso at the end thereof

"Provided thal in the case of a Production Sharing Contract

signed after 1 January, 1996. the tax shall be charged at the rate

stipulated in subsection (6) hereof.".

6. In section 58 of the principal Act for the words "one hun-

.... ,"" ' ..... of

dred and twenty·nine liri" and "one hundred and three liri" there shall

be substituted the words "one hundred and sixty.four liri" and "one

hundred and thirty-eightliri" respectively.

Passed by the House of Representatives at Sitting No. 446 of the 24th July.

1995. LAWRENCE GoNZl

Speaker

RICHARD J. C AUCHI

Clerk to IlIe House oJ Representatives

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