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I assent.
(L.S.) GEORGE VELLA
President
16th April, 2021
ACT No. XVIII of 2021
AN ACT to implement Budget Measures for the Financial Year 2021
and other administrative measures.
BE IT ENACTED by the President, by and with the advice and
consent of the House of Representatives, in this present Parliament
assembled, and by the authority of the same, as follows:-
ARRANGEMENT OF THE ACT
Articles
Part I Preliminary 1 - 5
Part IIAmendments to the Customs 
Ordinance.
Cap. 37. 6 - 12
Part IIIAmendments to the Income Tax Act.
Cap. 123. 13 - 19
Part IVAmendments to the Social Security Act.
Cap. 318. 20 - 25
Part VAmendments to the Duty on 
Documents and Transfers Act.
Cap. 364. 26 - 33
Part VIAmendments to the Motor Vehicles 
Registration and Licensing Act. 
Cap. 368. 34 - 42
Part VIIAmendment to the Income Tax 
Management Act.
Cap. 372. 43 - 46
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PART I
PRELIMINARY
Short title. 1.The short title of this Act is the Budget Measures
Implementation Act, 2021.
Coming into 
force of this 
Part.2.The provisions of this Part shall be deemed to have come into
force on the 1st January, 2021.
Interpretation.
Cap. 601.3.For the purpose of this Part, "revenue" has the same meaning
as is assigned to it in article 2 of the Public Finance Management Act,
but does not include proceeds from loans.
Authority to 
raise loan.4.(1) Subject to the provisions of this Act, the Government of
Malta may raise, by way of loan, a sum of money not exceeding one
billion and one hundred million euro (€1,100,000,000).
Cap. 575.(2) For the purpose of raising the aforesaid loan the Minister for
Finance and Employment is hereby authorised to raise such loans under
the provisions of the Government Borrowing and Management of
Public Debt Act, on such terms and conditions as the said Minister may
approve.
Purpose. 5.Any money borrowed under the authority of this Part shall be
appropriated and applied for the purpose of:
(a)meeting excess expenditure over revenue incurred in
the Consolidated Fund during the year 2021; and 
(b) redeeming registered stocks which shall be due for
redemption during the year 2021 ; and
(c) contributing funds in the sinking fund s; and
(d)effecting portfolio changes in relation to amounts
raised through Treasury Bills, amounts raised through
Government Stocks, and in respect of loans raised outside Malta
as and when required in line with Government’s debt
management policies.Part VIIIAmendments to the Excise Duty Act.
Cap. 382. 47 - 56
Part IXAmendments to the Arbiter for Financial Ser-
vices Act.
Cap. 555. 57 - 59
Part XAmendments to Subsidiary Legislation.
S.L. 37.05. and S.L. 233.07. 60 - 62
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PART II
AMENDMENTS TO THE CUSTOMS ORDINANCE
Amendments to 
the Customs 
Ordinance.
Cap. 37.6.This Part amends the Customs Ordinance and it shall be read
and construed as one with the Customs Ordinance, hereinafter in this
Part referred to as "the Ordinance".
Amendment of 
article 3 of the 
Ordinance.7.In sub-article (2) of article 3 of the Ordinance, immediately
after the words "master shall" there shall be added the words "on
conviction". 
Amendment of 
article 6 of the 
Ordinance.8.Sub-article (1) of article 6 shall be amended as follows:
(a) in paragraph (a) thereof, the words "shall  make due
report of such vessel to the port authority" shall be substituted by
the words "shall inform the port authority about the vessel";
(b) in paragraph (b) thereof, the words "shall also make
due report of such ladened goods to the port authority" shall be
substituted by the words "shall inform the port authority about
such ladened goods"; and
(c) immediately after paragraph (b) thereof, there shall be
added the following new paragraph:
"(c) Without prejudice to any other obligation under
any other law, the master of every vessel, whether laden or
in ballast, shall make due report of such vessel to the
Commissioner, as the Minister may by regulations prescribe,
not later than the moment that the vessel berths, moors or
anchors in Maltese territorial waters. This obligation shall
not apply when the vessel has already made due report to the
port authority electronically. Information given under
paragraph (a) or (b) does not fulfil the obligation to make a
due report under this paragraph.".
Amendment of 
article 62 of the 
Ordinance.9.Article 62 of the Ordinance shall be amended as follows:
(a) the proviso to paragraph (m) thereof shall be
substituted by the following new proviso:
"Provided that a person who makes an incorrect
declaration and requests the Commissioner in writing to
amend it:
(i) before the Commissioner informs the
person that the details of the customs declaration are
not correct; and
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(ii) (aa) during the period when it is not yet
known, in the systems relating to the processing of
customs declarations, whether manual or electronic, if
there is going to be control of the goods; or 
(bb) within ten (10) working days from
the date of the release of the goods, which
goods were released without control; and
(iii) such amendment does not tend to make
the declaration applicable to other goods, other than
those which were originally declared, in the sense
that the only amendment that may take place in the
declaration is one (1) or more amendments from
those listed in the Third Schedule,
that person shall be deemed not to have committed the
offence under this paragraph; or"; and
(b) in the proviso to paragraph (r) thereof, the words from
"Provided that a person who makes an incorrect declaration" till
the words "such person shall be deemed not to have committed an
offence under this paragraph," shall be substituted by the
following new proviso:
"Provided that a person who makes an incorrect
declaration and requests the Commissioner in writing to
amend it:
(i) before the Commissioner informs that
person that the details in the customs declaration are
not correct; and
(ii) (aa) during the period when it is not yet
known, in the systems relating to the processing of
customs declarations, whether manual or electronic,
if there is going to be control of the goods; or
(bb) within ten (10) working days from
the date of the release of the goods, which
goods were released without control; and
(iii) such amendment does not tend to make
the declaration applicable to other goods, other than
those which were originally declared, in the sense
that the only amendment that may take place in the
declaration is one (1) or more amendments from
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those listed in the Third Schedule,
that person shall be deemed not to have committed the
offence under this paragraph,".
Amendment of 
article 62A of 
the Ordinance.10.The second proviso to article 62A of the Ordinance, shall be
substituted by the following new proviso:
"Provided also that, in the circumstances mentioned in
paragraphs (a), (b) and (c) aforementioned, the person who makes
an incorrect declaration and requests the Commissioner in writing
to amend it:
(i) before the Commissioner notifies the person
that the details in the customs declaration are not correct;
and 
(ii) (aa) during the period when it is not yet
known, in the systems relating to the processing of customs
declarations, whether manual or electronic, if there is
going to be control of the goods; or
(bb) within ten (10) working days from the
date of release of the goods, which goods were
released without control; and
(iii) such amendment does not tend to make the
declaration applicable to other goods, other than those
which were originally declared, in the sense that the only
amendment that may take place in the declaration is one (1)
or more amendments from those listed in the Third
Schedule,
that person shall be deemed not to have committed the offence
under this article.".
