GENERAL ARRANGEMENTS FOR EXCISE DUTY (COUNCIL DIRECTIVE (EU) 2020/262) REGULATIONS

(COUNCIL DIRECTIVE (EU) 2020/262)

SUBSIDIARY LEGISLATION 382.04

GENERAL ARRANGEMENTS FOR EXCISE DUTY

(COUNCIL DIRECTIVE (EU) 2020/262) REGULATIONS

3rd March, 2023

LEGAL NOTICE 128 of 2022, as amended by Legal Notices 51 and

273 of 2023.

(1)

The title of these regulations is the General

Arrangements for Excise Duty (Council Directive (EU) 2020/262)

Regulations.

(2)

The scope of these regulations is to transpose Articles 2,

3, 6, 12, 16, 17, Articles 19 to 22, Articles 25 to 29, Articles 33 to 46,

and Articles 54 and 55 and Article 57 of the Council Directive (EU)

2020/262 of 19 December 2019 laying down the general arrangements

for excise duty (recast).

(1)

These regulations shall apply to the following

goods

(a)

energy and electricity products covered by

Directive 2003/96/EC;

(b)

alcohol and alcoholic beverages covered by

Directives 92/83/EEC and 92/84/EEC;

(c)

manufactured tobacco covered by Directive 2011/

64/EU; and

(d)

any other good which the Minister may by

regulations prescribe under article 13 of the Act.

(2)

In case any conflict arises between any provision of these

regulations and the Excise Duty Act, these regulations shall prevail.

(3)

Articles 14 to 46 of Council Directive (EU) 2020/262 of

19 December 2019 laying down the general arrangements for excise

duty (recast) shall not apply to excise goods that have the customs

status of non‐Union goods as defined in point (24) of Article 5 of

Regulation (EU) No 952/2013 of the European Parliament and of the

Council of 9 October 2013 laying down the Union Customs Code

(recast).

In these regulations, unless the context otherwise

requires

"Act" means the Excise Duty Act and terms and expressions

used in these regulations shall, unless the context otherwise requires,

have the meaning assigned to them in the Act;

(COUNCIL DIRECTIVE (EU) 2020/262)

"authorised tax warehouse keeper" means a natural or legal

person authorised by the Commissioner to produce, process, hold,

store, receive or dispatch excise goods under a duty suspension

arrangement in an authorised tax warehouse in the course of his

business;

"certified consignee" means a natural or legal person authorised

by the Commissioner, in order to receive excise goods, in the course of

the business of that person, which have been released for consumption

in the territory of one Member State and then moved to the territory of

another Member State;

"certified consignor" means a natural or legal person authorised

by the Commissioner, in order to dispatch excise goods in the course of

the business of that person, which have been released for consumption

in the territory of one Member State and then moved to the territory of

another Member State;

"computerised system" means the computerised system referred

to in Article 1 of Decision (EU) 2020/263 on computerising the

movement and surveillance of excise goods (recast);

"duty suspension arrangement" means a tax arrangement applied

to the production, processing, holding, storage, or movement of excise

goods whereby excise duty is suspended;

"importation" means the release of goods for free circulation in

accordance with Article 201 of Regulation (EU) No 952/2013;

"irregular entry" means an entry of goods within the territory of

the Union, which have not been placed under release for free

circulation in accordance with Article 201 of Regulation (EU) No 952/

2013 and for which a customs debt under Article 79(1) of that

Regulation has been incurred, or would have been incurred if the goods

had been subject to customs duty;

"Member State of destination" means the Member State to which

excise goods are to be delivered or used in accordance with the

provisions of Maltese and European Union law;

"registered consignee" means a natural or legal person

authorised by the Commissioner, to receive in the course of the

business of that person and under the conditions established by the

Commissioner, excise goods moving under a duty suspension

arrangement which originate from the territory of another Member

State;

"registered consignor" means a natural or legal person authorised

by the Commissioner, to only dispatch excise goods under a duty

suspension arrangement upon their release for free circulation in

(COUNCIL DIRECTIVE (EU) 2020/262)

accordance with Article 201 of Regulation (EU) No 952/2013;

"reimbursement" means the refunding of an amount of excise

duty that has been paid;

"release for consumption" means any of the following

(a)

any departure of excise goods, including irregular

departure, from a suspension arrangement;

(b)

any holding or storage of excise goods, including

cases of irregularity, outside a duty suspension arrangement

where excise duty has not been levied pursuant to the

applicable provisions of Maltese and European Union law;

(c)

the production, including processing of excise

goods, and irregular production or processing, outside a duty

suspension arrangement;

(d)

any importation into Malta of excise goods, unless

the excise goods are placed, immediately upon importation,

under a duty suspension arrangement, or the irregular entry of

excise goods, unless the customs debt was extinguished under

paragraphs (e), (f), (g) or (k) of Article 124(1) of Regulation

(EU) No 952/2013;

"remission" means the waiving of the obligation to pay an

amount of excise duty that has not been paid;

"tax warehouse" means a place where excise goods are

produced, processed, held, stored, received or dispatched under a duty

suspension arrangement by an authorised warehouse keeper in the

course of his business, subject to certain conditions laid down by the

Commissioner;

"territory of a Member State" means the territory of a Member

State to which the Treaties are applicable, in accordance with Articles

349 and 355 of the TFEU, with the exception of third territories;

"third countries" means any State or territory to which the

Treaties are not applicable;

"third territories" means the Canary Islands, the French

territories referred to in Articles 349 and 355(1) of the TFEU, the

Åland Islands, the Channel Islands, the Island of Heligoland and the

territories of Büsingen, Ceuta, Melilla and Livigno;

"Union" or "territory of the Union" mean the territories of the

Member States.

(1)

Excise goods shall be subject to excise duty at the

time of their production, or where applicable of their extraction, or of

(COUNCIL DIRECTIVE (EU) 2020/262)

their arrival, including irregular entry into Malta

Provided that where excise goods are placed under a

customs procedure on arrival into Malta, entry shall be deemed to take

place when they leave the customs procedure.

(2)

Excise duty shall become chargeable at the time of release

for consumption or when shortages are recorded.

(3)

The chargeable conditions and rate of excise duty to be

adopted, shall be those in force on the date on which release for

consumption takes place or shortages are recorded.

