Registration Tax (Amendment) Rules, 2012

L.N. 6 of 2012

MOTOR VEHICLES REGISTRATION

AND LICENSING ACT

(CAP. 368)

Exemption from Motor Vehicles

Registration Tax (Amendment) Rules, 2012

IN exercise of the powers conferred by articles 18 and 19 of

the Motor Vehicles Registration and Licensing Act, the Minister

for Infrastructure, Transport and Communications has made the

following rules

(1) The title of these rules is the Exemption from Motor Citation and

Vehicles Registration Tax (Amendment) Rules, 2012, and they commencement.

shall be read and construed as one with the Exemption from Motor

Vehicles Registration Tax Rules, 2009, hereinafter referred to as L.N. 196 of 2009.

“the principal rules”.

(2) These rules shall be deemed to have come into force on

the 1st January, 2012.

Rule 2 of the principal rules shall be amended as follows

(a) immediately after the definition “the Authority”

there shall be inserted the following new definition

“ “the Board” means the Board appointed by the

Minister responsible for finance to assess applications

related to exemptions under article 19(3)(f) of the Act;”;

(b) for the definition “cycle” there shall be substituted

the following

“ “cycle” shall have the same meaning assigned to

it in the Act;”;

(c) the definition “habitual residence” shall be deleted;

(d) immediately after the definition “Member State”

there shall be inserted the following new definition

“ “M1 motor vehicle” shall have the same meaning

assigned to it in the Act;”;

(e) in the definition “normal residence”, for the words

“article 18 of the Act” there shall be substituted the words

“article 18(5) of the Act”;

(f) the definition “owner” shall be deleted;

(g) for the definition “private motor vehicle” there

shall be substituted the following

“ “private vehicle” means an M1 motor vehicle,

including its trailer, if any, a motor caravan, a motor

home or a cycle;”;

(h)

the definition “public highway” shall be deleted;

(i) immediately after the definition “relief” there shall

be inserted the following new definition

“ “road” has the same meaning as is assigned to it

in the Authority for Transport in Malta Act;”;

(j) for the definition “transfer of residence” there shall

be substituted the following

“ “transfer of residence” means the actual transfer

of the normal residence of a person from a place outside

Malta to a place in Malta;”; and

(k) immediately after the definition “transfer of

residence” there shall be added the following new definition

“ “Tribunal” means the Administrative Review

Tribunal established by the Administration Justice Act.”.

Rule 3 of the principal rules shall be amended as follows

(a) in sub-rule (1) thereof, for the words “Where a

motor which” there shall be substituted the words “A motor

vehicle which”, and for the words “Provided the vehicle”

there shall be substituted the words “Provided that vehicle”;

(b) in sub-rule (3) thereof, in the English text, for the

words “on the public highway” there shall be substituted the

words “on the road”.

For rule 4 of the principal rules there shall be substituted

the following

(1) For the purpose of this rule “date” shall mean

the date on which the decision of the Board is published

on the website of the Ministry responsible for finance.

(2) The exemption under article 19 (3)(f) of

the Act shall be granted in respect of an M1 motor

vehicle or a cycle which is the personal property of an

individual and which is being brought or imported into

Malta by that individual when he is transferring his

normal residence from a place outside Malta to a place

in Malta.

(3) For a vehicle to qualify for an exemption

under sub-rule (2) –

(a) it shall have been registered in the

name of the individual transferring his normal

residence for a period of at least twenty four

months immediately before the date of his transfer

of residence to Malta and is still so registered when

the vehicle is imported or brought into Malta;

(b) it shall have been acquired under the

general conditions of taxation in force in the

domestic market of the State from which it is

being imported or brought into Malta, and is not

the subject, on the grounds of exportation, of any

exemption from or any refund of excise duty, value

added tax or any other consumption tax;

(c) the person applying for the exemption

shall have been residing outside Malta for a

continuous period of at least twenty-four months

immediately before the date on which he ceases to

have his normal residence outside Malta;

(d) the vehicle is declared for exemption

not earlier than two months before the date on

which applicant becomes normally resident in

Malta and not later then twelve months following

that date; and

(e) if the vehicle has already arrived in Malta,

the application for exemption is made by the person

transferring his residence within thirty days from

the arrival of the vehicle in Malta.