Addition of new 
article 89 to the 
Ordinance.11.Immediately after article 88 of the Ordinance there shall be
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added the following new article:
Addition of new 
Third Schedule 
to the 
Ordinance.12. Immediately after the Second Schedule to the Ordinance there
shall be added the following new Schedule:
"THIRD SCHEDULE
(Article 62 and Article 62A)
The amendments that may be made in the declaration, as
provided in paragraph (iii) of the proviso to paragraph (m) of
article 62, in paragraph (iii) of the proviso to paragraph (r) of
article 62 and in paragraph (iii) of the second proviso to article
62A, are only those which amend:
1. The origin of the good.
2. The freight of the good.
3. The constituent material of the good.
4. The insurance of the good."Collection of 
objects.89. (1) If in any Court judgment, whether of a
civil or a criminal nature, the Court releases in favour
of a person objects that are seized by the Commissioner,
and the person fails to collect those objects from
Customs within sixty (60) days from the date of
judgment, the Commissioner may send a registered
letter or leave a letter at the person’s last known address
and impose a time limit of sixty (60) days from the date
of the letter, within which the person shall collect the
objects from the Commissioner. If the person fails to
collect the objects from the Commissioner within the
given time limit, which time limit may be extended on
the request of the person concerned for valid reasons, the
objects become the property of the Commissioner.
(2) If the letter is not notified in a way specified in
sub-article (1), the Commissioner shall publish a notice
in the Gazette with the content of the letter and if the
person does not collect the objects from Customs within
sixty (60) days from publication, the objects become the
property of the Commissioner.
(3) The provisions of sub-articles (1) and (2) also
apply in circumstances where the Commissioner returns
the objects that were withheld by him under any
provision of the law but the person fails to collect
them.".
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Any other amendment in the declaration shall be deemed to tend
to make the declaration applicable to other goods, other than those
originally declared.".
PART III
AMENDMENTS TO THE INCOME TAX ACT
Amendments to 
the Income Tax 
Act.
Cap. 123.13.This Part amends the Income Tax Act and it shall be read and
construed as one with the Income Tax Act, hereinafter in this Part
referred to as "the principal Act".
Amendment of 
article 2 of the 
principal Act.14. In article 2 of the principal Act the definition "incapacitated
person" shall be deleted.
Amendment of 
article 5 of the 
principal Act. 15. In paragraph (c) of sub-article (5) of article 5 of the principal
Act, the words "The period of residence includes the physical
occupation of the premises and any absences from Malta such as on
account of foreign employment, illness, holiday or study." shall be
substituted by the words "The period of residence includes the physical
occupation of the premises and any absences from Malta such as on
account of foreign employment, holiday or study as well as any absences
due to illness, or care in a hospital or home for the elderly, provided that
the premises in question are not being used or employed for any other
purpose during such absence.".
Amendment of 
article 12 of the 
principal Act.16.In the last proviso to sub-paragraph (1) of paragraph (u) of
sub-article (1) of article 12 of the principal Act, the words "under article
5(1)(b);" shall be substituted by the words "under article 5(1)(b):" and
immediately thereafter, there shall be added the following new proviso:
"Provided further that the exemption contemplated by this
paragraph shall not apply to income derived from a participating
holding in a body of persons resident for tax purposes in a
jurisdiction that is included in the EU list of non-cooperative
jurisdictions for a minimum period of three (3) months during the
year immediately preceding the year of assessment unless it is
proved to the satisfaction of the Commissioner that the said body
of persons maintains sufficient significant people functions in that
jurisdiction as is commensurate with the type and extent of the
activity carried on in that jurisdiction and the income earned
therefrom. Where such three (3) months are consecutive and fall in
two (2) subsequent consecutive basis years, the exemption shall
not apply in respect of any such income derived in any one (1) of
the two (2) years;".
Amendment of 
article 26 of the 
principal Act.17.In sub-paragraph (ii) of paragraph ( h) of article 26 of the
principal Act, the words "that person owns, directly or indirectly, more
than 10% of the ordinary share capital or voting rights of the person not
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resident in Malta." shall be substituted by the words "that person owns,
directly or indirectly, more than 10% of the ordinary share capital or
voting rights of the person not resident in Malta;" and immediately
thereafter, there shall be added the following new paragraph:
"(i) any payment the making of which constitutes a
criminal offence or, in the case of a payment made outside Malta,
would constitute a criminal offence if made in Malta.".
Addition of new 
article 31F to 
the principal 
Act.18.Immediately after article 31E of the principal Act there shall
be added the following new article:
"Taxation of 
royalties on 
qualifying literary 
works.
Cap. 415.31F. (1) Notwithstanding any other provision of
the Income Tax Acts, the provisions of this article shall
apply to royalties derived on or after 1 January 2021 by
an individual in his capacity as author of a qualifying
literary work by virtue of his  title to the copyright on
that work conferred by the Copyright Act.  
(2) The tax on the royalties to which this article
applies shall be chargeable, at the option of the
individual who derives those royalties, at the rate of
fifteen cents (€0.15) on every euro of the gross amount
of the royalties. Such tax shall be final and no set-off or
refund shall be granted to any person in respect of the
tax so charged.
(3) The option referred to in sub-article (2) shall be
exercised by means of the submission of a notice to the
Commissioner and the payment of the tax calculated in
accordance with that sub-article by not later than the
30th of April of the relative year of assessment , or such
other date as may be prescribed , on such form and in
such manner as the Commissioner may approve.
(4) An individual who, in any year, derives
royalties to which this article applies may only exercise
the option referred to in sub-article (2) in respect of the
full amount of those royalties and an option that refers
only to a part of those royalties shall be invalid.
(5) When an individual exercises the option
referred to in sub-article (2), the royalties to which the
option refers shall be deemed to constitute separate
chargeable income and shall not form part of the total
income of that individual and the said individual shall
not be required to declare such royalties in any return
made pursuant to the Income Tax Acts except as
provided in this article .
(6) In this article:
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Addition of new 
article 51A to 
the principal 
Act.19. Immediately after article 51 of the principal Act there shall be
added the following new article:
PART IV
AMENDMENTS TO THE SOCIAL SECURITY ACT
Amendments to 
the Social 
Security Act.
Cap. 318.20.This Part amends the Social Security Act and it shall be read
and construed as one with the Social Security Act, hereinafter in this
Part referred to as "the principal Act".
