VaI\Oed Added Tu (Tu Rrconk) RtpJ.t~, 1994 (turrconk)

L.N. 102 of 1-'"

VALUE ADDED TAX ACT, 1\1904

(ACT NO. XII OF 1994)

VaI\Oed Added Tu (Tu Rrconk) RtpJ.t~, 1994

IN EXERCISE of the ~rs OC)IIferred by sections 16, 37 and 61

oflhe Value AddedTu Act , 1994, hereinafte r referred 10 as Mthe Act",

the Mini ster of Finance has made the following regulations:-

I. (J) lbe$e regulations may be cited as the Value Added Tu 00_ ....

(Tax Records) Regulations, 1994.

- , - - _.

(2) These regulations shaU come into force on the 151

January, 1995.

Espressjonijicl utat; rdawn ir-regolamenti glIandu jkollhom ,

kcmm-i1 darba r-rabta tal-tiiem ma telllicp lIon'om, I-istess lifsira

Lilhom moghtij. fI- AIt .

J. Kull persuna tanabbli glIandha tiomm , bil-ghan I; lagb ti konl 0",1,,_"" ;

~-

tal-Iuxa, kuU dokumcnlazzjoni u dokumcnt kif ltej

,....... .... I'r.

(a) akkonti u kllll dohmenlaujoni ~ierqa la' l-attivilA

ekonomika taghha;

(b) 1·.H ont tagbha lal·tau. fuq iI·YJ,luf mitjud;

I-akkonl lagtlha la' kuU sena tal-laua fuq il,valur mitjud;

(t)

(d) kopji ta' kull faltura ta' 1aXX. minnh. mabruta;

(e) kull faltur. ta ' tana li tkun irteviet;

(f) kull dokumentazzioni Ii jkollha x'laqsam m.' kull

importazzjoni u esponazzjoni min nha magbmula;

(g) kopji tal-irteyuti fiskali kollha matlruga skond ir-

Regolamenti ta' 1·1994 dwaf T.lla fuq il -Valur Mitjud (Ritevuli

Fiskali) ; u

(h) tull nota la' kredilu, nota la' debitu u doku~nt idlor

minnha mahruga jew irtevuli ]j jagbtu prova la ' tieda jew tnaqqis

fil-kumpens ghal xi provvisti jew gbal imponazzjonijiet _

lI-koRleggi u d-dokumentll7.Zjoni la' ImU persuna tuubbli

TCIlIllI used in the$r; regulations shall , unJe$$ the oonleJIl ~.

otherwise requires, have the mcaninglWigned to them in the Att .

Every taxable person sh.all, for the purpose of acool,mting for ~

~=

the IU, keep the following reoords and documents

(.)

prope r accounts an d records of his eronomk activity ;

his value added tu account

(b)

(cl

his annual value added tu acoounl ;

oopies of all tu invoices issued by him ;

(d)

all tu invoices received by him ;

(c)

(f)

documentation relating to importations and export.,ions

by him

(g) copies of aU filCal recei pts issued in terms of the Value

Added Tax (Fiscal Receipts) Regulations, 1994; and

(h) all credit notes , debi t notes and other documentl b$ued

by him or received by him which evidertee an increase or a decrease

in the C()nsideration for any supplies or for imponations.

The accounts and recordsofcvcry talllble penon shall be kept 101 ............

in such a way as to enable the following mattCI$ to be readi ly iBdIooIodio","

ascertained

•

(a) the total value of the supplies made by him during each

tax period , and separate totals of the value of-

Exports;

(i)

(ii) supplies other than uports referred to in Pan One

of tile Second Schedule to the Act (exempt with credit

supplies);

(iil) supplies referred to in Part Two of the Se<:ood

Schedule (othe r CJF:cmpt supplies);

(iv) supplies made outside Malta;

(v) supplies cba~able at the rate of tu of I S%,

distinguishing between supplies deemed to have been made by

him in temu of section 1001 the Act and otberlupplies;

(vi)

supplieschargeahle Jlthe nit of tu of 10%;

(b) the lotal value of his imponalioll5, purchases and other

inputs for each tu period, and separale 10lal$ of the value of -

(i)

importations ;

(ii)

tnablesuppLies;

(iii) other inputs;

(e) where the lupplies made by him include supplie$ referred

to in Part Two oflhe S«ond Schedule the apportionment orolher

method applicable in terms of the Act or any n:gulaliollS made

under the Act for the attribution of the input tall 10 the supplies

made by him ;

(d) the lax paid or payable, tile tax refunded or refundable

and the e~ce:ss credit carried fOlWani, if any . for each tax period.