(4)

The time of departure from a duty suspension

arrangement as referred to in paragraph (a) of the definition "release for

consumption", found in regulation 3 shall be deemed to be

(a)

the time of receipt of the excise goods by the

registered consignee in the situations referred to in sub-

paragraph (a)(ii) of regulation 5(1);

(b)

the time of receipt of the excise goods by the

consignee in the situations referred to in sub-paragraph (a)(iv) of

regulation 5(1);

(c)

the time of receipt of the excise goods at the place

of direct delivery in the situations referred to in regulation 5(2).

(5)

The total destruction or irretrievable loss, total or partial,

of excise goods under a duty suspension arrangement, as a result of

unforeseeable circumstances or force majeure, or as a consequence of

an authorisation to destroy the goods by the Commissioner, shall not be

considered a release for consumption

Provided that losses occurring under a duty suspension

arrangement that is attributable to theft shall not be regarded as an

unforeseeable circumstance or as a force majeure.

(6)

Goods shall be considered totally destroyed or

irretrievably lost when they are rendered unusable as excise goods.

(7)

Partial loss due to the nature of the goods that occurs

during a movement under a duty suspension arrangement between

Malta and another Member State, shall not be considered as a release

for consumption, in so far as the amount of loss falls below the

common partial loss threshold for those excise goods, unless the

Commissioner has reasonable cause to suspect fraud or irregularity. In

such case, that part of a partial loss which exceeds the common partial

loss threshold for those excise goods shall be treated as a release for

consumption.

(COUNCIL DIRECTIVE (EU) 2020/262)

(8)

The treatment of partial losses under a duty suspension

arrangement not covered by the previous sub-regulation may be

established by regulations made under article 13 of the Act.

(9)

The total destruction or irretrievable loss, total or partial,

of the excise goods under a duty suspension arrangement as referred to

in sub-regulation (5) shall be proven to the satisfaction of the

Commissioner where the total destruction or irretrievable loss, total or

partial, occurred, or, when it is not possible to determine where the

loss occurred, where it was detected

Provided that where total destruction or irretrievable

loss, total or partial, of the excise goods is established, the guarantee

lodged shall be released, fully or partially, as appropriate, upon the

production of satisfactory proof.

(10) The Commissioner shall determine the partial loss

threshold and this after taking into consideration the common partial

loss thresholds established by the Commission in accordance with

Council Directive 2020/262.

(11) When excise goods are imported into Malta and the

Commissioner allows such goods to be moved under a duty suspension

arrangement according to the conditions laid down by him to be

delivered to a place which has been designated by an authorised

warehouse keeper or registered consignee, the time of release for

consumption shall be the time of receipt of the excise goods at the

place which has been approved by the Commissioner

Provided that this shall not apply when a registered

consignee receives goods on an occasional basis.

(12) The chargeable conditions and rate of excise duty to be

adopted shall be those in force on the date on which release for

consumption takes place.

(1)

Excise goods may be moved under a duty

suspension arrangement between the following places within the

territory of the Union, including where the goods are moved via a third

country or a third territory

(a)

from a tax warehouse to

(i)

another tax warehouse;

(ii)

a registered consignee;

(iii) the place where the excise goods leave the

territory of the Union;

(iv)

a consignee referred to in article 14(2) of

(COUNCIL DIRECTIVE (EU) 2020/262)

the Act, when the goods are dispatched from another

Member State;

(v)

the customs office of exit where provided

for in Article 329(5) of Implementing Regulation (EU)

2015/2447 which is at the same time the customs office of

departure for the external transit procedure where

provided for in Article 189(4) of Delegated Regulation

(EU) 2015/2446;

(b)

from the place of importation to any of the

destinations referred to in paragraph (a), when the goods are

dispatched by a registered consignor

Provided that for the purposes of this paragraph, "place of

importation" means the place where the goods are when they are

released for free circulation in accordance with Article 201 of

Regulation (EC) No 952/2013.

(2)

Save where importation takes place inside a tax

warehouse, excise goods may be moved from the place of importation

under a duty suspension arrangement only if the following is provided

by the declarant or any person directly or indirectly involved in the

accomplishment of customs formalities in accordance with Article 15

of Regulation (EU) No 952/2013 to the Commissioner

(a)

the unique excise number in accordance with

paragraph (a) of Article 19(2) of Council Regulation (EU) No

389/2012 issued by the Commissioner identifying the registered

consignor for the movement;

(b)

the unique excise number under paragraph (a) of

Article 19(2) of Regulation (EU) No 389/2012 issued by the

Commissioner identifying the consignee to whom the goods are

dispatched;

(c)

if applicable, evidence that the imported goods are

intended to be dispatched from Malta to the territory of another

Member State.

(3)

The evidence referred to in paragraph (c) of the previous

sub-regulation shall be provided immediately whenever requested by

the Commissioner.

(4)

By way of derogation from sub-regulation (1)(a)(i) and

(ii) and (b) hereof, the Commissioner may, under the conditions which

he lays down, allow excise goods to be moved under a duty suspension

arrangement to a place of direct delivery, when that place has been

designated by the authorised warehouse keeper or by the registered

consignee other than a registered consignee with an authorisation

(COUNCIL DIRECTIVE (EU) 2020/262)

limited in accordance with the proviso to article 10A(3) of the Act

Provided that the authorised warehouse keeper or the

registered consignee shall remain responsible for submitting the report

of receipt referred to in regulation 10 to Part H of the Sixth Schedule to

the Act.

(5)

Sub-regulations (1), (2) and (4) shall also apply to

movements of excise goods at a zero rate which have not been released

for consumption.

(6)

A movement of excise goods shall be considered to take

place under a duty suspension arrangement only if it takes place under

cover of an electronic administrative document process in accordance

with Part H of the Sixth Schedule to the Act.

(1)

The movement of excise goods under a duty

suspension arrangement shall end

(a)

in the cases referred to in regulation 5(1)(a)(i),

(ii), and (iv) and regulation 5(1)(b), when the consignee has

taken delivery of the excise goods;

(b)

in the cases referred to in regulation 5 (1)(a)(iii)

when the goods have left the territory of the Union; and

(c)

in the cases referred to in regulation 5 (1)(a)(v),

when the goods are placed under the external transit procedure.

