VALUE ADDED TAX (REFUND TO NON-RESIDENTS) REGULATIONS

VALUE ADDED TAX

(REFUND TO NON-RESIDENTS)

SUBSIDIARY LEGISLATION 406.13

VALUE ADDED TAX (REFUND

TO NON-RESIDENTS) REGULATIONS

1st May, 2004

LEGAL NOTICE 319 of 2004, as amended by Legal Notices 426 of 2007,

59 and 105 of 2008, 426 of 2012 and 204 of 2015 and 116 of 2019.

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

(Refund to Non-residents) Regulations.

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

on 1st May, 2004 and shall apply to purchases, made by non-

resident travellers, of goods taken out of the Community in their

personal luggage on or after this date.

(1)

In these regulations unless the context otherwise

requires-

"the Act" means the Value Added Tax Act;

"administrative fee" means a fee of twenty-three euro (€23) or

four per cent of the repayment claimed, whichever is the higher,

charged by the Commissioner to the non-resident traveller when the

non-resident traveller makes a claim for a repayment of value

added tax directly with the Commissioner and not through an

authorised refund operator;

"authorised refund operator" means a refund operator authorised

by the Commissioner that acts on behalf of a non-resident traveller

in a claim for a repayment of value added tax under these

regulations;

"commission" means any commission, charge or any other fee by

whatever name and irrespective of how computed, as approved by

the Commissioner and charged by the authorised refund operator to

the non-resident traveller for acting on the non-resident traveller’s

behalf in a claim for repayment of value added tax under these

regulations;

"domicile or habitual residence" means the place entered as such

in a passport, a legally valid identification document which the

Maltese authorities, within whose territory the supply takes place,

consider to be valid;

"non-resident traveller"means a traveller whose domicile or

habitual residence is not situated within the Community.

(2) Other terms and expressions used in these regulations shall

have the meaning assigned to them in the Act.

A repayment of value added tax paid on goods purchased

in Malta by non-resident travellers shall be made to such non-

resident travellers or to an authorised refund operator acting on

behalf of the non-resident travellers, when the goods are taken out

VALUE ADDED TAX

(REFUND TO NON-RESIDENTS)

of Malta to a final destination outside the Community in the

accompanied luggage by such non-resident travellers before the

end of the third month following that in which the supply was

effected, provided that

(a) the application is made on such form as may be

approved by the Commissioner;

(b) the payment is made of the administrative fee which

shall be directly deducted by the Commissioner from

the amount of repayment claimed, when such payment

is made directly to the non-resident traveller;

(c) the goods are officially certified to have been taken out

of Malta at the point of exit, and, in the case of a non-

resident traveller who transits through another

Member State or States, an endorsement that the goods

have left the Community;

(d) original fiscal receipts in respect of the purchase of

goods for which repayment is being claimed are

attached to the approved form;

(e) where the repayment of value added tax is claimed by

an authorised refund operator, in addition to the

documents mentioned in this regulation, the claim for

refund is also supported by additional forms and

information as may be requested by the

Commissioner;

(f)

where the repayment of value added tax is claimed by

an authorised refund operator, the authorised refund

operator may charge a commission to non-resident

travellers as agreed or approved by the Commissioner.

These regulations shall not apply to

(a) consumable items which

are

wholly

or

partly

consumed in Malta;

(b) goods exported for business purposes.

Repayment shall only apply to goods where the value of such

goods purchased from a single registered establishment as shown on a

single receipt is not below fifty euro (€50).

Approved repayments will be made to the applicant as

shown on the form approved by the Commissioner in a currency of

his choice as selected on the said form or in Euro by bank transfer

when the payment is made by the Commissioner to an authorised

refund operator subject to the written consent of the non-resident

traveller

Provided that a repayment of value added tax due to an

authorised refund operator shall only be made in so far as the

Commissioner is satisfied that any commission charged to non-

resident travellers is as agreed or approved by the Commissioner.