Administrative Assistance in Tax Matters Order, 2013

L.N. 180 of 2013

INCOME TAX ACT

(CAP. 123)

Joint Council of Europe/OECD Convention on Mutual

Administrative Assistance in Tax Matters Order, 2013

IN exercise of the powers conferred by article 76 of the Income

Tax Act, the Minister for Finance has made the following order:-

The title of this order is the Joint Council of Europe/OECD Citation.

Convention on Mutual Administrative Assistance in Tax Matters

Order, 2013.

It is hereby declared

Arrangements to

have effect.

(a)

that it is expedient that the arrangements specified in

the Convention set out in the Schedule to this Order (hereinafter

referred to as “the Convention”) made with a view to preventing

tax avoidance and tax evasion should have effect in Malta;

(b) that the Convention has been ratified by Malta on 23

May 2013;

(c)

that the Convention shall enter into force in Malta in

accordance with the relevant provisions of Article 28 of the

Convention;

(d) that the date of entry into force of the Convention in

Malta shall be announced by notice in the Gazette.

Schedule

Article 2

CONVENTION

ON MUTUAL ADMINISTRATIVE ASSISTANCE

IN TAX MATTERS

Text amended by the provisions of the Protocol amending the Convention

on Mutual Administrative Assistance in Tax Matters, which entered into force

on 1st June 2011

Preamble

The member States of the Council of Europe and the member countries of

the Organisation for Economic Co-operation and Development (OECD),

signatories of this Convention,

Considering that the development of international movement of persons,

capital, goods and services - although highly beneficial in itself - has increased the

possibilities of tax avoidance and evasion and therefore requires increasing co-

operation among tax authorities;

Welcoming the various efforts made in recent years to combat tax avoidance

and tax evasion on an international level, whether bilaterally or multilaterally;

Considering that a co-ordinated effort between States is necessary in order to

foster all forms of administrative assistance in matters concerning taxes of any

kind whilst at the same time ensuring adequate protection of the rights of

taxpayers;

Recognising that international co-operation can play an important part in

facilitating the proper determination of tax liabilities and in helping the taxpayer to

secure his rights;

Considering that fundamental principles entitling every person to have his

rights and obligations determined in accordance with a proper legal procedure

should be recognised as applying to tax matters in all States and that States should

endeavour to protect the legitimate interests of taxpayers, including appropriate

protection against discrimination and double taxation;

Convinced therefore that States should carry out measures or supply

information, having regard to the necessity of protecting the confidentiality of

information, and taking account of international instruments for the protection of

privacy and flows of personal data;

Considering that a new co-operative environment has emerged and that it is

desirable that a multilateral instrument is made available to allow the widest

number of States to obtain the benefits of the new co-operative environment and at

the same time implement the highest international standards of co-operation in the

tax field;

Desiring to conclude a convention on mutual administrative assistance in tax

matters,

Have agreed as follows

Chapter I - Scope of the Convention

Article 1 - Object of the Convention and persons covered

1. The Parties shall, subject to the provisions of Chapter IV, provide

administrative assistance to each other in tax matters. Such assistance may involve,

where appropriate, measures taken by judicial bodies.

2. Such administrative assistance shall comprise

a

exchange of information, including simultaneous

tax

examinations and participation in tax examinations abroad;

b

assistance in recovery, including measures of conservancy; and

c

service of documents.

A Party shall provide administrative assistance whether the person

affected is a resident or national of a Party or of any other State.

Article 2 - Taxes covered

1. This Convention shall apply

a

to the following taxes

i

taxes on income or profits,

ii

taxes on capital gains which are imposed separately from

the tax on income or profits,

iii

taxes on net wealth, imposed on behalf of a Party; and

b

to the following taxes

i

taxes on income, profits, capital gains or net wealth which

are imposed on behalf of political subdivisions or local authorities of a

Party,

ii

compulsory social security contributions payable to

general government or to social security institutions established under

public law, and

iii taxes in other categories, except customs duties, imposed

on behalf of a Party, namely

A.

estate, inheritance or gift taxes,

B.

taxes on immovable property,

C. general consumption taxes, such as value added or

sales taxes,

D.

specific taxes on goods and services such as excise

taxes,

E.

taxes on the use or ownership of motor vehicles,

F.

taxes on the use or ownership of movable property

other than motor vehicles,

G.

any other taxes;

iv taxes in categories referred to in sub-paragraph iii. above

which are imposed on behalf of political subdivisions or local

authorities of a Party.