(2)

The movement of excise goods under a duty suspension

arrangement shall begin

(a)

in the cases referred to in regulation 5(1)(a), when

the excise goods leave the tax warehouse of dispatch; and

(b)

in the cases referred to regulation 5(1)(b) upon

their release for free circulation in accordance with Article 201

of Regulation (EU) No. 952/2013.

(1)

When excise goods are moving under a duty

suspension arrangement and are dispatched from Malta, the

consignor shall submit to the Commissioner a draft electronic

administrative document, no earlier than seven (7) days before the

date indicated on that document as the date of dispatch of the excise

goods concerned, by using the computerised system.

(2)

The Commissioner shall carry out an electronic

verification of the data in the draft electronic administrative document

and when this data is not valid, the Commissioner shall inform the

consignor without undue delay

Provided that when the data is valid, the Commissioner

(COUNCIL DIRECTIVE (EU) 2020/262)

shall assign to the document a unique administrative reference code

and shall communicate it to the consignor.

(3)

The draft electronic administrative document and the

electronic administrative document to which an administrative

reference code has been assigned in terms of sub-regulations (1) and

(2) shall comply with the requirements set out in Table 1 of Annex 1 of

Part H of the Sixth Schedule to the Act.

(1)

In the cases referred to in regulation 5 (1)(a)(i),

(ii), (iv), 5(b) and 5(4), the Commissioner shall forward the electronic

administrative document to the competent authorities of the Member

State of destination without delay

Provided that when the Commissioner, in the cases

referred to in these regulations, receives an electronic administrative

document from a competent authority of another Member State, he

shall forward it to the consignee where the consignee is an authorised

warehouse keeper or a registered consignee.

(2)

Where the excise goods are intended for an authorised

warehouse keeper in Malta, the Commissioner shall forward the

electronic administrative document directly to him.

(3)

The consignor shall provide the person accompanying the

excise goods, or where there is no person accompanying the goods, the

transporter or carrier, with the unique administrative reference code.

The person accompanying the excise goods, the transporter or the

carrier shall provide that code to the competent authorities upon request

throughout the movement under an excise duty suspension

arrangement. The Commissioner, throughout the movement of the

excise goods under an excise duty suspension arrangement, may

request the presentation of a printed electronic administrative

document or any other commercial document.

(4)

The consignor may cancel the electronic administrative

document, using the computerised system, so long as the movement has

not initiated under regulation 6.

(5)

The consignor wanting to cancel the electronic

administrative document as referred to in sub-regulation (4) shall

complete the fields of the draft cancellation message and submit it to

the Commissioner. The draft cancellation message shall comply with

the requirements set out in Table 2 of Annex 1 of Part H of the Sixth

Schedule to the Act.

(6)

The Commissioner shall carry out an electronic

verification of the data in the draft cancellation message, and where

these data are valid, the Commissioner shall

(COUNCIL DIRECTIVE (EU) 2020/262)

(a)

add the date and time of validation to the

cancellation message;

(b)

communicate that information to the consignor;

and

(c)

forward the cancellation message to

the

competent authorities of the Member State of destination

Provided that when that data is not valid, the consignor

shall be informed without delay.

(7)

When the Commissioner receives a cancellation message

as mentioned in this regulation, for excise goods whose place of

destination is Malta and the consignee is an authorised warehouse

keeper or a registered consignee, the Commissioner shall forward the

cancellation message to the warehouse keeper or consignee as the case

may be.

(8)

During the movement under a duty suspension

arrangement, the consignor may, using the computerised system,

change the destination or the consignee of the excise goods to one of

the destinations referred to in regulation 5(1)(a)(i), (ii), (iii) or (v) or

where applicable, in regulation 5(4). For that purpose, the consignor

shall submit a draft electronic change of destination document to the

competent authorities of the Member State of dispatch using the

computerised system.

(1)

In the cases referred to in regulation 5(1)(a)(iii)

and (v), the Commissioner shall forward the electronic administrative

document to the competent authorities of the Member State where the

export declaration is lodged under Article 221(2) of Commission

Implementing Regulation (EU) 2015/2447, if that Member State is

different from the Member State of dispatch.

(2)

The declarant shall provide the Commissioner with the

unique administrative reference code indicating the excise goods

referred to in the export declaration.

(3)

The Commissioner shall verify, before the release for

export of the goods, whether the data of the electronic administrative

document corresponds to that contained in the export declaration.

(4)

Where there are any inconsistencies between the

electronic administrative document and the export declaration, the

Commissioner shall notify the competent authorities in the Member

State of dispatch using the computerised system.

(5)

When the goods are no longer to be taken out of the

customs territory of the Union, the Commissioner shall notify the

competent authorities in the Member State of dispatch thereof by

(COUNCIL DIRECTIVE (EU) 2020/262)

means of the computerised system as soon as he becomes aware that

the goods will no longer be taken out of the customs territory of the

Union. The competent authorities in the Member State of dispatch shall

forward the notification to the consignor without delay. On receipt of

the notification, the consignor shall cancel the electronic administrative

document as provided for in regulation 8(4) or change the destination

of the goods as provided for in regulation 8(8), as may be appropriate.

(1) In the case of movement of energy products under a

duty suspension arrangement by sea to a consignee who is not

definitely known at the time when the consignor submits the draft

electronic administrative document, the Commissioner may authorise

the consignor to omit the data concerning the consignee in that

document

Provided that as soon as the data concerning the consignee

is known and, at the end of the movement, the consignor shall

transmit that data to the Commissioner using the procedure referred to

in regulation 8(8).

(2)

The foregoing shall not apply to the movement referred to

in regulation 5(1)(a)(iii) and (v).

(1)

In the cases referred to in regulation 5(1)(a)(iii)

and where applicable, regulation 5(1)(b), a report of export shall be

completed by the Commissioner on the basis of the information on

the exit of the goods which he has received from the customs office

of exit in accordance with Article 329 of Commission Implementing

Regulation (EU) 2015/2447 or by the office where the formalities for

the exit of goods from the customs territory, as referred to in Article

2(2) of Council Directive 2020/262 are accomplished, certifying that

the excise goods have left the territory of the Union, using a

computerised system.

