Duties and taxation of Insurance Premiums) Order, 2004

L.N. 492 of 2004

EUROPEAN UNION ACT, 2003

(ACT NO. V OF 2003)

Implementation of Directive 2004/56/EC

(Mutual Assistance by the Competent Authorities of the

Member States in the field of Direct Taxation, certain Excise

Duties and taxation of Insurance Premiums) Order, 2004

IN exercise of the powers conferred by sub-article (2) of article

4 of the European Union Act, 2003, hereinafter referred to as “the

Act”, the Prime Minister and Minister of Finance has made the

following Order:-

(1) The title of this Order is the Implementation of Citation,

Directive 2004/56/EC (Mutual Assistance by the Competent application

commencement.

Authorities of the Member States in the field of Direct Taxation,

certain Excise Duties and taxation of Insurance Premiums) Order,

2004. This Order shall come into force on the 1 st January,

(2)

2005. (3) The provisions of this Order shall be without L.N. 267 of 2004.

prejudice to the provisions of the European Union Directives

Regulations, 2004 issued under and for the purposes of the Income Cap 123.

Tax Act.

In this Order, unless the context otherwise requires

Interpretation.

“the Directive” means the provisions of Council Directive

77/799/EEC on mutual assistance by the competent authorities

of the Member States in the field of direct taxation, certain

excise duties and taxation of insurance premiums of the 19 th

December, 1977 as amended and of Council Directive 2004/

56/EC of the 21 st April, 2004 laying down detailed directives

for implementing certain provisions of the said Council

Directives other than the provisions of the said Directives insofar

as they relate to Income Tax payable in terms of the Income

Tax Act.

“Member State” means any State referred to in the

definition of “the Treaty” contained in article 2(1) of the Act.

The Directive is adopted as part of the laws of Malta and

shall have effect in Malta accordingly.

(1) For the purpose of the Directive, the competent

authority in Malta is the Minister responsible for finance or any other

person or persons designated by the Minister responsible for finance

by means of an order in writing.

(2) An order in writing as provided for in sub-article (1)

hereof may designate different persons to act as the competent

authority for different types of taxation or for different purposes of

the Directive.

(1) In order to obtain the information sought, the

competent authority shall proceed as though acting on its own

account or at the request of another authority in Malta.

(2) All information made known to the competent

authority shall be kept secret in the same manner as information

received under other national legislation. In any case, such

information

(a) may be made available only to the persons directly

involved in the assessment of the tax or in the administrative

control of this assessment;

(b) may be made known only in connection with judicial

proceedings or administrative proceedings involving sanctions

undertaken with a view to, or relating to, the making or

reviewing the tax assessment and only to persons who are

directly involved in such proceedings; such information may,

however, be disclosed during public hearings or in judgements

if the competent authority of the Member State supplying the

information raises no objection at the time when it first supplies

the information;

(c) shall in no circumstances be used other than for

taxation purposes or in connection with judicial proceedings or

administrative proceedings involving sanctions undertaken with

a view to, or in relation to, the making or reviewing of the tax

assessment.

(3) The information referred to in article 5 may be used

for assessment of other levies, duties and taxes covered by Article 2

of Directive 76/308/EEC.

(1) The competent authority may refrain to provide Withholding

information.

information or carry out inquiries or communicate information if it

would be contrary to other national legislation or administrative

practices.

(2) The competent authority may refrain from

transmitting such information when the Member State requesting it

is unable, for reasons of fact or law, to provide the same type of

information.

(1) At the request of the competent authority of another Notification.

Member State, the competent authority shall, in accordance with

rules governing the notification of similar instruments in the

requested Member State, notify the addressee of all instruments and

decisions which emanate from the administrative authorities of the

requesting Member State and which concern the application in its

territory of legislation on taxes covered by the Directive.

(2) Requests for notification shall indicate the subject of

the instrument or decision to be notified and shall specify the name

and address of the addressee, together with any other information

which may facilitate identification of the addressee.

(3) The competent authority shall inform the requesting

authority immediately of its response to the request for notification

and shall notify it, in particular, of the date of notification of the

decision or instrument to the addressee.

(1) Where the tax situation of one or more persons liable Simultaneous

controls.

to tax is of common or complementary interest to two or more

Member States, the competent authority may agree to conduct

simultaneous controls with its counterparts in other Member States,

with a view to exchanging information thus obtained, whenever they

would appear to be more effective than controls conducted on its

own.

(2) The competent authority shall identify independently

the persons liable to tax whom it intends to propose for simultaneous

control. It shall notify the respective competent authorities in the

other Member States concerned of the cases which, in its view, should

be subject to simultaneous control. It shall give reasons for its choice,

as far as possible, by providing the information which led to its

decision. It shall specify the period of time during which such

controls should be conducted.

(3) The competent authority shall decide whether it

wishes to take part in simultaneous controls. It shall confirm its

agreement or communicate its reasoned refusal to its counterpart

authority.

(4) The competent authority shall appoint a representative

with responsibility for supervising and coordinating the control

operation.

Mitbug[ fl-Istamperija tal-Gvern — Printed at the Government Printing Press