2. The existing taxes to which the Convention shall apply are listed in

Annex A in the categories referred to in paragraph 1.

3. The Parties shall notify the Secretary General of the Council of Europe

or the Secretary General of OECD (hereinafter referred to as the “Depositaries”) of

any change to be made to Annex A as a result of a modification of the list

mentioned in paragraph 2. Such change shall take effect on the first day of the

month following the expiration of a period of three months after the date of receipt

of such notification by the Depositary.

The Convention shall also apply, as from their adoption, to any identical

or substantially similar taxes which are imposed in a Contracting State after the

entry into force of the Convention in respect of that Party in addition to or in place

of the existing taxes listed in Annex A and, in that event, the Party concerned shall

notify one of the Depositaries of the adoption of the tax in question.

Chapter II - General definitions

Article 3 - Definitions

1. For the purposes of this Convention, unless the context otherwise

requires

a

the terms “applicant State” and “requested State” mean

respectively any Party applying for administrative assistance in tax matters

and any Party requested to provide such assistance;

b

the term “tax” means any tax or social security contribution to

which the Convention applies pursuant to Article 2;

c

the term “tax claim” means any amount of tax, as well as interest

thereon, related administrative fines and costs incidental to recovery, which

are owed and not yet paid;

d

the term “competent authority” means the persons and authorities

listed in Annex B;

e

the term “nationals” in relation to a Party means

i

all individuals possessing the nationality of that Party, and

ii

all legal persons, partnerships, associations and other

entities deriving their status as such from the laws in force in that Party.

For each Party that has made a declaration for that purpose, the terms used

above will be understood as defined in Annex C.

2. As regards the application of the Convention by a Party, any term not

defined therein shall, unless the context otherwise requires, have the meaning

which it has under the law of that Party concerning the taxes covered by the

Convention.

3. The Parties shall notify one of the Depositaries of any change to be

made to Annexes B and C. Such change shall take effect on the first day of the

month following the expiration of a period of three months after the date of receipt

of such notification by the Depositary in question.

Chapter III - Forms of assistance

Section I - Exchange of information

Article 4 - General provision

1. The Parties shall exchange any information, in particular as provided in

this section, that is foreseeably relevant for the administration or enforcement of

their domestic laws concerning the taxes covered by this Convention.

2. Deleted.

3. Any Party may, by a declaration addressed to one of the Depositaries,

indicate that, according to its internal legislation, its authorities may inform its

resident or national before transmitting information concerning him, in conformity

with Articles 5 and 7.

Article 5 - Exchange of information on request

1. At the request of the applicant State, the requested State shall provide

the applicant State with any information referred to in Article 4 which concerns

particular persons or transactions.

2. If the information available in the tax files of the requested State is not

sufficient to enable it to comply with the request for information, that State shall

take all relevant measures to provide the applicant State with the information

requested.

Article 6 - Automatic exchange of information

With respect to categories of cases and in accordance with procedures which

they shall determine by mutual agreement, two or more Parties shall automatically

exchange the information referred to in Article 4.

Article 7 - Spontaneous exchange of information

1. A Party shall, without prior request, forward to another Party

information of which it has knowledge in the following circumstances

a

the first-mentioned Party has grounds for supposing that there

may be a loss of tax in the other Party;

b

a person liable to tax obtains a reduction in or an exemption from

tax in the first-mentioned Party which would give rise to an increase in tax or

to liability to tax in the other Party;

c

business dealings between a person liable to tax in a Party and a

person liable to tax in another Party are conducted through one or more

countries in such a way that a saving in tax may result in one or the other

Party or in both;

d

a Party has grounds for supposing that a saving of tax may result

from artificial transfers of profits within groups of enterprises;

e

information forwarded to the first-mentioned Party by the other

Party has enabled information to be obtained which may be relevant in

assessing liability to tax in the latter Party.

2. Each Party shall take such measures and implement such procedures as

are necessary to ensure that information described in paragraph 1 will be made

available for transmission to another Party.