(2)

In the cases referred to in regulation 5(1)(a)(v), a report of

export shall be completed by the Commissioner on the basis of the

information which he has received from the customs office of exit in

accordance with Article 329(5) of the Commission Implementing

Regulation (EU) 2015/2447.

(3)

The Commissioner shall carry out an electronic

verification of the data resulting from the endorsement referred to in

the sub-regulations (1) and (2), and once this data has been verified and

excise goods have been exported from Malta, the Commissioner shall

send the report of export to the competent authorities of the Member

State of dispatch.

(4)

When the Commissioner receives a report of export

from another Member State for excise goods which were dispatched

from Malta, the Commissioner shall forward the report of export to

(COUNCIL DIRECTIVE (EU) 2020/262)

the consignor.

(1)

Without prejudice to regulation 7(1), where the

computerised system is unavailable, the consignor may start a

movement of excise goods under a duty suspension arrangement as

long as

(a)

the goods are accompanied by a fallback paper

document containing the same data as the draft electronic

administrative document; and

(b)

he informs the

Commissioner

before

the

beginning of the movement

Provided that the paper document referred to in

paragraph (a) shall carry the title "Fallback Accompanying Document

for movements of excise goods under suspension of excise duty" and

the data required shall be displayed in the form of data elements,

expressed in the same manner as in the electronic administrative

document. All the data elements, as well as the data groups and data

subgroups to which they belong, shall be identified by means of the

numbers and letters in column A and column B of Table 1 of Annex I

of Part H of the Sixth Schedule to the Act.

(2)

The Commissioner may also require a copy of the

document referred to in sub-regulation (1)(a), the verification of the

data contained in that copy and, where the consignor is responsible for

the unavailability of the computerised system, appropriate information

on the reasons for that unavailability before the beginning of the

movement.

(3)

When the computerised system is restored and available,

the consignor shall submit a draft electronic administrative document

Provided that when the data in the draft electronic

administrative document has been verified in accordance with

regulation 7(2), if that data is valid, that document shall replace the

fallback document referred to in sub-regulation (1) and regulations 8,

9, 11 and 18 shall apply mutatis mutandis.

(4)

Until such time as the data in the electronic

administrative document has been validated, the movement shall be

regarded as taking place under a duty suspension arrangement under

cover of the fallback document.

(5)

A copy of the fallback document referred to in sub-

regulation (1)(a) shall be kept by the consignor to back up his records.

(6)

When the computerised system is unavailable, the

consignor may amend the destination of the goods referred to in

regulation 8(8) or split the movement of energy products as referred to

(COUNCIL DIRECTIVE (EU) 2020/262)

in regulation 8 of Part H of the Sixth Schedule to the Act and shall

communicate that information to the Commissioner using alternative

means of communication. To that end, the consignor shall inform the

competent authorities of the Member State of dispatch before the

change of destination or the splitting of the movement is initiated. Sub-

regulations (3) and (5) shall apply mutatis mutandis.

(7)

The information referred to in the previous sub-regulation

which is to be communicated by the consignor to the Commissioner

shall be displayed in the form of data elements, expressed in the same

manner as in the change of destination message or the splitting

operation message, as the case may be. All the data elements, as well as

the data groups and data subgroups to which they belong, shall be

identified by means of the numbers and letters in column A and column

B of Table 3 or, as the case may be, Table 5 of Annex I of Part H of the

Sixth Schedule to the Act.

(8)

Where the computerised system is unavailable in the

Member State of dispatch in the cases referred to in regulation

5(1)(a)(iii) and (v), the consignor shall provide a copy of the fallback

document referred to in paragraph (a) of regulation 1(1), to the

declarant.

(9)

The declarant shall provide the Commissioner with a

copy of that fallback document, the contents of which corresponds to

the excise goods declared in the export declaration, or the unique

identifier of the fallback document.

(1)

When in the cases referred to in regulation

5(1)(a)(i), (ii), (iv), (b) and 5(4), the report of receipt provided for in

regulation 10 of Part H of the Sixth Schedule to the Act cannot be

submitted at the end of a movement of excise goods within the

deadline provided for in that regulation, either because the

computerised system is unavailable or because, in the situation

referred to in regulation 12(1), the procedures referred to in

regulation 12(3) have not yet been carried out, the consignee shall

submit to the Commissioner, except when according to the

Commissioner a case is duly justified, a fallback document

containing the same data as the report of receipt and stating that the

movement has ended.

(2)

Except where the report of receipt can be submitted

promptly by the consignee via the computerised system, or in duly

justified cases, the Commissioner shall send a copy of the fallback

document referred to in sub-regulation (1) to the competent authorities

of the Member State of dispatch, which shall forward it to the

consignor or keep it available for the consignor. As soon as availability

of the computerised system is restored in the Member State of

destination or the procedures referred to in regulation 12(3) have been

carried out, the consignee shall submit a report of receipt, in

(COUNCIL DIRECTIVE (EU) 2020/262)

accordance with regulation 10 of Part H of the Sixth Schedule to the

Act. Sub-regulations (3), (4) and (5) of regulation 10 of Part H of the

Sixth Schedule to the Act shall apply mutatis mutandis.

(3)

When, in the cases referred to in regulation 5(1)(a)(iii) or

(v), the report of export provided for in regulation 11(1) or the

notification that the goods will no longer be taken out of the territory

of the Union in accordance with regulation 9(5) cannot be completed

at the end of a movement of excise goods either because the

computerised system is unavailable or because, in the situation

referred to in regulation 12(1) and (2), the procedures referred to in

regulation 12(3) have not yet been carried out, the Commissioner shall

send to the competent authorities of the Member State of dispatch a

document containing the same data as the report of export and

certifying that the movement has ended or that the goods will not be

taken out of the territory of the Union, except when the report of

export or the notification provided for in regulation 9(5) can be

completed by means of the computerised system, or in duly justified

cases.

(4)

When excise goods have been dispatched from Malta,

and the Commissioner receives from the competent authority of the

Member State of export, the paper document mentioned in the

previous sub-regulation, he shall forward a copy of the paper

document to the consignor or keep it available for him.