Amendment of 
article 2 of the 
principal Act.21.In the proviso to the definition "widow" of article 2 of the
principal Act, the words "means the surviving spouse, whether a widow
or a widower, of a married couple who immediately prior to
widowhood was married to the deceased spouse and had a legal right to
be maintained by the other spouse, and in relation to an actual widow,
wherever it appears, husband shall include wife." shall be substituted
by the words "means:S.L. 327.580 .(a) the terms "author" and "ISBN" have
the meanings assigned to them in the National
Book Council (Establishment) Order; and  
Cap. 415.(b)  "qualifying literary work" means a
publication which bears an ISBN and which is a
novel, story, poetical work, text book, treatise,
history, biography, encyclopaedia or dictionary
that is eligible for copyright in terms of the
Copyright Act.".  
"Transfer Pricing. 51A. The Minister responsible for finance may make
rules in relation to transfer pricing generally and may,
in particular by such rules, provide for the
determination of the arm’s length pricing of a
transaction or a series of transactions, any adjustments
in relation thereto and advance pricing agreements.".
(a) the surviving spouse, whether a widow or a
widower, of a married couple who immediately prior to
widowhood was married to the deceased spouse and
had a legal right to be maintained by the other spouse;
Cap. 614.(b) surviving cohabitant who immediately prior to
the death of the other cohabitant was in a cohabitation
registered under the provisions of the Cohabitation Act;
Cap. 530.(c) surviving partner who immediately prior to the
death of the other partner was in a civil union registered
under the provisions of the Civil Unions Act; and 
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Amendment of 
article 27 of the 
principal Act.22.Sub-article (3) of article 27 of the principal Act shall be
amended as follows:
(a) in paragraph (b) thereof, immediately after the words
"cerebral palsy" there shall be added the words "and absolutely
cannot work"; and
(b) in the second proviso to paragraph (c) thereof, the
words "106(f); and" shall be substituted by the words "106(f):
or" and immediately thereafter, there shall be added the
following new provisos:
Amendment of 
article 68 of the 
principal Act.23. Article 68 of the principal Act shall be amended as follows:
(a) the marginal note thereof shall be substituted by the
following new marginal note "Carer’s Allowance and Increased
Carer’s Allowance and Carer’s Grant"; and
(b) immediately after paragraph (b) of sub-article (1)
thereof, there shall be added the following new paragraphs:(d) persons who prove to the satisfaction of the
Director, by providing the necessary  documentation,
that they have been living together in similar
circumstances to marriage, civil union or cohabitation
for at least ten (10) years immediately prior to the death
of one (1) of the couple living in similar circumstances
to marriage, civil union or cohabitation and that the
marriage, civil union or cohabitation was not contracted
and registered because of such death of one (1) of the
couple, which death occurred between 1st January 2017
and 31st December 2020, and in relation to an actual
widow, wherever it appears, husband shall include
wife.".
"Provided further that, notwithstanding the
provisions of this paragraph (c), with effect from 1st
January 2021, a person who satisfies the Barthel Index
score 0 - 9, after the Director shall have acted in
accordance with the advice given by the multi-
disciplinary panel appointed under article 106(f): or
S.L. 318.21.Provided further that, with effect from 1st January
2021, if the person achieves a score of thirteen (13) or
more in accordance with Table 10 of the Impairment
Tables Regulations, after the Director shall have acted in
accordance with the advice given  by the multi-
disciplinary panel appointed under article 106(f); and".
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"(c) Subject to the provisions of this Act, with effect
from 1st January 2021, a single or a married person who
has reached pension age and not in receipt of a pension,
benefit, assistance or allowance under the provisions of
this Act, and certified medically fit and who proves to the
satisfaction of the Director that he is a citizen of Malta or
of the European Union and is regularly residing in Malta,
shall be entitled to a Carer’s Allowance or an Increased
Carer’s Allowance in accordance with paragraphs (a) and
(b) of sub-article (2), if such person proves to the
satisfaction of the Director that he is taking care, all by
himself, on a full-time basis and regularly of his parent,
brother, sister, grandparent, uncle, aunt, father or mother-
in-law, or brother or sister-in-law and who is living in the
same household as that of such person.
(d) Subject to the provisions of this Act, with effect
from 1st January 2021, a parent who is not in employment
or self-occupation and has not yet reached pensionable age
and who proves to the satisfaction of the Director that he is
a citizen of Malta or of the European Union and is
regularly residing in Malta, shall be entitled to a Carer’s
Grant of three hundred euro (€300) annually, if such parent
proves to the satisfaction of the Director that he is taking
care, all by himself, on a full-time basis and regularly of a
child in receipt of an Increased Severe Disability
Assistance under the provisions of this Act.".
Amendment of 
article 85 of the 
principal Act.24.Sub-article (7) of article 85 of the principal Act, shall be
renumbered as sub-article (8) thereof and immediately after sub-article
(6) thereof, there shall be added the following new sub-article:
"(7) Notwithstanding the provisions of sub-articles (4),
(5) and (6), with effect from 1st January 2021, the rate due to
persons who have reached pension age according to the
definition ''pension age'' in article 2, who have retired from
employment and are not entitled to a Contributory Pension, but
have paid between fifty (50) and two-hundred and fifty-nine
(259) social security contributions shall be two-hundred and fifty
euro (€250) per year, whereas the rate due to persons who have
reached pension age according to the definition ''pension age'' in
article 2, who have retired from employment and are not entitled
to a Contributory Pension, but have paid more than two-hundred
and sixty (260) social security contributions shall be three-
hundred and fifty euro (€350) per year:
Notwithstanding the provisions of sub-article (6),
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with effect from 1st January 2020, the rate due as provided for in
sub-article (6) shall not cease to be paid even when the person
reaches the age of seventy-five (75) years.".
Amendment of 
the Eleventh 
Schedule to the 
principal Act.25. In paragraph (c) of the proviso to item 2 of the Eleventh
Schedule to the principal Act, the words "Increased National Minimum
Pension." shall be substituted by the words "Increased National
Minimum Pension;" and immediately thereafter, there shall be added
the following new paragraph:
"(d) with effect from the 1st January 2021, a person born
before the 31st December 1961, and is not eligible to the
National Minimum Pension due to the average of contributions
paid after attaining the age of nineteen (19), there shall be added
the contributions paid prior to the attainment of age nineteen
(19), and if and when the minimum contribution requirements
are precisely reached, a reduced payment of the National
Minimum Pension, resulting from such minimum, is granted in
accordance with the provisions of this Act.".
PART V
AMENDMENTS TO THE DUTY ON 
DOCUMENTS AND TRANSFERS ACT
Amendments to 
the Duty on 
Documents and 
Transfers Act.
Cap. 364.26. (1) This Part amends the Duty on Documents and Transfers
Act and it shall be read and construed as one with the Duty on
Documents and Transfers Act, hereinafter in this Part referred to as "the
principal Act". 
(2) All the provisions of this Part, except those which amend
articles 2, 32, 32C, 35 and 42 of the principal Act, shall be deemed to
have come into force on the 1st January, 2021.
