New Guidelines have been introduced further clarifying which persons are not entitled to benefit under the tax deferral scheme, whilst also clarifying the manner in which the settlement of the postponed VAT tax will operate.

Specifically Excluded to benefit under the Scheme

Persons who have opted to pay VAT under the Mini One Stop Shop (MOSS) are not eligible to benefit under the tax deferral scheme.

Settlement Period

The measures introduced allow for the postponement of tax payments, including but not limited to VAT, which are due by the end of March and April 2020. 

With respect to any VAT which falls due in the above-mentioned periods covered by the Scheme, settlement must be made in two equal instalments with the two quarterly returns immediately following the quarter in relation to which the VAT was deferred.

It has been additionally clarified that Beneficiaries of the Scheme who do not have quarterly VAT periods, must alternatively settle the VAT due in the March/April period, in two equal instalments as follows:

(i) for VAT due in March 2020, by 15th June 2020 and 15th September 2020;

(ii) for VAT due in April 2020, by 15th July 2020 and 15th October 2020.

The updated guidelines can be accessed from the Malta Enterprise website:

Originally published 23 April 2020

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.