(5)

As soon as the availability of the computerised system is

restored in the Member State of export or the procedures referred to in

regulation 12(3) have been carried out, the competent authorities of the

Member State of export shall send a report of export provided for in

regulation 11(1) and (2) or the notification provided for in regulation

9(5). Regulation 11(3) shall apply mutatis mutandis.

(6)

The fallback paper documents referred to in sub-

regulations (1) and (3) shall carry the title "Fallback Report of Receipt

or Report of Export for movements of excise goods under suspension

of excise duty". The data required shall be displayed in the form of

data elements, expressed in the same manner as in the report of receipt

or the report of export, as the case may be. All the data elements, as

well as the data groups and data subgroups to which they belong, shall

be identified by means of the numbers and letters in column A and

column B of Table 6 of Annex I of Part H of the Sixth Schedule to the

Act.

(1)

Notwithstanding the provisions of regulation 13,

the report of receipt provided for in regulation 10 of Part H of the Sixth

Schedule or the report of export provided for in regulation 11(1) and

(2) shall constitute evidence that a movement of excise goods has

ended in accordance with regulation 6.

(COUNCIL DIRECTIVE (EU) 2020/262)

(2)

By way of derogation from sub-regulation (1), in the

absence of the report of receipt or the report of export for reasons other

than those mentioned in regulation 13, alternative proof of the end of a

movement of excise goods under a duty suspension arrangement may

be provided, in accordance with sub-regulations (3) and (4).

(3)

In the cases referred to in regulation 5(1)(a)(i), (ii) and

(iv), 5(1)(b) and 5(4), alternative proof of the end of the movement may

be provided by means of an endorsement by the Commissioner, based

on appropriate evidence, that the excise goods have reached their

declared destination

Provided that a fallback document as referred to in

paragraph (a) of regulation 12(1) shall constitute appropriate evidence.

(4)

In the cases referred to in regulation 5(1)(a)(iii) or (v), in

order to determine whether the excise goods in the circumstances set

out in sub-regulation (2) have been taken out of the territory of the

Union, the Commissioner

(a)

shall accept an endorsement by the competent

authorities of the Member State in which the customs office of

exit is located, certifying that the excise goods have left the

territory of the Union, or certifying that the excise goods have

been placed under the external transit procedure in accordance

with sub-paragraph (a)(v) of regulation 5(1) as appropriate

evidence that the goods have been taken out of the territory of

the Union;

(b)

may take into account any type of the following

evidence

(i)

a delivery note;

(ii)

a document signed or authenticated by the

economic operator who has taken the excise goods out of

the customs territory of the Union certifying the exit of

the goods;

(iii) a document in which the customs authority

of a Member State or a third country certify the delivery

in accordance with the rules and procedures applicable to

that certification in that State or country;

(iv) records of goods supplied to ships, aircraft

or offshore installations kept by economic operators;

(v)

other

evidence

acceptable

to

the

Commissioner.

(5)

When appropriate evidence has been accepted by the

(COUNCIL DIRECTIVE (EU) 2020/262)

Commissioner, it shall end the movement in the computerised system.

(1)

Where excise goods which have already been

released for consumption in the territory of one Member State are

delivered to Malta for commercial purposes or used in Malta, they

shall be subject to excise duty in Malta

Provided that within the scope of the arrangements

established in regulations 15 to 23 which regulate the movement of

excise goods which have already been released for consumption, the

excise goods shall only be moved from a certified consignor to a

certified consignee.

(2)

For the purposes of this regulation, excise goods shall be

regarded as "delivered for commercial purposes" when they have been

released for consumption in the territory of one Member State, have

been moved from that Member State to the territory of another

Member State and are delivered either to a person other than a private

individual or to a private individual if the movement is not covered by

article 14A of the Act or regulation 24

Provided that excise goods shall not be regarded as

delivered for commercial purposes when they are transported by that

private individual for his own use, when moved from the territory of

the other Member State.

(3)

The movement of excise goods in accordance with this

regulation, shall begin when the excise goods leave the certified

consignor’s premises or any location in the Member State of dispatch,

which shall be notified to the competent authorities of the Member

State of dispatch before the start of the movement.

Provided that if the Member State of dispatch is Malta,

the consignor shall inform the Commissioner.

(4)

The movement of excise goods in accordance with this

regulation shall end when the certified consignee has received the

delivery of the excise goods at his premises or any location in the

Member State of destination, which shall be notified to the competent

authorities of the Member State of destination before the start of the

movement.

Provided that if the Member State of destination is Malta,

then the consignee shall inform the Commissioner.

(5)

The chargeability conditions and rate of excise duty to be

applied shall be those in force on the date on which duty becomes

chargeable in the Member State of destination.

(6)

The certified consignee shall be liable to pay the excise

duty, which shall be chargeable when the goods have been delivered to

(COUNCIL DIRECTIVE (EU) 2020/262)

the Member State of destination, except where an irregularity under

regulation 26 occurs during the movement.

(7)

In case of lack of registration or certification of one or all

persons involved in the movement, these persons shall also become

liable to pay the excise duty.

(8)

Excise goods which are held on board a boat or aircraft

making sea-crossings or flights between Malta and another Member

State but which are not available for sale when the boat or aircraft is in

the territory of Malta, shall not be subject to excise duty in Malta.

(1)

A movement of excise goods already released for

consumption, shall be considered to comply with the requirements

under regulations 15 to 23 only if it takes place under cover of the

electronic simplified administrative document referred to in regulation

(2)

The persons referred in regulation 15(6) shall comply

with the following requirements

(a)

before the goods are dispatched, provide a

guarantee covering the inherent risks of non-payment of excise

duties which can occur during the movement via the territories

of the transited Member States and in the Member State of

destination;

(b)

pay the excise duty to the Commissioner at the end

of the movement of the goods;

(c)

consent to any checks by a Customs official to

ensure himself that the excise goods have actually been received

and that the excise duty chargeable on them has been paid.

(3)

By way of derogation from paragraph (a) of sub-

regulation (2), the Commissioner may, under the conditions established

by him, allow the guarantee to be provided by the transporter or carrier,

the owner of the excise goods, the certified consignor, or jointly by any

combination of two (2) or more of those persons with or without the

certified consignee.

