Value Added Tax Act (Amendment of Fifth Schedule)

L.N. 358 of 2021

VALUE ADDED TAX ACT

(CAP. 406)

Value Added Tax Act (Amendment of Fifth Schedule)

(Amendment No. 2) Regulations, 2021

IN EXERCISE of the powers conferred by article 75 of the Value

Added Tax Act, the Minister for Finance and Employment has made

the following regulations:-

(1) The title of these regulations is the Value Added Tax Citation, scope

Act (Amendment of Fifth Schedule) (Amendment No. 2) Regulations, and

2021 and these regulations shall be read and construed as one with the

Fifth Schedule to the Value Added Tax Act, hereinafter referred to as Cap. 406.

"the Fifth Schedule".

(2) These regulations transpose the provisions of Council

Directive (EU) 2021/1159 of the 13 th July 2021 amending Directive

2006/112/EC as regards temporary exemptions on importations and on

certain supplies, in response to the COVID-19 pandemic.

(3) These regulations shall be deemed to have come into force

on 1 st January 2021.

The Fifth Schedule shall be amended as follows

(a) immediately after item 13 in Part One thereof there

shall be added the following new item

"Supplies to the European Commission or to an

agency or body established under European Union law

The supply of goods or services to the

European Commission or to an agency or a body

established under European Union law where the

European Commission or such an agency or body

purchases those goods or services in the execution of the

tasks conferred on it by European Union law in order to

respond to the COVID-19 pandemic, except where the

goods and services purchased are used, either

immediately or at a later date, for the purposes of onward

supplies for consideration by the European Commission

or such an agency or body

Provided that, when the conditions for the

exemption cease to apply, the European Commission or

the agency or body concerned which received the exempt

supply shall inform the Commissioner and the supply of

those goods or services shall be subject to VAT under the

conditions applicable at that time."; and

(b)

immediately after item 8 in Part Four thereof there

shall be added the following new item

"Importation of goods by the European Commission

or by an agency or a body established under European

Union law

9. The importation of goods by the European

Commission or by an agency or a body established under

European Union law where the European Commission or

such an agency or body imports those goods in the

execution of tasks conferred on it by European Union law

in order to respond to the COVID-19 pandemic, except

where the goods imported are used, either immediately or

at a later date, for the purposes of onward supplies for

consideration by the European Commission or such an

agency or body

Provided that, when the conditions for the

exemption cease to apply, the European Commission or

the agency or body concerned shall inform the

Comptroller of Customs and the importation of those

goods shall be subject to VAT under the conditions

applicable at that time.".

€0.18