Article 8 - Simultaneous tax examinations

1. At the request of one of them, two or more Parties shall consult together

for the purposes of determining cases and procedures for simultaneous tax

examinations. Each Party involved shall decide whether or not it wishes to

participate in a particular simultaneous tax examination.

2. For the purposes of this Convention, a simultaneous tax examination

means an arrangement between two or more Parties to examine simultaneously,

each in its own territory, the tax affairs of a person or persons in which they have a

common or related interest, with a view to exchanging any relevant information

which they so obtain.

Article 9 - Tax examinations abroad

1. At the request of the competent authority of the applicant State, the

competent authority of the requested State may allow representatives of the

competent authority of the applicant State to be present at the appropriate part of a

tax examination in the requested State.

2. If the request is acceded to, the competent authority of the requested

State shall, as soon as possible, notify the competent authority of the applicant

State about the time and place of the examination, the authority or official

designated to carry out the examination and the procedures and conditions required

by the requested State for the conduct of the examination. All decisions with

respect to the conduct of the tax examination shall be made by the requested State.

3. A Party may inform one of the Depositaries of its intention not to

accept, as a general rule, such requests as are referred to in paragraph 1. Such a

declaration may be made or withdrawn at any time.

Article 10 - Conflicting information

If a Party receives from another Party information about a person's tax affairs

which appears to it to conflict with information in its possession, it shall so advise

the Party which has provided the information.

Section II - Assistance in recovery

Article 11 - Recovery of tax claims

1. At the request of the applicant State, the requested State shall, subject to

the provisions of Articles 14 and 15, take the necessary steps to recover tax claims

of the first-mentioned State as if they were its own tax claims.

2. The provision of paragraph 1 shall apply only to tax claims which form

the subject of an instrument permitting their enforcement in the applicant State

and, unless otherwise agreed between the Parties concerned, which are not

contested.

However, where the claim is against a person who is not a resident of the

applicant State, paragraph 1 shall only apply, unless otherwise agreed between the

Parties concerned, where the claim may no longer be contested.

3. The obligation to provide assistance in the recovery of tax claims

concerning a deceased person or his estate, is limited to the value of the estate or of

the property acquired by each beneficiary of the estate, according to whether the

claim is to be recovered from the estate or from the beneficiaries thereof.

Article 12 - Measures of conservancy

At the request of the applicant State, the requested State shall, with a view to

the recovery of an amount of tax, take measures of conservancy even if the claim is

contested or is not yet the subject of an instrument permitting enforcement.

Article 13 - Documents accompanying the request

1. The request for administrative assistance under this section shall be

accompanied by

a

a declaration that the tax claim concerns a tax covered by the

Convention and, in the case of recovery that, subject to paragraph 2 of

Article 11, the tax claim is not or may not be contested,

b

an official copy of the instrument permitting enforcement in the

applicant State, and

c

any other document required for recovery or measures of

conservancy.

2. The instrument permitting enforcement in the applicant State shall,

where appropriate and in accordance with the provisions in force in the requested

State, be accepted, recognised, supplemented or replaced as soon as possible after

the date of the receipt of the request for assistance, by an instrument permitting

enforcement in the latter State.

Article 14 - Time limits

1. Questions concerning any period beyond which a tax claim cannot be

enforced shall be governed by the law of the applicant State. The request for

assistance shall give particulars concerning that period.

2. Acts of recovery carried out by the requested State in pursuance of a

request for assistance, which, according to the laws of that State, would have the

effect of suspending or interrupting the period mentioned in paragraph 1, shall also

have this effect under the laws of the applicant State. The requested State shall

inform the applicant State about such acts.

3. In any case, the requested State is not obliged to comply with a request

for assistance which is submitted after a period of 15 years from the date of the

original instrument permitting enforcement.

Article 15 - Priority

The tax claim in the recovery of which assistance is provided shall not have

in the requested State any priority specially accorded to the tax claims of that State

even if the recovery procedure used is the one applicable to its own tax claims.

Article 16 - Deferral of payment

The requested State may allow deferral of payment or payment by

instalments if its laws or administrative practice permit it to do so in similar

circumstances, but shall first inform the applicant State.