(4) The exemption under sub-rule (2) shall not

be granted where –

(a) the vehicle and, or the applicant do not

satisfy the requirements established under sub-rule

(3); or

(b) the applicant has already availed himself

of an exemption under this rule; or

(c) a vehicle is imported or brought into

Malta by a person who had gone to live outside

Malta primarily for the purpose of pursuing a

course of studies of a duration of less than five

years, or

(d) the applicant provides a false declaration

or false or incorrect information willfully.

(5) An exemption under this rule shall apply

to no more than one vehicle owned by the person

transferring his residence, whether the vehicle is an M1

motor vehicle or a cycle.

(6) The application for the exemption shall

be submitted to the Authority on the appropriate form

and the applicant shall produce sufficient proof, in the

Maltese or English language, showing –

(a) that he has been residing outside Malta

for a continuous period of at least twenty-four

months immediately before his transfer of residence

to Malta and that he is taking up residence in

Malta. Such proof may include –

(i) documents relating to transactions

carried out in the course of day-to-day living,

(ii)

utility bills,

(iii) tax returns,

(iv) social insurance records,

(v) documents relating to employment,

(vi) documents relating to the

acquisition and disposal of property

(vii) documents relating to the

acquisition of property in Malta, if any, and

(viii) any other documentation which

the Board may request;

(b) that he has had the vehicle registered

in his name for at least twenty-four months

immediately before the date of his transfer of

residence to Malta. Such proof may include -

(i) the vehicle registration certificate,

(ii) the vehicle insurance certificate,

(iii) documents which clearly establish

that any relevant taxes in terms of sub-rule

(3)(b) have been paid and have not been

refunded;

(c)

the date of the vehicle’s arrival in Malta; and

(d) any other documentation which the Board

may request.

(7) An application for exemption under this rule

shall be processed and decided by the Board and the

decision of the Board shall be published on the website

of the Ministry responsible for finance. The Board shall

also send a copy of that decision by registered mail to

the applicant at the address specified in the application

and, where provided, also by electronic means.

(8) Where an application is approved by the

Board, the applicant shall apply to the Authority to have

the vehicle registered by the Authority in accordance

with the provisions of the Registration and Licensing of

Motor Vehicles Regulations, 2009 and, apart from the

circulation licence and administrative fees established

under those regulations, he shall also pay an exemption

application processing fee of one hundred euro (€100).

(9) Where an application for an exemption under

this rule is rejected by the Board, the applicant –

(a) may, if the vehicle has already been

brought or imported into Malta, re-export or scrap

the vehicle without paying any registration tax on

it, or

(b) shall, if the vehicle is already in Malta

and he intends to keep it in Malta, apply to the

Authority to have the vehicle registered, and

also licensed if he intends to use the vehicle on

the road, in accordance with the provisions of

the Registration and Licensing of Motor Vehicles

Regulations, 2009 whether or not he intends to

appeal the decision of the Board under sub-rule

(10). If he intends to appeal the said decision, he

shall pay to the Authority an exemption application

processing fee of one hundred euro (€100).

(10) On the registration of the vehicle under

sub-rule (9)(b), the applicant shall pay thereon the

circulation licence fee, unless he intends to garage the

vehicle, and any other administration fees established

under the Registration and Licensing of Motor Vehicles

Regulations, 2009. He shall also be charged thereon

the appropriate registration tax which, if he intends to

appeal, shall be deferred and debited on account of the

applicant until the Tribunal decides the appeal.

(11) An applicant who feels aggrieved by the

decision of the Board may appeal to the Tribunal in

accordance with the provisions of the Administration

Justice Act within twenty-one days from the date that

decision is published as provided for in sub-rule (7).

(12) Where an appeal entered by an applicant is

rejected by the Tribunal and the applicant had already

registered the vehicle in terms of sub-rule (9), the

applicant may apply to the Authority to have the vehicle

deregistered to be re-exported or scrapped, and he shall

forthwith be refunded by the Authority the total amount

of administrative and application processing fees paid

on the registration of the vehicle and no amount of

registration tax shall be paid by applicant.

(13) Where an appeal entered by an applicant

is upheld by the Tribunal and the applicant had already

registered the vehicle in terms of sub-rule (9), the

amount of registration tax charged on the registration of

the vehicle shall not be paid by applicant.

