99 tal-1994

01 II'M

L.N. "

VALUE ADDED TAX ACT, 19904

(ACT NO. XII OF 19M)

Value Ackkd Tu (Retallen ' Schema) R~ul.tlons, 1994

IN uerase of the powen conferred by sectiol1$ 46 and 6 1 of the

Val ue A dded Tax Act , 1994 , hereinafter rderred to as Kthe Act~, the

Ministe r ofFinanc:e has made the following regulatioos:-

I . ( I ) 'These regulations may be dted as the Value Added Tu

(Relailen' Schemes) Regulations, 1994.

(2) 1bese regulations $hall be dc<:med to bave come into

fom:= on the 1st September, 1994.

( I)

In these regulatiol1$, unless the oontu t otherwise

requircs -

~scheme" means an y scheme to which regulation 3 of these

regulations applies.

(2)

O tber terms shall have the meaning assigned to them in

the Act.

J . This regulation applies to

<a)

a c:ash basis scheme;

(b)

an invoice basis scheme

(c)

an authorized scheme.

4, ( 1) Subject 10 the other provisions of this regulation , supplks

made by Ind 10 a retaile r who adopts I cash basis scheme shall be trealed

as made allhe time when the payment for the supplies is made loor by

thal retailer , as the case may be, and the taxable value ofsupplks made

during I t.ax JXriod by and 10 IUch I retailer shall be equivalenl 10 the

payments received by and paid to, respectively, tbat retailer duri ng that

t.ax period for taxable supplies made by and 10 him .

(2) The provisionsofilems Sand 60fthe Fourth Schedule to

the Act shall apply for the purpose of determi ning the taxable valueof

suppl ics refe rred 10 in paragraph ( I) of this rcsulalioo provided that the

reference oonlaiBed in the saId items 10 ~considerauon for I Ialtable

supply~ shall be construed ill! a refercnoe 10 the payment received or

made , as the case may be, for a taxable supply.

(3) W11cre I retailer makes a tran~tion for which no

consideration is paid or payable, and where thal transact ion is deemed

to be I laxable supply made by that retaile r in viriue of regulations made

for the purposes of subsection (2) of section 7 of the Act, the laxable

value of the said supplies $hall be determined in aocordance with items 7

and 80f the Foun h Schedule to l he Act.

(4) The input In and the credil for inpullU of • retailer who

adoplS a cash basil scheme shall be delermined in acrordan<:e Mm me

~sions of sections 24 and 2S of the Act and of regulations prescribed

In virtue ohubsection (3) of the section 2S of m e Act , provided mat any

reference in the said sectintu and regulations to tll chargeable on

suppliCl made 10 aregislered person shall be construed as I rcfereDCC to

tu paid on sud! supplies .

--

-.

.5. The time of supplies and the laDbIe value of supplies made by

and 10 a retailer who adopts an invnine basis scheme, and the input tu

and the credil for input tu: allowable to that retailer shall bedelennined

in IICOOrdance with the prcMsiom of the Act and of regulations made

under the Act without rderence to tbe$e regulations.

- .

(1) The Commissioner may authorize a retailer to adopt such

other scheme for the detenni nation of the lime of supplies and of the

laDble value of supplies made by and to bim lllI he m.y deem

appropriate.

(2) A ny stheme .uthorized in virtue of paragraph (I) of thi,

reau1atioo shall be specific:! by means of !I. notice aive n by the

Commissioner 10 the said retailer, or published by means of • nOlice in

the Guclle in which case the authorization shall be deemed as havina

been aiven to.lI reuilers f.Uina within the category to which the uid

notice is made applicable.

(3) An authorized scheme may be amended or revoked or

substituted by means of a subsequent notice.

(I) Every retailer shall adopt one of the schemes referred 10

in reaulalions 4 and S of these regulations or. where any stheme has

been autllorized under reJulation 6 of these regulations, such

authorized scheme. and shall mdicate the scheme adopted by mUM nf a

declaration attached to or included in t he return furnished by him for

eve." tax period for wh.ich he adopts that sch.eme.

(2) The declaration referred to in paragraph (I) of this

regulation shall indicate clearly Ihe sdleme used and shall be made in

such form as the Commissioner may direct .

I.

(1)

The Commissioner may refuse 10 allow a retailerto 'Oop!

• cash basis scheme or a scheme authorized by a notice in the Gazelle if

he il of the opinion that that sdleme is likely 10 sipificantly dislort the

taxable v.lue of Ihe taxable supplies made by that retailer or his input

tax and that the said retaile r can reasonably be expected to aOop! an

invoice basis scheme or another .utborixed.scheme.

(2) The Commissioner sball cause a refusal referred 10 in

paragraph (I ) of thi$ regulation 10 be notified 10 the retailer and $hall by

me.ns of lhe said lIOI:ioe require the retailer to adopt, unless and until he

is ,ulhorized to adopt an authorized scheme othe r than that to which the

refusal tefen .• n invoice basis scheme.

(3) A refusal shall be effective with effect from tlK: tu period

during which it is notified or from sl.ICh later date., may be specified in

the notice referred 10 in paragraph (2) of this regulation unlil lUCh linK

as may be specified in the $aid nOli~ .

, . (\) Subject to the other provisionl of Ihis regulation, a

scheme may be discontinued by the adoption of another tcheme made in

a<XQrdanee with regula tion 7 of these regulations.

(2) Except wi lh the approval of lhe Commissioner a retailer

may nol di$COntinue a ilChcme unless he ha! adopted ,ha,lChcme for at

least four consecutive lax periods and unless a notieeoflhe intention 10

disconti nue the scheme is given 10 the Commissiorler by 1101 late r than

the date on which the last return in which lhe scheme is adopted is

furnished to the CommiS$ioner.

(3) Paragraph (2) of this regulation shall not apply where a

retailer wishes to discontinue an al,lthorUed scheme which has been

amended , revoked o r substitl,lted,

(4) On the disoontinuana: of. scheme the Commissioner

may reql,lire the retailer to pa), tax in sucII amount 11$ the Commiss>onc r

may deem fai r and reasonable to compensate for the tax on 'l,Ipplies

whieh, because of the disconliml3nt:e of the scheme, might otherwise

remain unaccounted for.

10, Except with the approval in writing of the Commissione r or in

accordance with the terms of a scheme, a retailer ma)' DOl

(a)

adopt a 5I:heme for only a pan of I tax period;

(b) adopt a scheme in respect of only pan of lhe laxable

wpplics made in a tax period;

(e)

adopI more than om scheme in respect of the same

poriod.

tppol:ltlliu. ... o;poru... .. la' ~ t """-aDjoai _ ~

hIbMwd", lit< ~'of I~

K",,*,

Mi!bto&IllI-t"-"io IaI-Ov<n - _

.. "" GowmmmII'rinIiIq: I'mII

Blief bl-approvaujoni bil-miktub tal-Kummissarju Jew skond 1( .... di22j"";ji<l

""'" 11-

il-kundiujonijicl la' skema. bcjjiegb bl.irnnut rna jistax;

(a) jadona skema gbal pani bi$$ 11' tmien ta' tana;

(h) jadona skema g/'Iar-rigward ta ' partf biss mill-provvisti

tauabbli m.gbmulin fi tmien ta' tux. ;

(t)

jaddotta iktar minn skema wallda ghar-rigward ta'l-istc:ss

imien.