Section III - Service of documents

Article 17 - Service of documents

1. At the request of the applicant State, the requested State shall serve

upon the addressee documents, including those relating to judicial decisions,

which emanate from the applicant State and which relate to a tax covered by this

Convention.

2. The requested State shall effect service of documents

a

by a method prescribed by its domestic laws for the service of

documents of a substantially similar nature;

b

to the extent possible, by a particular method requested by the

applicant State or the closest to such method available under its own laws.

3. A Party may effect service of documents directly through the post on a

person within the territory of another Party.

4. Nothing in the Convention shall be construed as invalidating any

service of documents by a Party in accordance with its laws.

When a document is served in accordance with this article, it need not

be accompanied by a translation. However, where it is satisfied that the addressee

cannot understand the language of the document, the requested State shall arrange

to have it translated into or a summary drafted in its or one of its official

languages. Alternatively, it may ask the applicant State to have the document either

translated into or accompanied by a summary in one of the official languages of

the requested State, the Council of Europe or the OECD.

Chapter IV - Provisions relating to all forms of assistance

Article 18 - Information to be provided by the applicant State

1. A request for assistance shall indicate where appropriate

a

the authority or agency which initiated the request made by the

competent authority;

b

the name, address, or any other particulars assisting in the

identification of the person in respect of whom the request is made;

c

in the case of a request for information, the form in which the

applicant State wishes the information to be supplied in order to meet its

needs;

d

in the case of a request for assistance in recovery or measures of

conservancy, the nature of the tax claim, the components of the tax claim and

the assets from which the tax claim may be recovered;

e

in the case of a request for service of documents, the nature and

the subject of the document to be served;

f

whether it is in conformity with the law and administrative

practice of the applicant State and whether it is justified in the light of the

requirements of Article 21.2.g.

2. As soon as any other information relevant to the request for assistance

comes to its knowledge, the applicant State shall forward it to the requested State.

Article 19 - Deleted

Article 20 - Response to the request for assistance

1. If the request for assistance is complied with, the requested State shall

inform the applicant State of the action taken and of the result of the assistance as

soon as possible.

2. If the request is declined, the requested State shall inform the applicant

State of that decision and the reason for it as soon as possible.

3. If, with respect to a request for information, the applicant State has

specified the form in which it wishes the information to be supplied and the

requested State is in a position to do so, the requested State shall supply it in the

form requested.

Article 21 - Protection of persons and limits to the obligation to provide

assistance

1. Nothing in this Convention shall affect the rights and safeguards

secured to persons by the laws or administrative practice of the requested State.

2. Except in the case of Article 14, the provisions of this Convention shall

not be construed so as to impose on the requested State the obligation

a

to carry out measures at variance with its own laws or

administrative practice or the laws or administrative practice of the applicant

State;

b

to carry out measures which would be contrary to public policy

(ordre public);

c

to supply information which is not obtainable under its own laws

or its administrative practice or under the laws of the applicant State or its

administrative practice;

d

to supply information which would disclose any trade, business,

industrial, commercial or professional secret, or trade process, or information

the disclosure of which would be contrary to public policy (ordre public);

e

to provide administrative assistance if and insofar as it considers

the taxation in the applicant State to be contrary to generally accepted

taxation principles or to the provisions of a convention for the avoidance of

double taxation, or of any other convention which the requested State has

concluded with the applicant State;

f

to provide administrative assistance for the purpose of

administering or enforcing a provision of the tax law of the applicant State,

or any requirement connected therewith, which discriminates against a

national of the requested State as compared with a national of the applicant

State in the same circumstances;

g

to provide administrative assistance if the applicant State has not

pursued all reasonable measures available under its laws or administrative

practice, except where recourse to such measures would give rise to

disproportionate difficulty;

h

to provide assistance in recovery in those cases where the

administrative burden for that State is clearly disproportionate to the benefit

to be derived by the applicant State.

3. If information is requested by the applicant State in accordance with this

Convention, the requested State shall use its information gathering measures to

obtain the requested information, even though the requested State may not need

such information for its own tax purposes. The obligation contained in the

preceding sentence is subject to the limitations contained in this Convention, but in

no case shall such limitations, including in particular those of paragraphs 1 and 2,

be construed to permit a requested State to decline to supply information solely

because it has no domestic interest in such information.

