Value Added Tax Act (Cap. 406), article 2

2. (1) In this Act, unless the c ontext otherwise requires - "accession date" mean s the 1st May 2004; "accommodation", when provided on a bed and breakfast, half board or full board basis, includes the provision of any servic es normally falling within the meaning of accommodation on such a basis and included in the price therefor; "acquisitions threshold" means the threshold determined in accordance with Part Three of the Third Schedule; "administrative penalty" means a penalty imposed in virtue of the provisions of Part V; "assessment" means an assessment that may be made in virtue of the provisions of Part V but does not include a provisional assessment; "Commissioner" means the Commissioner for Tax and Customs appointed in terms of the provisions of article 3(1) or any pub lic officer or other person to whom a delegation has been made in accordance with sub-article (2) o r (3) of that article while he is acting within the terms of that delegation; "Community" means the territo ries of the Member States as defined in the Fif teenth Schedule; "customs duty suspension regime" has the meaning assigned to it in the Fourth Schedule; "Council Directive 2006/112/EC" means Council Directive 2006/ 112/EC of 28 November 2006 on the common system of value added tax, as may be amended from time to time; "Council Regulation (EU) No. 904/2010" means Council Regulation (EU) No. 904/2010 of 7 October 2010 on administrativ e cooperation and combating fraud in the field of value added tax (recast), as may be ame nded from time to time; "distance sale" has the meaning assigned to it in the Third Schedule; "economic activity" has the meanin g assigned to it in article 5 ; "established" shall be construed in accordance with the provisions of sub-articles ( 2) and (3) of this article; "excise goods" means the goods defined in the Sixteenth Schedule; Cap. 625. "exclusive economic zone area" s hall have the same meaning as assigned to it in the Exclusive Economic Zone Act ; "exempt supply", "exempt acquisition" or "exempt importation" means a supply, an intra-community acquisition or an importatio n which is exempt in terms of article 9; 4 CAP . 406.] VALUE ADDED TAX "exempt with credit supply" is a supply to which Part One of th e Fifth Schedule applies; "exempt without credit supply" is a supply to which Part Two of the Fifth Schedule applies; "goods" means any asset the supp ly of which is treated as a supply of goods in terms of the Second Schedule; "goods forming part of an economic activity" means goods, including fixed assets, used by a taxable person for the purpos e of his economic activity; "importation" has the meaning assigned to it in the Second Schedule, and "imported" s hall be construed accordingly; "importer" with respect to imported goods means the person in whose name the goods are at the time when tax on the importatio n becomes chargeable in accordan ce with the Fourth Schedule; "input tax" has the meaning assigned to it in article 22(2) and "input tax credit" has the meani ng assigned to it in article 22 (3); "intra-community acquisition" has the meaning assigned to it in the Second Schedule; "intra-community supply" means a supply of goods that are transported by or on behalf of the supplier or the person to wh om the supply is made from a Member State to another Member State; "Malta" means the Island of Malta, the Island of Gozo and the o ther islands of the Maltese Archipelago, including the territorial w aters thereof, the continental shelf and subject to the provisions of sub- article (4), also includes any exclusive economic zone area; "Member State" has the meaning assigned to it in the Fifteenth Schedule; "Minister" means the Minist er responsible for finance; "new means of transport" means a means of transport to which paragraph ( a) hereof applies and which meets the conditions of paragraph ( b) hereof - (a) this paragraph applies to a vessel exceeding 7.5 metres in length, an aircraft the takeoff weight of which exceeds 1,550 kilograms or a motorised land vehicle the capacity of which exceeds 48 cubic centimetres or the power of which exceeds 7.2 kilowatts, intended for the transport of passenge rs or goods except for: (i) a sea-going vessel which is used for navigation on the high seas and carrying passengers for reward, or for the purpose of commercial, industrial or fishing activities, or for rescue or assistance at sea, or for inshore fishing but does not include ships’ provisions; and (ii) aircraft used by airlines operating for reward chiefly on international routes; (b) the conditions that must be met for the purpose of this definition are: VALUE ADDED TAX [CAP. 406. 