B 2017
B 2017
L.N. 251 of 2019
V ALUE ADDED TAX ACT
(CAP. 406)
Value Added Tax Act (Amendment of Second Schedule) 
Regulations, 2019
IN EXERCISE of the powers conferred by articles 6 and 75 of
the Value Added Tax Act, the Minister for Finance, has made the
following regulations:-
Citation, scope 
and 
commencement. 
Cap. 406.1. (1) The title of these regulations is the Value Added Tax
Act (Amendment of Second Schedule) Regulations, 2019 and these
regulations shall be read and construed as one with the Second
Schedule to the Value Added Tax Act, which Second Schedule is
hereinafter in these regulations referred to as "the Second Sch edule".
(2) These regulations shall bring into force the provisions of
Article 1 of Council Directive (EU) 2018/1910 of the 4th December
2018 amending Directive 2006/112/EC as regards the harmonizatio n
and simplification of certain rules in the value added tax syst em for the
taxation of trade between Member States.
(3)  These regulations shall come into force, on the 1st January
2020.
Adds new item 
17A to the 
Second 
Schedule.2. Immediately after item 17 of the Second Schedule there
shall be added new item 17A as follows:-
"Call-off stock 
arrangements17A.  (1)  The transfer by a taxable person of
goods forming part of his business assets to another
Member State under call-off stock arrangements shall
not be treated as a supply of goods for consideration.
(2) For the purposes of this item, call-off stock
arrangements shall be deemed to exist where the
following conditions are met:
(a) goods are dispatche d or transported by
a taxable person, or  by a third part y on his behalf,
to another Member State  with a view to those
goods being supplied there, at a later stage andafter arrival, to another taxable person who isentitled to take ownership of those goods in
accordance with an existing agreement between
both taxable persons;
VERŻJONI ELETTRONIKA
B 2018
B 2018
(b) the taxable person dispatching or
transporting the goods has not established his
business nor has a fixe d establishment in the
Member State to which the goods are dispatchedor transported;
(c) the taxable person to whom the goods
are intended to be supplied is identified for V ATpurposes in the Member State to which the goods
are dispatched or transported and both his identity
and the V AT identification number assigned to
him by that Member State are known to the
taxable person referred to in paragraph (b) at thetime when the dispatch or transport of goods
begins;
(d) the taxable person dispatching or
transporting the goods records the transfer of the
goods in the register provided for in paragraph(1)(k ) of item 1 of the Eleventh Schedule and
includes the identity of the taxable personacquiring the goods and the V AT identificationnumber assigned to him by the Member State to
which the goods are dispatched or transported in
the recapitulative statement provided for in article30(3).
(3) Where the conditions laid down in sub-item
(2) are met, the following rules shall apply at the time
of the transfer of the right to dispose of the goods as
owner to the taxable person referred to in paragraph (c)of sub-item (2), provided that the transfer occurs within
the deadline referred to in sub-item (4):
(a) a supply of goods in accordance with
item 3(1) of Part One of the Fifth Schedule shall
be deemed to be made by the taxable person thatdispatched or transported the goods either by
himself or by a third party on his behalf in the
Member State from which the goods weredispatched or transported;
(b) an intra-Community acquisition of
goods shall be deemed to be made by the taxable
person to whom those goods are supplied in the
Member State to which the goods were dispatchedor transported.
VERŻJONI ELETTRONIKA
B 2019
B 2019
(4) If, within twelve (12) months after the
arrival of the goods in the Member State to which they
where dispatched or transported, the goods have not
been supplied to the taxable person for whom they were
intended, referred to in paragraph (c) of sub-item (2)and sub-item (6), and none of the circumstances laid
down in sub-item (7) have occurred, a transfer within
the meaning of item 17 shall be deemed to take place onthe day following the expiry of the twelve (12) month
period.
(5) No transfer within the meaning of item 17
shall be deemed to take place where the following
conditions are met:
(a) the right to dispose of the goods has
not been transferred, and those goods are returned
to the Member State from which they were
dispatched or transported within the time limitreferred to in sub-item (4); and
(b) the taxable person who dispatched or
transported the goods records their return in the
register provided for in paragraph (1)( k) of item 1
of the Eleventh Schedule.
(6) Where, within the period referred to in sub-
item (4), the taxable person referred to in paragraph (c)
of sub-item (2) is substituted by another taxable person,
no transfer within the mea ning of item 17 shall be
deemed to take place at the time of the substitution,
provided that:
(a) all other applicable conditions in sub-
item (2) are met; and
(b) the substitution is recorded by the
taxable person ref erred to in paragraph (b) of sub-
item (2) in the register provided for in paragraph(1)(k ) of item 1 of the Eleventh Schedule.
(7) Where, within the time limit referred to in
sub-item (4), any of the conditions set out in sub-items(2) and (6) ceases to be fulfilled, a transfer of goods
according to item 17 shall be deemed to take place at
the time that the relevant condition is no longerfulfilled.
If the goods are supplied to a person other than the
taxable person referred to in paragraph (c) of sub-item
(2) or in sub-item (6), it shall be deemed that the
conditions set out in sub-items (2) and (6) cease to be
fulfilled immediately before such supply.
VERŻJONI ELETTRONIKA
B 2020
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Ippubblikat mid-Dipartiment tal-Informazzjoni (doi.gov.mt) — Valletta — Published by the Department of Information (doi.gov.mt) — Valletta
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Prezz/Price
€0.36B 2020
If the goods are dispatched or transported to a
country other than the Member State from which they
were initially moved, it shall be deemed that the
conditions set out in sub-items (2) and (6) cease to be
fulfilled immediately before such dispatch or transportof goods starts.
In the event of the destruction, loss or theft of the
goods, it shall be deemed that the conditions set out in
sub-items (2) and (6) cease to be fulfilled on the date
that the goods were actually removed or destroyed, or,
if it is impossible to determine that date, the date on
which the goods were found to be destroyed ormissing.".
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