4. In no case shall the provisions of this Convention, including in

particular those of paragraphs 1 and 2, be construed to permit a requested State to

decline to supply information solely because the information is held by a bank,

other financial institution, nominee or person acting in an agency or a fiduciary

capacity or because it relates to ownership interests in a person.

Article 22 - Secrecy

1. Any information obtained by a Party under this Convention shall be

treated as secret and protected in the same manner as information obtained under

the domestic law of that Party and, to the extent needed to ensure the necessary

level of protection of personal data, in accordance with the safeguards which may

be specified by the supplying Party as required under its domestic law.

2. Such information shall in any case be disclosed only to persons or

authorities (including courts and administrative or supervisory bodies) concerned

with the assessment, collection or recovery of, the enforcement or prosecution in

respect of, or the determination of appeals in relation to, taxes of that Party, or the

oversight of the above. Only the persons or authorities mentioned above may use

the information and then only for such purposes. They may, notwithstanding the

provisions of paragraph 1, disclose it in public court proceedings or in judicial

decisions relating to such taxes.

3. If a Party has made a reservation provided for in sub-paragraph a. of

paragraph 1 of Article 30, any other Party obtaining information from that Party

shall not use it for the purpose of a tax in a category subject to the reservation.

Similarly, the Party making such a reservation shall not use information obtained

under this Convention for the purpose of a tax in a category subject to the

reservation.

4. Notwithstanding the provisions of paragraphs 1, 2 and 3, information

received by a Party may be used for other purposes when such information may be

used for such other purposes under the laws of the supplying Party and the

competent authority of that Party authorises such use. Information provided by a

Party to another Party may be transmitted by the latter to a third Party, subject to

prior authorisation by the competent authority of the first-mentioned Party.

Article 23 - Proceedings

1. Proceedings relating to measures taken under this Convention by the

requested State shall be brought only before the appropriate body of that State.

2. Proceedings relating to measures taken under this Convention by the

applicant State, in particular those which, in the field of recovery, concern the

existence or the amount of the tax claim or the instrument permitting its

enforcement, shall be brought only before the appropriate body of that State. If

such proceedings are brought, the applicant State shall inform the requested State

which shall suspend the procedure pending the decision of the body in question.

However, the requested State shall, if asked by the applicant State, take measures

of conservancy to safeguard recovery. The requested State can also be informed of

such proceedings by any interested person. Upon receipt of such information the

requested State shall consult on the matter, if necessary, with the applicant State.

3. As soon as a final decision in the proceedings has been given, the

requested State or the applicant State, as the case may be, shall notify the other

State of the decision and the implications which it has for the request for

assistance.

Chapter V - Special provisions

Article 24 - Implementation of the Convention

1. The Parties shall communicate with each other for the implementation

of this Convention through their respective competent authorities. The competent

authorities may communicate directly for this purpose and may authorise

subordinate authorities to act on their behalf. The competent authorities of two or

more Parties may mutually agree on the mode of application of the Convention

among themselves.

2. Where the requested State considers that the application of this

Convention in a particular case would have serious and undesirable consequences,

the competent authorities of the requested and of the applicant State shall consult

each other and endeavour to resolve the situation by mutual agreement.

3. A co-ordinating body composed of representatives of the competent

authorities of the Parties shall monitor the implementation and development of this

Convention, under the aegis of the OECD. To that end, the co-ordinating body

shall recommend any action likely to further the general aims of the Convention.

In particular it shall act as a forum for the study of new methods and procedures to

increase international co-operation in tax matters and, where appropriate, it may

recommend revisions or amendments to the Convention. States which have signed

but not yet ratified, accepted or approved the Convention are entitled to be

represented at the meetings of the co-ordinating body as observers.

4. A Party may ask the co-ordinating body to furnish opinions on the

interpretation of the provisions of the Convention.

5. Where difficulties or doubts arise between two or more Parties

regarding the implementation or interpretation of the Convention, the competent

authorities of those Parties shall endeavour to resolve the matter by mutual

agreement. The agreement shall be communicated to the co-ordinating body.

The Secretary General of OECD shall inform the Parties, and the

Signatory States which have not yet ratified, accepted or approved the Convention,

of opinions furnished by the co-ordinating body according to the provisions of

paragraph 4 above and of mutual agreements reached under paragraph 5 above.