5 (i) in the case of a land vehicle, that it was supplied not more than six months after the date of first entry into service or has not travelled more than 6,000 kilometres; (ii) in the case of sea vessels, that it was supplied not more than three months after the date of first entry into service or has not sailed for more than 100 hours; (iii) in the case of a n aircraft, that it was supplied not more than three months after the date of first entry into service or has not flown for more than 40 hours; "non-taxable legal person" means a person, other than a physica l person, who is not a taxable person; "non-taxable person" means a person who is not a taxable person; ''notice of payment'' means the notice required to be furnished in terms of article 30(3); "output tax" has the meaning a ssigned to it in article 22(1); "person" includes a physical per son, a body of persons, a publi c authority and any en tity capable of carr ying on an economic activity; "provisional assessment" means a provisional assessment made in terms of article 32; Cap. 363. "public authority" means the Go vernment of Malta, a department or division of the Government of Malta, a local council set up in accordance with the Local Government Act , an authority vested with distinct personality set up by an Act of Parliament , corporation constituted by an Act of Parliament or any other bo dy governed by public law; Cap. 517. "revenue acts" shall have the sam e meaning as assigned to it in the Commissioner for Tax and Customs Act ; "self-supply" means the use or application of goods forming par t of the economic activity of a person that does not consist of t he delivery of goods to or the performance of services for another person but which is treated as a supply of goods or a supply of services in terms of the Second Schedule; "supply" means an operation which is treated as a supply of goods or a supply of services in terms of the Second Schedule; "tax" means the value added tax chargeable under this Act but does not include an administrative penalty or interest; "tax invoice" means an invoice or a document serving as invoice that contains the information re quired by the Twelfth Schedule; "tax period" means a period determined in accordance with article 17; "tax return" means the return re quired to be furnished in terms of article 27; 6 CAP . 406.] VALUE ADDED TAX "taxable acquisition" means an intra-community acquisition on which tax is chargeable in ter ms of article 4 and which is not exempt from tax in t erms of article 9; "taxable importation" means an importation on which tax is chargeable in terms of article 4 and which is not exempt from t ax in terms of article 9; "taxable person" has the meani ng assigned to it in article 5; "taxable supply" means a supply on which tax is chargeable in terms of article 4 and which is not exempt from tax in terms of article 9; "taxable value" means the value of a supply, of an intra- community acquisition or of an importation determined in accordance with the Seventh Schedule; "third territory" means any te rritory which is not a Member State; "transport" and "transported" include dispatch and dispatched; Cap. 490. "Tribunal" means the Administrative Review Tribunal established by article 5 of the Administrative Justice Act ; "V AT" or "value added tax" shall mean any value added tax as referred to in Council Directive 2006/112/EC; "value added tax identification number" means an individual number assigned by the competent authority of a Member State th at has a prefix in accordance with ISO International Standard 3166 - alpha 2, and "a person identified for value added tax purposes in a Member State" means a person to whom such an individual number has been assigned and who, for the purpose of a supply, communicates that number to the supplier. (2) The provisions of this sub-article and of sub-article (3) shall apply for the purpose of determining the place where a pe rson is established: (a) a taxable person is established in a country if he has established his economic activity or has a fixed place of establishment from which he carries on that economic activity in that country or, being a physical person who has not fixed his economic activity or who does not have a fixed place of establishment in any country, has a permanent address or usually resides in that country; (b) a non-taxable legal person is established in a country if it is constituted under the law of that country or if it has a fixed place in that c ountry from whic h it carries on its activities; (c) a non-taxable physical person is established in the country where he has a permanent address or usually resides. (3) Where, in terms of sub-article (2), a taxable person falls t o be treated as established in Malta and in another country with respect to the same transaction, and where it is necessary for the VALUE ADDED TAX [CAP. 406. 7 proper application of any provision of this Act that he should be treated as established only in one of those two countries, he s hall, to the extent that it is so neces sary, be treated as establishe d only in the country with which that tran saction is more closely connect ed. Cap. 625. (4) For the purpose of sub-article (1), an exclusive economic zo ne area shall be deemed to form part of Malta only to the extent o f activities undertaken pursuant to, or which are directly relate d to, an authorization or licence gra nted in accordance with the Exclusive Economic Zone Act . Administration. Amended by: XXII 2011.5.