(3) The provisions of this Part which amend articles 32, 32C and
35(2), except that which amends article 35(2)(iii) of the principal Act
shall be deemed to have come into force on the 20th October 2020.
(4) The provisions of this Part which amend article 2 and sub-
articles (1)(b) and (2)(iii) of article 35 of the principal Act, shall be
deemed to have come into force on the 5th June 2020.
(5) The provisions of this Part which amend article 42 of the
principal Act shall be deemed to have come into force on the 28th June
2019.
Amendment of 
article 2 of the 
principal Act.27. Article 2 of the principal Act shall be amended as follows:
(a) immediately after the definition "body of persons"
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thereof, there shall be added the following new definition:
(b) the definition "document" thereof shall be substituted
by the following new definition:
(c) immediately after the definition "signature" thereof,
there shall be added the following new definition:
Amendment of 
article 32 of the 
principal Act.28. In sub-article (4) of article 32 of the principal Act, the words
"one hundred and seventy-five thousand euro (€175,000)" shall be
substituted by the words "two hundred thousand euro (€200,000)"
wherever they occur.
Amendment of 
article 32C of 
the principal 
Act.29. In article 32C of the principal Act, the words "two hundred
thousand euro (€200,000)" shall be substituted by the words "two
hundred and fifty thousand euro (€250,000)" wherever they occur.
Amendment of 
article 35 of the 
principal Act. 30. Article 35 of the principal Act, shall be amended by the
following:
(a) in paragraph (b) of sub-article (1) thereof,
immediately after the words "surviving spouse" there shall be
added the words "or cohabitant";
(b) in sub-article (2) thereof, the words "one hundred and
seventy-five thousand euro (€175,000)" shall be substituted by
the words "two hundred thousand euro (€200,000)" wherever
they occur;
(c) in paragraph (iii) of sub-article (2) thereof,
immediately after the words "surviving spouse" there shall be
added the words "or cohabitant";
(d) sub-paragraph (c) of paragraph (v) of sub-article (2)Cap. 614." "cohabitant" means a person in a cohabitation
enrolled by means of a public deed under the
Cohabitation Act;";
" "document" includes a policy of insurance, a
bill of sale, a notarial deed, a schedule of
redemption of ground rent filed in court, and a
judgment, decree or order of any court or other
lawful authority whereby any immovable or any
real right over an immovable is transferred;"; and
" "spouse" includes a partner registered as being
in a civil union;".
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thereof shall be substituted by the following new sub-paragraph:
"(c) the said dwelling house was the ordinary
residence of the person from whom the transfer
originates,"; and
(e) immediately after sub-article (7) thereof, there shall
be added the following new sub-article:
"(8) When the person from whom the transfer causa
mortis originates is hospitalized or residing in an old
people’s home at the time of the transfer, the ordinary
residence occupied by that person before being  hospitalized
or going to reside in an old people’s home  shall be
considered as that person’s ordinary residence for  the
purposes of this article.".
Amendment of 
article 42 of the 
principal Act.31. Article 42 of the principal Act shall be amended as follows:
(a) in paragraph (ii) of the proviso to paragraph (b) of
sub-article (1) thereof, the words "group of companies;" shall be
substituted by the words "group of companies," and immediately
thereafter, there shall be added the words "or the exchange of a
partnership interest for shares from one company to another
where the company receiving the shares and the company whose
shares are being exchanged are companies forming part of the
same group of companies;";
(b) in paragraph (iii) of the proviso to paragraph (b) of
sub-article (1) thereof, the words "group of companies:" shall be
substituted by the words "group of companies," and immediately
thereafter, there shall be added the words "or the transfer of a
partnership interest for consideration from a company or
partnership to another company or partnership, where the
transferor and the transferee form part of the same group of
companies, or where any or both of them are partnerships, would
have been considered to form part of the same group if they had
been a company or companies:"; and
(c) in the second proviso to paragraph (iii) of the proviso
to paragraph (b) of sub-article (1) thereof, the words "Financial
Markets Act." shall be substituted by the words "Financial
Markets Act;" and immediately thereafter, there shall be added
the words:
"For the purpose of the above provisos to
paragraph (b):
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Amendment of 
article 51 of the 
principal Act.32. In the proviso to sub-article (1) of article 51 of the principal
Act, the words "and in the case of transfers referred to in article 32(3)
with the exclusion of transfers of transferable securities mentioned in
article 32(3)" shall be deleted. 
Amendment of 
article 52 of the 
principal Act.33.Article 52 of the principal Act shall be amended as follows:
(a) sub-article (1) thereof shall be substituted by the
following:
"(1) When the Commissioner is satisfied that the
price or consideration, or the value as declared in a
document whereby any immovable or any real right over
an immovable is transferred, or in a declaration of a
transfer causa mortis  made in accordance with article 33, is
less than eighty-five per centum (85%) of the real value or
consideration as established by the Commissioner, or is
less than the consideration that results to the Commissioner
to have been actually paid, or when a declaration that ought
to be made in terms of article 33 has not been made, he
shall proceed to determine by order in writing the amount
of duty chargeable on the difference between the value or
consideration declared and the value or consideration of
the immovable as established or as results to the
Commissioner to have been actually paid or the duty that
would have been payable, as the case may be, and shall(i) "company" shall include a
"partnership", and references to the transfer,
acquisition or disposals of marketable
securities shall include the transfer,
acquisition or disposals of an interest in a
partnership;
Cap. 123. (ii) "property company" shall include
"property partnership" and both these terms
shall have the same meaning assigned to
them in article 2(1) of the Income Tax Act,
but the provisos to the said definitions shall
not apply;
(iii) "group of companies" shall be
applied in the case of partnerships mutatis
mutandis as if the partnership had been a
company;
(iv) references to a company’s
ordinary share capital, voting rights and rights
to profits shall include a partnership’s capital,
voting rights and rights to profits;".
VERŻJONI ELETTRONIKA
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raise an assessment accordingly:
Provided that, when a declaration has not been
made as aforesaid, nothing in this sub-article shall be
construed as exempting the transferee causa mortis  from
any obligation to make the relative declaration in
accordance with article 33 but any duty paid following an
assessment shall also be taken into account in any other
declaration made subsequent thereto:
Provided further that, when a declaration has
not been made as aforesaid the Commissioner may not
exercise his powers under this article after the lapse of
thirty (30) years from the happening of the transfer causa
mortis.";
(b) in sub-article (2) thereof, the words "duty paid on the
deed" shall be substituted by the words "duty paid on the
transfer";  and
(c) in paragraph (a) of sub-article (4) thereof, the words
"in a deed of transfer" shall be substituted by the words "in a
document of transfer" and the words "the deed of transfer" shall
be substituted by the words "the document of transfer". 