Article 25 - Language

Requests for assistance and answers thereto shall be drawn up in one of the

official languages of the OECD and of the Council of Europe or in any other

language agreed bilaterally between the Contracting States concerned.

Article 26 - Costs

Unless otherwise agreed bilaterally by the Parties concerned

a

ordinary costs incurred in providing assistance shall be borne by

the requested State;

b

extraordinary costs incurred in providing assistance shall be

borne by the applicant State.

Chapter VI - Final provisions

Article 27 - Other international agreements or arrangements

1. The possibilities of assistance provided by this Convention do not limit,

nor are they limited by, those contained in existing or future international

agreements or other arrangements between the Parties concerned or other

instruments which relate to co-operation in tax matters.

2. Notwithstanding paragraph 1, those Parties which are member States of

the European Union can apply, in their mutual relations, the possibilities of

assistance provided for by the Convention in so far as they allow a wider co-

operation than the possibilities offered by the applicable European Union rules.

Article 28 - Signature and entry into force of the Convention

1. This Convention shall be open for signature by the member States of the

Council of Europe and the member countries of OECD. It is subject to ratification,

acceptance or approval. Instruments of ratification, acceptance or approval shall be

deposited with one of the Depositaries.

2. This Convention shall enter into force on the first day of the month

following the expiration of a period of three months after the date on which five

States have expressed their consent to be bound by the Convention in accordance

with the provisions of paragraph 1.

3. In respect of any member State of the Council of Europe or any member

country of OECD which subsequently expresses its consent to be bound by it, the

Convention shall enter into force on the first day of the month following the

expiration of a period of three months after the date of the deposit of the

instrument of ratification, acceptance or approval.

4. Any member State of the Council of Europe or any member country of

OECD which becomes a Party to the Convention after the entry into force of the

Protocol amending this Convention, opened for signature on 27 May 2010 (the

“2010 Protocol”), shall be a Party to the Convention as amended by that Protocol,

unless they express a different intention in a written communication to one of the

Depositaries.

5. After the entry into force of the 2010 Protocol, any State which is not a

member of the Council of Europe or of the OECD may request to be invited to sign

and ratify this Convention as amended by the 2010 Protocol. Any request to this

effect shall be addressed to one of the Depositaries, who shall transmit it to the

Parties. The Depositary shall also inform the Committee of Ministers of the

Council of Europe and the OECD Council. The decision to invite States which so

request to become Party to this Convention shall be taken by consensus by the

Parties to the Convention through the co-ordinating body. In respect of any State

ratifying the Convention as amended by the 2010 Protocol in accordance with this

paragraph, this Convention shall enter into force on the first day of the month

following the expiration of a period of three months after the date of deposit of the

instrument of ratification with one of the Depositaries.

6. The provisions of this Convention, as amended by the 2010 Protocol,

shall have effect for administrative assistance related to taxable periods beginning

on or after 1 January of the year following the one in which the Convention, as

amended by the 2010 Protocol, entered into force in respect of a Party, or where

there is no taxable period, for administrative assistance related to charges to tax

arising on or after 1 January of the year following the one in which the

Convention, as amended by the 2010 Protocol, entered into force in respect of a

Party. Any two or more Parties may mutually agree that the Convention, as

amended by the 2010 Protocol, shall have effect for administrative assistance

related to earlier taxable periods or charges to tax.

Notwithstanding paragraph 6, for tax matters involving intentional

conduct which is liable to prosecution under the criminal laws of the applicant

Party, the provisions of this Convention, as amended by the 2010 Protocol, shall

have effect from the date of entry into force in respect of a Party in relation to

earlier taxable periods or charges to tax.

Article 29 - Territorial application of the Convention

1. Each State may, at the time of signature, or when depositing its

instrument of ratification, acceptance or approval, specify the territory or

territories to which this Convention shall apply.

2. Any State may, at any later date, by a declaration addressed to one of the

Depositaries, extend the application of this Convention to any other territory

specified in the declaration. In respect of such territory the Convention shall enter

into force on the first day of the month following the expiration of a period of three

months after the date of receipt of such declaration by the Depositary.