(4)

The guarantee referred to in paragraph (a) of sub-

regulation (2) shall be valid throughout the Union.

(5)

The provision and validity of a guarantee may be

regulated by detailed regulations made under article 13 of the Act.

(6)

An authorised warehouse keeper or a registered consignor

may act as a certified consignor when dealing with excise goods

already released for consumption, as specified in regulations 15 to 23,

after having notified the competent authorities of the Member State of

(COUNCIL DIRECTIVE (EU) 2020/262)

dispatch.

(6A) An authorised tax warehouse keeper or a registered

consignee may act as a certified consignee when dealing with excise

goods already released for consumption, in accordance with

regulations 15 to 23, after having notified the competent authorities of

the Member State of destination.

(7)

For a certified consignor or certified consignee sending

or receiving excise goods only occasionally, the "certification"

referred to in the definitions "certified consignor" and "certified

consignee" of regulation 3 shall be limited to a specified quantity of

excise goods, from a single consignee or consignor and a specified

period of time

Provided that the Commissioner

may

limit

the

certification to a single movement

Provided further that such a temporary certification may

also, notwithstanding the requirements laid down in the definition of

"certified consignor" and "certified consignee" in regulation 3, be

given to private individuals acting as consignors or consignees when

excise goods are delivered for commercial purposes in accordance

with regulation 15(2).

17. (1)

When excise goods that have been released for

consumption in Malta are moved to the territory of another Member

State to be delivered for commercial purposes, the certified consignor

shall submit a draft electronic simplified administrative document to

the Commissioner using the computerised system

Provided that the draft electronic simplified

administrative document shall not be submitted earlier than seven (7)

days before the date indicated on the said document as date of dispatch

of the excise goods concerned..

(2)

The Commissioner shall carry out an electronic

verification of the data provided in the draft electronic simplified

administrative document, and the Commissioner shall

(a)

when that data is not valid, the certified consignor

shall be informed thereof without delay;

(b)

when that data is valid, assign to the document a

unique simplified administrative reference code and shall

communicate it to the certified consignor without delay.

(3)

The Commissioner shall forward the electronic

simplified administrative document without delay to the competent

authorities of the Member State of destination, and they shall forward

it to the certified consignee.

(COUNCIL DIRECTIVE (EU) 2020/262)

(4)

The certified consignor shall provide the unique

simplified administrative reference code to the person accompanying

the excise goods, or when there is no person accompanying the goods

to the transporter or carrier. The person accompanying the excise

goods, the transporter or the carrier shall provide that code to the

competent authorities upon request throughout the movement.

(5)

During a movement of excise goods under this regulation,

the certified consignor may, using the computerised system, change the

destination to another place of delivery in the same Member State

operated by the same certified consignee, or to the place of dispatch.

For that purpose, the certified consignor shall submit a draft electronic

document of change of destination to the Commissioner using the

computerised system

Provided that messages concerning the change of

destination shall comply with the requirements set out in Tables 3 and 4

of Annex I of Part H of the Sixth Schedule to the Act.

(6)

The messages exchanged for the purpose of this regulation

and regulation 18 shall comply with Annex I of Part H of the Sixth

Schedule to the Act.

(7)

When codes are required for the completion of specific

data elements in those messages in accordance with Annex I, the

codes listed in Annex II shall be used.

(8)

The draft electronic administrative document submitted in

accordance with sub-regulation (1) and the electronic simplified

administrative document to which an administrative reference code

has been assigned in accordance with sub-regulation (2) shall comply

with the requirements set out in the applicable provisions of Table 1

of Annex I of Part H of the Sixth Schedule to the Act.

(9)

The report of receipt submitted in accordance with this

regulation shall comply with the requirements set out in Table 6 of

Annex I of Part H of the Sixth Schedule to the Act.

(10) Whenever a change in destination as provided in sub-

regulation (5) is requested, the Commissioner shall carry out an

electronic verification of the data in the draft change of destination

message referred to in sub-regulation (5).

(11) When the data of the draft change of destination message

is valid, the Commissioner shall

(a)

add the date and time of validation and a sequence

number to the draft change of destination message

and inform the consignor thereof;

(COUNCIL DIRECTIVE (EU) 2020/262)

(b)

update

the

initial

electronic

simplified

administrative document according to the

information in the draft change of destination

message;

(c)

send the change of destination message to the

competent authorities of the Member State of

destination indicated in the initial electronic

simplified administrative document.

(12) If the Commissioner receives a notice from the competent

authorities of another Member State that a consignor within that

Member State changed the destination of a consignee to another

place of delivery in Malta, he shall forward the change of destination

message to the consignee.

(13) When data in the draft change of destination message is

not valid, the Commissioner shall inform the consignor thereof

without delay.

(1)

On receipt of the excise goods, the certified

consignee shall without delay and no later than five (5) working days

after the end of the movement, except in cases duly justified to the

satisfaction of the competent authorities, submit a report of their

receipt to the competent authorities of the Member State of

destination, using the computerised system.

(2)

The competent authorities of the Member State of

destination shall carry out an electronic verification of the data

provided in the report of receipt and

(a)

when that data is not valid the certified consignee

shall be informed thereof without delay;

(b)

when that data is valid, the competent

authorities of the Member State of destination shall provide

the certified consignee with a confirmation of the registration of

the report of receipt and send it to the competent authorities

of the Member State of dispatch.

(3)

The report of receipt shall be deemed to be sufficient

proof that the certified consignee has fulfilled all of the necessary

formalities and, has made if applicable and unless the excise goods are

exempted from payment of excise duty, any payments of excise duty

due to the Member State of destination, or a duty suspension

arrangement in accordance with article 10 of the Act.

(4)

The Commissioner shall forward the report of receipt to

the certified consignor.

(5)

Excise duty paid in the Member State of dispatch may

(COUNCIL DIRECTIVE (EU) 2020/262)

be reimbursed, upon request and on the basis of the report of receipt

referred to in sub-regulation (1).

(1)

By way of derogation from regulation 17, where

the computerised system is unavailable in Malta, the certified

consignor may start a movement of excise goods as long as

(a)

the goods are accompanied by a fallback document

containing the same data as the draft electronic simplified

administrative document referred to in regulation 16(1);

(b)

the certified consignor informs the Commissioner

before the beginning of the movement.