PART VI
AMENDMENTS TO THE MOTOR VEHICLES REGISTRATION 
AND LICENSING ACT
Amendments to 
the Motor 
Vehicles 
Registration and 
Licensing Act.
Cap. 368.34.(1) This Part amends the Motor Vehicles Registration and
Licensing  Act and it shall be read and construed as one with the Motor
Vehicles Registration and Licensing Act , hereinafter in this Part
referred to as "the principal Act".
(2) All the provisions of this Part shall be deemed to have come
into force on the 1st January, 2021.
Amendment of 
article 2 of the 
principal Act.35.Article 2 of the principal Act, shall be amended as follows:
(a) immediately after the definition "national holidays"
thereof, there shall be added the following new definition:
" "New European Driving Cycle (NEDC)" means a
driving cycle designed, inter alia,  to assess the emission
levels of car engines;";
(b) in the definition "vintage vehicle classification
committee" thereof, the words "and three members" shall be
VERŻJONI ELETTRONIKA
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substituted by the words ", a secretary and six (6) members"; and
(c) in paragraph (c) of the definition of "vintage vehicle
classification committee" thereof, the words "if applicable." shall
be substituted by the words "if applicable;" and immediately
thereafter, there shall be added the following new definition:
" "Worldwide Harmonized Light Vehicle Test
Procedure (WLTP)" means a global, harmonized standard
for the measurement of, inter alia,  CO2 emissions in
traditional and hybrid cars which was developed by the
United Nations Economic Commission for Europe to
replace the New European Driving Cycle (NEDC) as the
European vehicle homologation procedure.".
Amendment of 
article 8 of the 
principal Act.36.Article 8 of the principal Act, shall be amended as follows: 
(a) in sub-article (4) thereof, the words from "M1 motor
vehicles" till the words "public holidays." shall be substituted by
the words "M1 motor vehicles with CO2 emission levels equal to
or higher than two-hundred (200) according to NEDC standard
or two-hundred and twenty (220) or higher according to WLTP
standard (and having an emission level equivalent to the latest
European Standard or latest European Standard minus one or
latest European Standard minus two) and motor cycles with an
engine capacity equal to or higher than eight-hundred and one
(801cc) which are to be registered for the first time with the
Authority in terms of this Act may be registered to be used on the
road in Malta solely and exclusively on Fridays as from 18.00hrs
onwards, Saturdays, Sundays, national holidays and other public
holidays.";
(b) in sub-article (6) thereof, immediately after the
words "other than" there shall be added the words "Fridays as
from 18.00hrs onwards,"; 
(c) in sub-article (7) thereof, immediately after the
words "only to" there shall be added the words "Fridays as from
18.00hrs onwards,"; and 
(d) immediately after sub-article (10) thereof, there shall
be added the following new sub-articles:
"(11) In the determination of the CO2 emission levels
of any motor vehicle, the combined level of carbon dioxide
standard shall apply. 
(12) Whenever a discrepancy may arise between the
VERŻJONI ELETTRONIKA
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applicable registration tax and, or the applicable circulation
licence fee relative to any vehicle as a result of any
difference between the computation of such tax and, or fee
consequent to the application of the NEDC standard or the
WLTP standard, the Authority shall apply such correctory
measures as may be necessary in order to establish a
uniform rate of tax or fee irrespective of the applicable
NEDC or WLTP standard and to cancel out the discrepancy
which would otherwise result.".
Renumeration 
of article 8A of 
the principal 
Act and addition 
of new article 
8A to the 
principal Act.37.Article 8A of the principal Act shall be renumbered as article
8B of the principal Act and immediately after article 8 of the principal
Act, there shall be added the following new article:
"Conversion of 
licensing regime of 
the vehicle.8A. (1) All the owners of M1 motor vehicles as
well as motor cycles which are already registered with
the Authority for use on the road in Malta may apply
with the Authority in order to convert the licensing
regime of their vehicle for use on the road in Malta
solely and exclusively on Fridays as from 18.00hrs
onwards, Saturdays, Sundays, national holidays and
other public holidays.
(2) The application shall be submitted by means of
such form and according to such procedures as may be
established by the Authority from time to time.
(3) The circulation licence fee payable in respect of
motor vehicles, including motor cycles, whose licensing
regime is converted in terms of sub-article (1) shall be
calculated at thirty-five per cent (35%) of the rate
specified in the Fourth Schedule. 
(4) No refund of the registration tax, or any part
thereof, paid upon the registration of the vehicle for use
on the road in Malta may be claimed in respect of any
motor vehicle, including motor cycle, upon conversion
of its licensing regime in terms of sub-article (1). 
(5) All motor vehicles and motor cycles whose
licensing regime is converted in terms of sub-article (1)
shall be kept in a garage and may not be used nor parked
on the road in Malta on any day other than Fridays as
from 18.00hrs onwards, Saturdays, Sundays, national
holidays and other public holidays. 
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Amendment of 
article 21 of the 
principal Act.38.In paragraph (i) of sub-article (1) of article 21 of the principal
Act, the words "solely and exclusively on Saturdays," shall be
substituted by the words "solely and exclusively on Friday as from
18.00hrs onwards, Saturdays,".
Amendment of 
article 25 of the 
principal Act.39.Article 25 of the principal Act shall be amended as follows:
(a) in sub-article (22) thereof, the words "shall apply."
shall be substituted by the words "shall apply:" and immediately
thereafter, there shall be added the following new provisos:
"Provided that, in the event that, upon the renewal of
its circulation licence after having undergone a vehicle
roadworthiness test, it results that a vintage vehicle has
registered three-thousand kilometres (3,000 km) or more
on its odometer in one (1) year since the last renewal of its
circulation licence, or an average of three-thousand
kilometres (3,000 km) or more per year with regard to such
vehicles which undergo a vehicle roadworthiness test once
every two (2) years, then, in addition to the administrative
fee established in the Fourth Schedule, the owner of the
said vehicle shall also be obliged to pay the circulation
licence fee established in the Fourth Schedule for such year
or years during which the said vehicle had registered three
thousand kilometres (3,000 km) or more on its odometer in
one (1) year or an average of three thousand kilometres
(3,000 km) or more per year with regard to such vehicles
which undergo a vehicle roadworthiness test once every
two (2) years:
Provided that, nevertheless, such vehicle shall not(6) The owner of any motor vehicle or motor cycle
whose licensing regime is converted in terms of sub-
article (1) may apply with the Authority, on such form
and according to such procedures as may be established
by the Authority from time to time, in order for the use in
the road of such motor vehicle or motor cycle not to
remain limited only to Fridays as from 18.00 hrs
onwards, Saturdays, Sundays, national holidays and
other public holidays. In such an event, the applicant
shall be obliged to pay a sum equivalent to the
circulation licence fee at the full rate specified in the
Fourth Schedule for the period from the date when such
application is accepted until the date of renewal of the
circulation licence fee less the sum paid at the reduced
rate established in sub-article (3).".