(14) The exemption application processing fee of

one hundred euro (€100) paid under sub-rules (8) and

(9) shall be on account of the Government.

(15) A motor vehicle in respect of which an

exemption has been granted under this rule, shall not be

sold, assigned, transferred, hired out, lent or disposed

of in any manner in Malta, unless it is scrapped in

accordance with the provisions of the Registration

and Licensing of Motor Vehicles Regulations, 2009,

following its importation or its bringing into Malta

unless the vehicle registration tax to which the

exemption aforesaid relates is paid thereon in accordance

with the provisions of the Second Schedule to the Act.”. Amends rule 5 of the

Rule 5 of the principal rules shall be amended as follows

(a) in sub-rule (1) thereof, for the words “to a motor

vehicle” there shall be substituted the words “to a private

vehicle”;

(b) in sub-rule (2) thereof, for the words “Where

a motor vehicle is exempted under article 18(1)(a) and (b)”

there shall be substituted the words “Where a private vehicle

is exempted under article 18(1)(a)”.

Rule 6 of the principal rules shall be amended as follows

(a) for sub-rule (1) thereof, there shall be substituted

the following

“(1) An exemption under article 18(1)(b) of the

Act, for a period not exceeding twelve consecutive

months, shall be given to an M1 motor vehicle or cycle

brought in or imported for private use by a person whose

normal residence is outside Malta and who comes to

Malta under a work contract of a duration of at least

twelve months.”;

(b) in sub-rule (2) thereof, for the words “fifteen days”

there shall be substituted the words “twenty days”;

(c) immediately after sub-rule (2) thereof, there shall

be inserted the following

“(2A.) A vehicle in respect of which an application

is made under the provisions of this rule shall be

registered in the name of the applicant and for the

purposes of the provisions of this rule, the applicant shall

provide evidence of ownership in terms of the provisions

of rule 4(5)(b).”; and

(d) in sub-rule (4) thereof, for the words “by the owner

of the vehicle” there shall be substituted the words “by the

applicant”.

Rule 7 of the principal rules shall be amended as follows

(a) in sub-rule (1) thereof, for the words “article 18(1)

(a)” there shall be substituted the words “article 18(1)(c)”, for

the words “private motor vehicle” there shall be substituted

the words “M1 motor vehicle or cycle”, for the words “for

his own use” there shall be substituted the words “for his

own private use”, and for the proviso thereto there shall be

substituted the following

“Provided the vehicle is registered in the name of the

student

Provided further the student does not engage in full-

time employment during the period of temporary exemption

Provided further that the vehicle shall continue to

satisfy the provisions of rule 5(2) while it is so exempt.”.

Rule 8 of the principal rules shall be amended as follows

(a) in sub-rule (1) thereof, for the words “under article

19(2)(d)(iv), (v), (vi) and (vii)” there shall be substituted the

words “under article 19(3)(c), (d) and (e)”;

(b) for sub-rule (2) thereof, there shall be substituted

the following

“(2) When an exemption is given under this

rule, the vehicle shall be registered and licensed by

the Authority in accordance with the Registration

and Licensing of Motor Vehicles Regulations, 2009,

provided that the original approval issued by the

Ministry responsible for foreign affairs is submitted to Amends rule 9 of the

the Authority.”.

Rule 9 of the principal rules shall be amended as follows

(a) for the marginal note thereto, there shall be

substituted the following

“Reliefs granted under other schemes.”;

(b) for sub-rule (1) thereof, there shall be substituted

the following

“(1) An application for relief under –

(a) the Exemptions/Subsidies Related

to Motor Vehicles for Persons with Disability

Scheme, or

(b) the Exemptions/Subsidies Related to

Motor Vehicles for Philanthropic Organisations/

Charitable Institutions Scheme,

each established by an Order of the Minister

responsible for finance, shall be made, on the

prescribed form, to the National Commissions

Persons with Disability in respect of an application

for relief under paragraph (a), and to the Ministry

responsible for finance in respect of an application

for relief under paragraph (b).”;

(c) in sub-rule (2) thereof for the words “The said

application” there shall be substituted the words “The

application for relief under sub-rule (1)(a)”.

B

€0.90