(2)

The Commissioner may also require from the certified

consignor a copy of the document referred to in paragraph (a) of the

previous sub-regulation, and this to verify the data contained in that

copy himself and, when the certified consignor is responsible for the

unavailability of the computerised system, appropriate information on

the reasons for that unavailability before the beginning of the

movement.

(3)

As soon as the availability of the computerised system is

restored, the certified consignor shall submit a draft electronic

simplified administrative document in accordance with regulation

17(1).

(4)

As soon as the data in the draft electronic simplified

administrative document has been verified in accordance with

regulation 17(2), if that data is valid, that document shall replace the

fallback document referred to in paragraph (a) of sub-regulation (1).

Regulations 17(3) and 18 shall apply mutatis mutandis.

(5)

A copy of the fallback document referred to in paragraph

(a) of sub-regulation (1) shall be kept by the certified consignor in his

records.

(6)

When the computerised system is unavailable in Malta,

the certified consignor may amend the destination of the goods as

referred to in regulation 17(5) and shall communicate that information

to the Commissioner using alternative means of communication. The

certified consignor shall inform the Commissioner before the change of

destination is initiated. Sub-regulations (3), (4) and (5) shall apply

mutatis mutandis.

(1)

When excise goods are to be moved under

regulations 8 and 9 and the report of receipt cannot be submitted at the

end of the movement of the excise goods in accordance with regulation

18(1), either because the computerised system is unavailable in the

Member State of destination or because the procedures referred to in

regulation 19(1) have not yet been carried out, the certified consignee

(COUNCIL DIRECTIVE (EU) 2020/262)

shall, except in duly justified cases, submit a fallback document

containing the same data as the report of receipt and stating that the

movement has ended to the competent authorities of the Member

State of destination.

(2)

Except when the report of receipt can be submitted

promptly by the certified consignee via the computerised system as

provided for in regulation 18(1), or except in duly justified cases, the

Commissioner shall send a copy of the fallback document referred to

in sub-regulation (1) to the competent authorities of the Member State

of dispatch. The Commissioner shall forward the copy to the certified

consignor or keep it available for the certified consignor.

(3)

As soon as availability of the computerised system is

restored in the Member State of destination or the procedures

referred to in regulation 19(3) have been carried out, the certified

consignee shall submit a report of receipt in accordance with

regulation 18(1). Regulation 18(2) and (4) shall apply mutatis

mutandis.

(4)

The fallback documents referred to in regulation 19(1)(a)

shall contain data elements, data groups and data subgroups set out in

columns A and B of Table 1 of Annex I of Part H of the Sixth Schedule

to the Act.

(5)

The information concerning the change of destination of

the goods and the splitting of the movement of energy products shall

be communicated by the consignor to the Commissioner in accordance

with regulation 19(6), shall be displayed in the form of data elements,

data groups and data subgroups as set out in columns A and B of Table

3 or columns A and B of Table 5 of Annex I of Part H of the Sixth

Schedule to the Act, as applicable.

(6)

The fallback documents referred to in regulation 20 shall

have the title "Fallback report of receipt of movement of excise goods"

or "Fallback report of export for movement of excise goods under a

duty suspension arrangement", as applicable. The data shall be

displayed in the form of data elements, data groups and data subgroups

as set out in columns A and B of Table 6 of Annex I of Part H of the

Sixth Schedule to the Act. All the data elements, data groups and data

subgroups to which they belong, shall be identified by means of the

numbers and letters set out in columns A and B of Table 6 of Annex I

of Part H of the Sixth Schedule to the Act.

(1)

Notwithstanding the provisions of regulation 20,

the report of receipt required by regulation 18(1) shall constitute

proof that the excise goods have been delivered to the certified

consignee.

(2)

By way of derogation from sub-regulation (1), in the

absence of the report of receipt for reasons other than those mentioned

(COUNCIL DIRECTIVE (EU) 2020/262)

in regulation 20, alternative proof of delivery of excise goods may be

provided by means of an endorsement by the competent authorities of

the Member State of destination, based on appropriate evidence, that

the excise goods dispatched have reached their destination.

(3)

The fallback document referred to in regulation 20(1)

shall constitute appropriate evidence for the purposes of the first sub-

regulation.

(4)

When the endorsement by the competent authorities of

the Member State of destination has been accepted by the competent

authorities of the Member State of dispatch, it shall be deemed to be

sufficient proof that the certified consignee has fulfilled all of the

necessary formalities and has made any payments of excise duty due to

the Member State of destination.

The Commissioner may, by agreement and under

conditions established by him, establish simplified procedures for

movements of excise goods under this regulation, which occur

between Malta and other Member States.

(1)

When excise goods already released for

consumption in Malta are moved to a place of destination also in Malta

via the territory of another Member State, the following requirements

shall apply

(a)

such movement shall take place under cover of the

electronic simplified administrative document referred to in

regulation 16(1) following an appropriate itinerary;

(b)

the certified consignee shall attest to having

received the goods in accordance with the rules laid down by the

competent authorities of the place of destination;

(c)

the certified consignor and the certified consignee

shall consent to any checks enabling their respective competent

authorities to ensure that the goods have been received.

(2)

When excise goods are moved frequently and regularly

under the conditions specified in sub-regulation (1), the Commissioner

may, by agreement with competent authorities from other Member

States to simplify the requirements specified in sub-regulation (1).

(1)

Excise goods already released for consumption in

a Member State, which are purchased by a person, other than an

authorised warehouse keeper, a registered consignee or a certified

consignee, established in another Member State and who does not carry

out an independent economic activity, and which are dispatched or

transported to Malta directly or indirectly by a consignor who carries

out an independent economic activity or on his behalf, shall be subject

to excise duty.

(COUNCIL DIRECTIVE (EU) 2020/262)

(2)

In the case referred to in sub-regulation (1), the excise

duty shall become chargeable at the time of delivery of the excise

goods. The chargeability conditions, the rate of excise duty to be

applied and the procedure for payment of excise duty shall be those in

force on the date on which the duty becomes chargeable.