VERŻJONI ELETTRONIKA
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lose its status as a vintage vehicle and shall continue to pay
solely the administration fee established in the Fourth
Schedule unless, upon renewal of the circulation licence, it
results that the owner thereof shall also be obliged to pay
the circulation licence fee established in the Fourth
Schedule as a result of the fact that such vintage vehicle
has registered three thousand kilometres (3,000 km) or
more in one (1) year or an average of three thousand
kilometres (3,000 km) or more per year if it is a vehicle
which undergoes a road worthiness test once every two (2)
years."; and 
(b) immediately after sub-article (22) thereof there shall
be added the following new sub-article:
"(23) Motor cycles which have been classified as
vintage by the vintage vehicle classification committee
shall continue to be exempt from the payment of a
circulation licence fee and shall only be subject to the
payment of the administrative fee established in the Fourth
Schedule irrespective of any mileage considerations.".
Amendment of 
the First 
Schedule to the 
principal Act.40.In the First Schedule to the principal Act, the Table with the
heading "Euro Standard Table for Registration Purposes indicating
Year of registration and/or manufacture of the vehicle" shall be
substituted by the following new Table:
"
Euro Standard Table for Registration Purposes indicating Year of Registration and/or
Manufacture of Vehicle
CategoryReference
Mass/
Mass in
Service
(kg)Up
to
Euro
3/IIIEuro
4/IVEuro
5/VEuro 
6/VILatest
Euro
Standard
N1Max
Authorised 
 Mass 0 -
3,500
KgClass 1
(0 -
1305kg)pre
2000
-
20052006
-
20102011
-
20142015
onwardsEuro 6
Class 2 
(1306 -
1760kg)pre
2000
-
20052006
-
20102011
-
20152016 Euro 6
Class 3
(1761 -
2610kg)pre
2000
-
20052006
-
20102011
-
20152016 Euro 6
VERŻJONI ELETTRONIKA
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".
Amendment of 
the Second 
Schedule to the 
principal Act.41.The Second Schedule to the principal Act shall be amended as
follows:
(a) immediately after the words from "Category A:" to
the words "and length of the vehicle):" thereof and prior to the
tables, there shall be added the words "Under Category A, CO2
emissions data are measured according to NEDC standard"; 
(b) immediately prior to the table with the headings
"Length" and "Rates" thereof, there shall be added the following:
"Where the registration tax calculated for the same
vehicle according to the values stipulated under Category
AA results to be higher than the registration tax payable
when calculated according to the values stipulated under
Category A, the registration tax payable when calculated
according to the values stipulated under Category A shall
apply.
Category AA: M1 motor vehicles (including autogas
vehicles, vehicles to be registered to be used as taxicars,
hired or leased vehicles and chauffeur driven vehicles),
other than those vehicles classified under Category H,
whether new or used (rates based on the CO2 and length of
the vehicle).
Under Category AA, CO2 emissions data are
measured according to WLTP standard:N2Max
Authorised
Mass3,501 -
12,000pre
2001
-
20052006
-
20082009
-
20132014
onwardsEuro 6
N3Max
Authorised
Mass12,001
>pre
2001
-
20052006
-
20082009
-
20132014
onwardsEuro 6
Petrol or Diesel Engine
CO₂ Latest Euro Standard
0g/km - 120g/km CO₂ x RV x 0.040%
121g/km - 140g/km CO₂ x RV x 0.045%
141g/km -150g/km CO₂ x RV x 0.050%
151g/km - 160g/km CO₂ x RV x 0.060%
161g/km - 190g/km CO₂ x RV x 0.070%
VERŻJONI ELETTRONIKA
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"; and
(c) item (6) of the part entitled "Tax rate formula"
thereof, shall be substituted by the following:
"(6) For M1 motor vehicles with CO2 emission
levels equal to or higher than two-hundred (200) according
to NEDC standard or two-hundred and twenty (220) or
higher according to WLTP standard (and having an
emission level equivalent to the latest European Standard
or latest European Standard minus one (1) or latest
European Standard minus two (2)) and motor cycles with
an engine capacity equal to or higher than eight-hundred
and one (801cc) which are to be registered for use on the
road in Malta solely and exclusively on Fridays as from
18.00hrs onwards, Saturdays, Sundays, national holidays
and other public holidays, the rate of registration tax
payable shall be forty per cent (40%) of the full rate
payable in terms of this Schedule. A minimum level of
registration tax equal to two-thousand euro (€2,000) for
M1 vehicles and one-thousand euro (€1,000) for motor
cycles shall be applicable to both new and used vehicles
being registered in accordance with article 8(4).".
Amendment of 
the Fourth 
Schedule to the 
principal Act.42.The Fourth Schedule to the principal Act shall be amended as
follows:
(a) item 1 thereof shall be renumbered as item 1A;
(b) in item 1A thereof, as renumbered, immediately after
the words from "Annual Circulation Licence fees" till the words
"registered prior to the 1st January, 2010." and prior to the tables,
there shall be added the words "Under Category 1A, CO2
emissions data are measured according to NEDC standard"; 
(c)the last paragraph of item 1A thereof, as
renumbered, featuring subsequent to the tables, shall be
substituted by the following:
"Where a vehicle has been converted to run on
autogas, the annual circulation licence fee shall be
automatically reduced by ten percent (10%).191g/km - 230g/km CO₂ x RV x 0.100%
231g/km - 260g/km CO₂ x RV x 0.110%
More than 260g/km CO₂ x RV x 0.143%
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1B. Annual circulation licence fees for new M1
(passenger vehicles) registered as per the Second Schedule
Category AA on or after 1st January, 2021.