3. Any declaration made under either of the two preceding paragraphs

may, in respect of any territory specified in such declaration, be withdrawn by a

notification addressed to one of the Depositaries. The withdrawal shall become

effective on the first day of the month following the expiration of a period of three

months after the date of receipt of such notification by the Depositary.

Article 30 - Reservations

1. Any State may, at the time of signature or when depositing its

instrument of ratification, acceptance or approval or at any later date, declare that

it reserves the right

a

not to provide any form of assistance in relation to the taxes of

other Parties in any of the categories listed in sub-paragraph b. of paragraph 1

of Article 2, provided that it has not included any domestic tax in that

category under Annex A of the Convention;

b

not to provide assistance in the recovery of any tax claim, or in

the recovery of an administrative fine, for all taxes or only for taxes in one or

more of the categories listed in paragraph 1 of Article 2;

c

not to provide assistance in respect of any tax claim, which is in

existence at the date of entry into force of the Convention in respect of that

State or, where a reservation has previously been made under sub-paragraph

a. or b. above, at the date of withdrawal of such a reservation in relation to

taxes in the category in question;

d

not to provide assistance in the service of documents for all taxes

or only for taxes in one or more of the categories listed in paragraph 1 of

Article 2;

e

not to permit the service of documents through the post as

provided for in paragraph 3 of Article 17;

f

to apply paragraph 7 of Article 28 exclusively for administrative

assistance related to taxable periods beginning on or after 1 January of the

third year preceding the one in which the Convention, as amended by the

2010 Protocol, entered into force in respect of a Party, or where there is no

taxable period, for administrative assistance related to charges to tax arising

on or after 1 January of the third year preceding the one in which the

Convention, as amended by the 2010 Protocol, entered into force in respect

of a Party.

2. No other reservation may be made.

3. After the entry into force of the Convention in respect of a Party, that

Party may make one or more of the reservations listed in paragraph 1 which it did

not make at the time of ratification, acceptance or approval. Such reservations

shall enter into force on the first day of the month following the expiration of a

period of three months after the date of receipt of the reservation by one of the

Depositaries.

4. Any Party which has made a reservation under paragraphs 1 and 3 may

wholly or partly withdraw it by means of a notification addressed to one of the

Depositaries. The withdrawal shall take effect on the date of receipt of such

notification by the Depositary in question.

5. A Party which has made a reservation in respect of a provision of this

Convention may not require the application of that provision by any other Party; it

may, however, if its reservation is partial, require the application of that provision

insofar as it has itself accepted it.

Article 31 - Denunciation

1. Any Party may, at any time, denounce this Convention by means of a

notification addressed to one of the Depositaries.

2. Such denunciation shall become effective on the first day of the month

following the expiration of a period of three months after the date of receipt of the

notification by the Depositary.

3. Any Party which denounces the Convention shall remain bound by the

provisions of Article 22 for as long as it retains in its possession any documents or

information obtained under the Convention.

Article 32 - Depositaries and their functions

1. The Depositary with whom an act, notification or communication has

been accomplished, shall notify the member States of the Council of Europe and

the member countries of OECD and any Party to this Convention of

a

any signature;

b

the deposit of any instrument of ratification, acceptance or

approval;

c

any date of entry into force of this Convention in accordance with

the provisions of Articles 28 and 29;

d

any declaration made in pursuance of the provisions of paragraph

3 of Article 4 or paragraph 3 of Article 9 and the withdrawal of any such

declaration;

e

any reservation made in pursuance of the provisions of Article 30

and the withdrawal of any reservation effected in pursuance of the provisions

of paragraph 4 of Article 30;

f

any notification received in pursuance of the provisions of

paragraph 3 or 4 of Article 2, paragraph 3 of Article 3, Article 29 or

paragraph 1 of Article 31;

g

any other act, notification or communication relating to this

Convention.

2. The Depositary receiving a communication or making a notification in

pursuance of the provisions of paragraph 1 shall inform immediately the other

Depositary thereof.

In witness whereof the undersigned, being duly authorised thereto, have

signed the Convention.