§ . ( I) The Value Added Tu Aeoount shall be • sepante

account held for each tax period of the taxable person and lhaLL be

divided intn the MOutput tu ponioo" and the Mlnput tall portion~.

(2) The output tax portion of the Value Added Tax Account

shall show the IOtal oulput lax chargeable for the relative tu period

showing separate totals of out pu t tu chargeable at different rateS, and

shall contain a cross reference to the lKOOunts from which the valuesof

tbe supplies to which tbe uid output \aI rden can be ascertained .

(l) The input tu portion of the Value Added Tu: Account

shall show the total input allowable 3$ a deduction for that period,

distinguishing between input tu 00 importations and on supplies, and

shall contain a cross reference to the accounl$ from which the valuesof

the import ations and supplies to which tbe uid input tl\lll refen caD be

ascertained.

(I) Where a tuable person, in a return for a tl\lll period

furnished to the Commissioner -

(a) overstates or understates the output tax and the

overstatement or understatement don nol cKcecd five per cent o f

lheoutpl.ll llJl declared in the said return , andIor

(b) overstates or understates the credit fo r input tu and the

oversta temen t Or understatement does not exceed five per cent of

the credit fo r input tax dedared iD the u id return .

he ma y make a n adjustment in the Value Added Tu Acx:ou.nt for tbe tax

periQd during whic h the overstatemen t or understatement is di$covered

by means of a deduction from or an addition to the total for that tu

period of the output tal ponion and/or the inpullax portion. as the case

may be, and the O1.Itput tu and input tax for that period shall be deemed

10 be the respective IOtals thereof as adjusted .

(2) No adjustment may be made in IlCQ)rdance wi th

paragraph ( I) of lhil; regu lation except wllere the overstatement or

understatement of the output ta:JI: or the input lax rewlts as a

consequence 01. mistake on the pan of the taxable pel'5On.

(I ) Where the output tax or the inJMII w: declared by I

person in I tax return resulU to have heen un<:k:rstated or overstated on

account of an increase ordccrease in the conside ration for I supply or I

cance llation of a supply made to or by that person whieh is clJ arged or

al lowed or made in any w: period subseque nt 10 that during wlUdJ the

supply was accounted for . that pel"$Oll may make an adjustment in the

Value Added Tax Aocount for the said subseq uent tu period hy meam

of a <:k:ductinn from or an addition to the total for that tu period of the

output tu portion and/or tile input tax portion, as the case may be, and

the output w: and input tu for that period s.ball be deemed to be the

respective totals tbereof as adjusted.

(2) Nothing in this rcgulation shall be construed as a1lowinl

the detcrmination of the taxable value of a supply in dcrogation of any

provision contained in the Act in general and in the Fourth Sched ule to

the Act in pi.rtieular.

=

Where any adj ustment fal ls to be made pursuant to an :.~.~. :"' ••

attribution of input tax based on annual resuJ I$ in terms of the Value - " "

Ad<:k:d Tu (Dcductions) RClulations . 1994, the uid adjllStmcnt shall

be made to the Value Added Tu Account in accordance with the said

resuJationl.

( I ) Every adjustment to tbe Value Added Tu Account s.ball

po , .,

elearly make reference to the tu return to which it refers and to all the

documents relating to the understatc mcnts and overstatements.

odj-«

(2) No adjU$tment may be made in accordance with

regulations 6 or 7 of these regulations in the Value Added Tu Acoount

for any w: period which commelKCS late r than six months from the

expiration of the tu period for whiclJ the relative output tu or credit faT

input lIIJl had been ovcrstated or understated .

(3) No lIdjustmeDU may be made in !be Value Added Tu

AcroUDl for I tu period in re:spcct of any supply or importation

.eeounted f~ in a prcviou$ period exc:ept in acx:ordance with these

rcguJations.

The amount of output tu and credit for input lax to be

declared by. person in a tu return for. tu period shall be the Illn()U.Dt

of OUlpu11U and credit for input tu: $howo in the records of that persoo

in aooordance with these regulations.

The annual value added tu account shall be an &CroW1t

draWD up for every calendar year and shaU show the total orllle totals

sllown in the output tu portion and in the input tax portion of the Value

Added Tu Account for each of the tu periods ending during that

calendar year.

(1) Tbe Commissioner may, in any particular caseor clllS$tS

of 1:aSe1, require such additional records or dcN:umcn15 to be kept, or

aUow such variations 10 the rcCX)rcU and documents 10 be kepI in

aceordance with these regulations as he may deem appropriate for any

of the purpose!! of the Act.

(2) These regulations Ihall be subject 10 the general

requirements of KCtioo 'IT of the Act and of any special provision

conlained in the Ad or in any regulations made under the Ad .