Under Category 1B, the CO2 emissions data are
measured according to WLTP standard:
Where a vehicle has been converted to run on
autogas, the annual circulation licence fee shall be
automatically reduced by ten percent (10%).";
(d) in item 2 thereof, immediately after the tables, there
shall be added the words "Where a vehicle has been converted to
run on autogas, the annual circulation licence fee shall be
automatically reduced by ten percent (10%).";
(e) the tables in item 3 thereof, shall be substituted by
the following new table:Petrol and Diesel 
Engines
Year 0 1 2 3 4 5 6 7
0g/km - 125g/km 100 100 100 100 100 125 138 151
126g/km up to 175g/km 125 125 125 125 125 153 166 181
176g/km up to 200g/km 140 140 140 140 140 170 185 202
201g/km up to 225g/km 160 160 160 160 160 195 213 232
226g/km up to 250g/km 205 205 205 205 205 250 273 297
251g/km up to 275g/km 275 275 275 275 275 338 369 403
276g/km up to 300g/km 375 375 375 375 375 463 506 554
More than 300g/km 525 525 525 525 525 650 713 781
8 9 10 11 12 13 14+
166 183 201 221 244 268 295
198 216 236 259 283 310 339
220 240 262 286 312 342 374
253 276 302 330 361 395 433
324 354 387 424 463 507 556
441 483 528 579 634 695 762
607 666 730 800 878 963 1057
857 940 1032 1125 1125 1125 1125
VERŻJONI ELETTRONIKA
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"
";
(f) item 4 thereof shall be substituted by the following:
"4. Annual circulation Licence fees for motor
cycles and quad bikes registered before the 1st January,
2009Year 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14+
Engine
Capacity €€€€€ € € € € € € € € € €
Not
exceeding
50cc 1010101010 10 10 10 10 10 10 10 10 10 10
51cc but
not
exceeding
125cc 1010101010 10 10 10 10 10 10 10 10 10 10
126cc but
not
exceeding
250cc 2525252525 25 25 25 25 25 25 25 25 25 25
251cc but
not
exceeding
500cc 7070707070 77 85 93 102 113 124 136 150 165 182
501cc but
not
exceeding
800cc 7575757575 83 91 100 110 121 133 146 161 177 195
Exceeding
800cc 8080808080 88 97 106 117 129 142 156 171 189 207
Battery /
Electric
Motor-
cycle 0000010 10 10 10 10 10 10 10 10 10
Quad
bikes100100100100100 110 121 133 146 161 177 195 214 236 259
Year 0 1 2 3 4 56 7 8 9 10 11 12
Engine
capacity €€€€€€€ € € € € € €
Not
exceeding
50cc10101010101010 10 10 10 10 10 10
51cc but
not
exceeding
125cc10101010101010 10 10 10 10 10 10
VERŻJONI ELETTRONIKA
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";126cc but
not
exceeding
250cc 25252525252525 25 25 25 25 25 25
251cc but
not
exceeding
500cc58585858585858 64 65 66 67 68 69
501cc but
not
exceeding
800cc60606060606060 66 67 68 69 70 71
Exceeding
800cc62626262626262 68 69 70 71 72 73
Battery/
electric 
motorcycle000001010 10 10 10 10 10 10
Quad bikes 75757575757575 83 84 85 86 88 89
Year 13 14 15 16 17 18 19+
Engine
capacity € € € € € € €
Not
exceeding
50cc 10 10 10 10 10 10 10
51cc but
not
exceeding
125cc 10 10 10 10 10 10 10
126cc but
not
exceeding
250cc 25 25 25 25 25 25 25
251cc but
not
exceeding
500cc 70 71 72 73 74 75 76
501cc but
not
exceeding
800cc 72 73 74 75 77 78 79
Exceeding
800cc 75 76 77 78 79 80 82
Battery/
electric
motorcycle 10 10 10 10 10 10 10
Quad bikes 90 92 93 94 96 97 99
VERŻJONI ELETTRONIKA
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(g) item 6 thereof, shall be substituted by the following:
"6. Subject to the provisions of article 25(22), for
the private use of vintage motor vehicles (including motor
cycles) with an age of thirty (30) years from date of
manufacture, certified as authentic by the vintage vehicle
classification committee..................................................0";
(h) in item 8.2 thereof, immediately after the table,
there shall be added the following:
"Where a vehicle has been converted to run on
autogas, the annual circulation licence fee shall be
automatically reduced by ten percent (10%).";
(i) in item 9.2.2 thereof, i mmediately after the tables,
there shall be added the following:
"Where a vehicle has been converted to run on
autogas, the annual circulation licence fee shall be
automatically reduced by ten percent (10%)."; and
(j) in item 10 thereof, i mmediately after the table, there
shall be added the following:
"Where a vehicle has been converted to run on
autogas, the annual circulation licence fee shall be
automatically reduced by ten percent (10%).".
PART VII
AMENDMENT TO THE INCOME TAX MANAGEMENT ACT
Amendment to 
the Income Tax 
Management 
Act.
Cap. 372.43. This Part amends the Income Tax Management Act and it shall
be read and construed as one with the Income Tax Management Act,
hereinafter in this Part referred to as "the principal Act".
Amendment of 
article 10A of 
the principal 
Act. 44. In sub-article (1) of article 10A of the principal Act, the words
"not being less than thirty days," shall be substituted by the words "not
being less than twenty (20) days,".
Amendment of 
article 13 of the 
principal Act.45.In sub-article (4) of article 13 of the principal Act, the words
"that year of assessment." shall be substituted by the words "that year of
assessment:" and immediately thereafter, there shall be added the
VERŻJONI ELETTRONIKA
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following new proviso:
Deletion of 
article 17 of the 
principal Act.46. Article 17 of the principal Act shall be deleted.
PART VIII
AMENDMENTS TO THE EXCISE DUTY ACT
Amendments to 
the Excise Duty 
Act.
Cap. 382.47.(1) This Part amends the Excise Duty Act and it shall be
read and construed as one with the Excise Duty Act, hereinafter in this
Part referred to as "the principal Act".
(2) (a) paragraph (b) of the English version only, of the
provision of this Part relating to the article which amends article 2 of
the principal Act, shall come into force on the 1st January 2022;
(b) paragraphs (a), (b) and (c) of the provision of this
Part relating to the article which amends the Second Schedule to
the principal Act, shall come into force on such date or dates as
the Minister responsible for customs may establish by notice in
the Gazette, which date shall be the 1st January 2022 or
thereafter and paragraphs (d), (e), (f), (g) and (h) of the provision
of this Part relating to the article which amends the Second
Schedule to the principal Act, shall come into force on the 1st
January 2022;
(c) the provision of this Part relating to the article which
amends the Fourth Schedule to the principal Act, shall come into
force on the 1st June 2021; and
(d) paragraphs (h) and (i) of the provision of this Part
relating to the article which amends the Sixth Schedule to the
principal Act, shall come into force on the 1st January 2022.
General 
amendment to 
the principal 
Act.48. In the principal Act, the words "Article 79 of Regulation (EEC)
No. 2913/92 as amended or substituted" and the words "Article 79 of
Regulation (EEC) No. 2913/92" shall be substituted by the words
"Article 201 of Regulation (EU) No. 952/2013", wherever they occur.Cap. 123."Provided that, this sub-article shall not apply when
a further return is filed with the Commissioner for the
purposes of implementing an agreement reached
pursuant to a Mutual Agreement Procedure in terms of
an arrangement in terms of article 76 of the Income Tax
Act including Convention 90/436/EEC of 23 July 1990
on the elimination of double taxation in connection
with the adjustment of profits of associated
enterprises.".