(3)

The person liable to pay the excise duty is the consignor

Provided that the Commissioner may allow the consignor

to appoint a tax representative, established in Malta, as the person

liable to pay excise duty. The tax representative needs to be first

approved by the Commissioner

Provided further that where the consignor or the tax

representative has not respected the provision of paragraph (a) of sub-

regulation (4), the person liable to pay the excise duty shall be the

consignee of the excise goods.

(4)

The consignor or tax representative shall comply with the

following requirements

(a)

before dispatching the excise goods, he shall

register his identity and guarantee payment of the excise duty to

the Commissioner and be subject to the conditions laid down by

the Commissioner;

(b)

pay the excise duty to the Commissioner after the

excise goods arrive;

(c)

keep accounts of deliveries of the excise goods

Provided that the Minister may enter into bilateral

agreements with other Member States in order to simplify these

requirements.

(5)

In the case referred to in sub-regulation (1), the excise

duty levied shall be reimbursed or remitted by the Commissioner at the

consignor’s request, where the consignor or tax representative has

followed the procedures laid down in sub-regulation (4).

(6)

Detailed regulations made under article 13 of the Act

may establish how to apply sub-regulations (1) to (5) to excise goods

that are covered by special national distribution arrangements.

(1)

In the situations referred to in regulation 15(1) and

regulation 24(1), in the event of the total destruction or irretrievable

loss of the excise goods during their transport, which were not

released for consumption in Malta, as a result of the actual nature of

the goods, unforeseeable circumstances, force majeure, or as a

consequence of authorisation by the Commissioner, the excise duty

shall not be chargeable in Malta

(COUNCIL DIRECTIVE (EU) 2020/262)

Provided that the total destruction or irretrievable loss of

the excise goods in question shall be proven to the satisfaction of the

Commissioner

Provided further that the guarantee lodged pursuant to

regulation 16(2)(a) or regulation 24(4) shall be released.

(2)

For the purpose of these regulations, the goods shall be

deemed as totally destroyed or irretrievably lost when they are

rendered unusable as excise goods.

(3)

In the event of partial loss due to the nature of the goods

that occurs during their transport in the territory of a Member State

other than the Member State in which they were released for

consumption, excise duty shall not be chargeable in that Member

State when the amount of loss falls within the common partial loss

threshold for those excise goods set out in accordance with Article

6(9) of Council Directive (EU) 2020/262 of 19 December 2019 laying

down the general arrangements for excise duty (recast), unless a

Member State has reasonable cause to suspect fraud or irregularity.

(4)

The total destruction or irretrievable loss, total or partial,

of the excise goods as referred to in sub-regulation (1) shall be proven

to the satisfaction of the Commissioner.

(5)

Where the total destruction or irretrievable loss, total or

partial, of the excise goods is established, the guarantee lodged in

accordance with regulation 16(2)(a) or regulation 24(4)(a) shall be

released, fully or partially, as may be appropriate, upon the production

of satisfactory proof.

(6)

The provisions of this regulation shall be without

prejudice to the provisions of regulation 17(2) of the Sixth Schedule to

the Act, as may be the case.

(1)

When an irregularity has occurred in Malta

during a movement of excise goods under regulation 15(1) or

regulation 24(1), and such excise goods were released for

consumption in another Member State, they shall be subject to excise

duty.

(2)

When an irregularity has been detected in Malta during a

movement of excise goods under regulation 15(1) or regulation 24(1),

and such excise goods were released for consumption in another

Member State, and it is not possible to determine where the irregularity

occurred, the irregularity shall be deemed to have occurred in Malta

Provided that if, before the expiry of a period of three (3)

years from the date on which the excise goods were acquired, it is

ascertained in which Member State the irregularity actually occurred,

(COUNCIL DIRECTIVE (EU) 2020/262)

the provisions of sub-regulation (1) shall apply.

(3)

The excise duty shall be due from the person who

guaranteed payment thereof in accordance with regulation 16(2)(a) or

regulation 24(4)(a) and from any person who participated in the

irregularity

Provided that where several persons are liable for

payment of the same excise duty, they shall be jointly and severally

liable for such debt

Provided further that if the excise goods were released for

consumption, the Commissioner shall, upon request, reimburse or

remit the excise duty in the Member State where the irregularity

occurred or was detected

Provided further that the Commissioner shall release the

guarantee lodged pursuant to regulation 16(2)(a) or regulation

24(4)(a).

(4)

For the purposes of this regulation, "irregularity" means

a situation occurring during a movement of excise goods under

regulation 15(1) or regulation 24(1), not covered by regulation 11, due

to which a movement or a part of a movement of excise goods, has not

duly ended.

(5)

Any lack of registration or certification of one or all

persons involved in the movement, contrary to regulation 15(1) or

paragraph (a) of regulation 24(3), or any breach of the provisions

under regulation 16(1) shall be deemed to be an irregularity. Sub-

regulations (1) to (4) shall apply accordingly, unless the consignee is

liable to pay the excise duty according to the second proviso to

regulation 24(3).

(1)

The Commissioner, under the conditions fixed by

him, shall require that the risks inherent in the movement under

suspension of excise duty to be covered by a guarantee provided by

the authorised tax warehouse keeper of dispatch or the registered

consignor

Provided that when excisable goods are dispatched from

Malta, the Commissioner shall, under conditions set by him, allow

the guarantee to be provided by the authorised tax warehouse keeper

of dispatch or the registered consignor and jointly by any two (2) or

more of the following persons

(a)

the transporter;

(b)

the carrier;

(b)

the owner of the excise goods; or

(COUNCIL DIRECTIVE (EU) 2020/262)

(c)

the consignee.

(2)

Without prejudice to the right of the Commissioner to

request any guarantee or security that he may deem necessary, the

Commissioner shall not require a guarantee for the movement of

energy products by fixed pipeline, except under duly justified

circumstances.

(1)

In terms of Article 54 of Council Directive (EU)

2020/262 of 19 December 2019 laying down the general arrangements

for excise duty (recast), the receipt of excisable goods under the

formalities set out in Articles 33, 34 and 35 of Council Directive 2008/

118/EC of 16 December 2008 concerning the general arrangements for

excise duty and repealing Directive 92/12/EEC shall only be allowed

until 31st December 2023.

(2)

The notification referred to in regulation 9(5) may only be

made by means other than the computerised system until 13th February

2024.