Established by the Depositaries the 1 day of June 2011 pursuant to Article

X.4 of the Protocol amending the Convention on Mutual Administrative

Assistance in Tax Matters, in English and French, both texts being equally

authentic, in two copies of which one shall be deposited in the archives of each

Depositary. The Depositaries shall transmit a certified copy to each Party to the

Convention as amended by the Protocol and to each State entitled to become a

party.

For the Government of Malta

Aldo Farrugia

26-10-2012

Ministry of Foreign Affairs

Malta

INSTRUMENT OF RATIFICATION

THE REPUBLIC OF MALTA, a Member State of the Council of Europe;

ACKNOWLEDGING the importance of the Convention on Mutual

Administrative Assistance in Tax Matters, as amended by the Protocol amending

the Convention on Mutual Administrative Assistance in Tax Matters;

AND WHEREAS the Government of Malta has now signed the Convention

aforesaid on the 26 October 2012;

THE GOVERNMENT OF THE REPUBLIC OF MALTA does hereby

confirm and ratify the same and undertake faithfully to perform and carry out all

the stipulations therein contained, subject to the declarations and reservations

contained in the enclosed document;

IN WITNESS WHEREOF this Instrument of Ratificationis signed and sealed

for the Republic of Malta by the Minister of Foreign Affairs.

Done at Valletta, this 23rd day of May, Two Thousand and Thirteen.

George W. Vella

Annex A

Joint Council of Europe/OECD Convention on Mutual Administrative

Assistance in Tax Matters

Declarations/Reservations to be made by Malta at the time of signature

Declarations

•

In relation to paragraph 2 of Article 2 of the Convention (and for the

purposes of Annex A to the Convention), Malta declares that in its case the

Convention applies to the following taxes as listed in paragraphs 1.a abd 1.b of the

said Article 2 -

1. Article 2, paragraph 1.a

i.

Tax imposed under the Income Tax Act

ii.

Not Applicable

iii.

Not Applicable

2. Article 2, paragraph 1.b

i.

Not Applicable

ii.

Not Applicable

iii.

A. Not Applicable

B. Not Applicable

C. Tax imposed under the Value Added Tax Act;

D. Not Applicable

E. Not Applicable

F.

Not Applicable

G. Not Applicable

iv.

Not Applicable

•

In relation to paragraph 1.d of Article 3 of the Convention (and for the

purposes of Annex B to the Convention), Malta declares that the Competent

Authority will be the Minister responsible for finance or his authorised

representative.

Reservations

Malta confirms that its approval of the Convention is subject to the following

reservations

1. In relation to Article 30, paragraph 1.a -

Malta reserves the right not to provide any form of assistance in relation to

taxes of other Parties included in one of the following categories listed in sub-

paragraphs b.ii, b.iii and b.iv of paragraph 1 of Article 2 of the Convention

Sub-Paragraph ii.

compulsory social security contributions payable to

general government or to social security institutions established under public law;

Sub-Paragraph iii.

A.

estate, inheritance or gift taxes;

B.

taxes on immovable property;

D. specific taxes on goods and services such as

excise taxes;

E.

taxes on the use or ownership of motor vehicles;

F. taxes on the use or ownership of movable property

other than motor vehicles;

G.

any other taxes;

Sub-Paragraph iv.

taxes in categories A, B, D, E, F and G listed in sub-

paragraph iii above which are imposed on behalf of political subdivisions or local

authorities of a Party.

2. In relation to Article 30, paragraph 1.b -

Malta reserves the right not to provide assistance in the recovery of any tax

claim, or in the recovery of an administrative fine for all the taxes listed in

paragraph 1 of Article 2 of the Convention except for the categories listed in sub-

paragraphs a.1 and u 1.ii of that paragraph 1.

3. In relation to Article 30, paragraph 1.ċ -

Malta reserves the right not to provide assistance in respect of any tax

claim, which is in existence at the date of entry into force of the Convention in

respect of Malta and, due to the reservations in relation to paragraphs 1.a and 1.b

of Article 30 of the Convention, to any existing tax claim at the date of withdrawal

of such a reservation by Malta.

4. In relation to Article 30, paragraph 1.d -

Malta reserves the right not to provide assistance in the service of

documents for taxes listed in paragraph 1 of Article 2 of the Convention except for

the categories listed in sub-paragraphs a.i and a.ii of that paragraph 1.

€1.98