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Amendment of 
article 2 of the 
principal Act.49. Article 2 of the principal Act shall be amended as follows:
(a) the definition "excise goods" thereof shall be
substituted by the following new definition:
" "excise goods" means any goods of a class or
description as listed in the First Schedule, excluding
tobacco which is not listed in the Third Schedule;"; and
(b) immediately after the definition "importation of
excise goods" thereof, there shall be added the following new
definitions:
" "independent small brewery" and "birrerija
indipendenti u żgħira" mean, for the purpose of reduced
rates, a brewery which is legally and economically
independent of any other brewery, which uses premises
situated physically apart from those of any other brewery
and does not operate under licence. However, where two
(2) or more small breweries cooperate, and their combined
annual production does not exceed two hundred thousand
(200,000) hectolitre, those breweries may be treated as a
single independent small brewery;
"independent small wine producer" and "produttur tal-
inbid indipendenti u żgħir" mean, for the purpose of reduced
rates, a wine producer which is legally and economically
independent of any other wine producer, which uses
premises situated physically apart from those of any other
wine producer and does not operate under licence. However,
where two (2) or more small wine producers cooperate, and
their combined annual production does not exceed one
thousand (1,000) hectolitre or twenty thousand (20,000)
hectolitre, as appropriate, those wine producers may be
treated as a single independent small wine producer;".
Amendment of 
article 16 of the 
principal Act.50.Article 16 of the principal Act shall be amended as follows:
(a) paragraph (i) of sub-article (1) thereof shall be
substituted by the following new paragraph:
''(i) makes or gives or submits or is instrumental in
the making or the giving of any declaration, document or
information to the Commissioner, which to his knowledge
is false in any detail:
Provided that a person who makes an incorrect
declaration and requests the Commissioner in writing to
VERŻJONI ELETTRONIKA
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amend it:
(i) before the Commissioner informs the
person that the particulars of the customs declaration
are not correct; and
(ii) (aa) during the period when it is not yet
established, in the systems relating to the processing
of customs declarations, whether manual or
electronic, if there is going to be control of the goods;
or
(bb) within ten (10) working days from
the date of release of the goods, which goods
were released without control; and
(iii) such amendment does not tend to make
the declaration applicable to other goods, other than
those which were originally declared, in the sense
that the only amendment that may take place in the
declaration is one (1) or more amendments from
those listed in the Ninth Schedule,
that person shall be deemed not to have committed the
offence under this paragraph; or'';
(b) paragraph (p) of sub-article (1) thereof, shall be
substituted by the following new paragraph:
"(p) stores and, or offers for sale containers of
alcohol or wine to which there is affixed an excise stamp
that was already affixed to another alcohol or wine
container;  or";
(c) immediately after paragraph (p) of sub-article (1)
thereof, there shall be added the following new paragraphs:
''(q) imports for the purpose of sale or stores for the
purpose of sale or prepares for the purpose of sale or offers
for sale or offers for free water-pipe tobacco (also known
as shisha tobacco) when not authorised as a registered
consignor, registered consignee or an authorised
warehouse keeper:
Provided that whoever shows that he has
acquired water-pipe tobacco from a registered consignor,
registered consignee or an authorised warehouse keeper
shall be deemed not to have committed a crime; or
VERŻJONI ELETTRONIKA
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(r) stores for the purpose of sale or prepares for the
purpose of sale or offers for the purpose of sale or offers
for free, water-pipe tobacco (also known as shisha tobacco)
while the tobacco is neither in its box, packet or container
with the band or stamp still affixed to it, nor is it in the
water-pipe itself; or
(s) is a wholesaler of tobacco, a distributor of
tobacco or is a first retail outlet of tobacco and is not
authorised or registered in the system of Track and Trace;
or
(t) imports or brings into Malta, or has in his
possession, or disposes of, tobacco which is not listed in the
Third Schedule, without the permission of the
Commissioner,'';
(d) immediately after the third proviso to sub-article (1)
thereof, there shall be added the following new proviso:
''Provided further that in the case of importation or
bringing into Malta or possession or disposal of tobacco that
is not listed in the Third Schedule, the offender shall be
liable, upon conviction, to a fine (multa) equivalent to twice
the value of the tobacco:'';
(e) in the fifth proviso to sub-article (1) thereof, the
words "two years" shall be substituted by the words "three (3)
years"; and
(f) immediately after sub-article (6) thereof, there shall
be added the following new sub-article:
''(7) Any person who negligently makes or gives or
submits or causes to be made or given any declaration,
document or information to a Customs official which is
false in any detail shall be liable, on conviction, for every
such offence, to a fine (multa) equivalent to three (3) times
the duty endangered, but not less than three-hundred and
fifty euro (€350):
Provided that a person who makes an incorrect
declaration and requests the Commissioner in writing to
amend it:
(i) before the Commissioner informs the
person that the particulars of the customs declaration
VERŻJONI ELETTRONIKA
A 394
are not correct; and
(ii) (aa) during the period when it is not yet
established, in the systems relating to the processing
of customs declarations, whether manual or
electronic, if there is going to be control of the goods;
or
(bb) within ten (10) working days from
the date of release of the goods, which goods
were released without control; and
(iii) such amendment does not tend to make
the declaration applicable to other goods, other than
those which were originally declared, in the sense
that the only amendment that may take place in the
declaration is one (1) or more amendments from
those listed in the Ninth Schedule,
that person shall be deemed not to have committed the
offence under this paragraph.''.
Amendment of 
article 16A of 
the principal 
Act. 51. Immediately after the second proviso to sub-article (1) of
article 16A of the principal Act, there shall be added the following new
proviso:
"Provided also that, when the goods in respect of which the
irregularity, mentioned in this article, has been committed, are
tobacco that is not listed in the Third Schedule, there shall be
paid a penalty equivalent to one per cent (1%) of the value of the
tobacco but not less than one-hundred euro (€100) and the
forfeiture contemplated in this article shall also take place:".
Amendment of 
article 17 of the 
principal Act. 52. Immediately after sub-article (6) of article 17 of the principal
Act, there shall be added the following new sub-article:
"(7) Notwithstanding the provisions of sub-article (1),
tobacco that is not listed in the Third Schedule that is imported or
brought into Malta or found in Malta without the permission of
the Commissioner shall be forfeited, together with all the other
objects that are found packed with, or, used in concealing it, and
sub-articles (2), (3), (4), (5) and (6) shall also apply to this case,
and the person who commits this offence shall also be liable to
the penalties established in article 16.".
Amendment of 
the Second 
Schedule to the 
principal Act.53.The Second Schedule to the principal Act shall be amended as
follows:
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(a) in the first column beneath the heading "Description
of excise goods" in the ti tle "Wine of Fresh Grapes" thereof,
items 1 and 2 shall be renumbered as items 2 and 3 respectively;
(b) in the first column beneath the heading "Description
of excise goods" in the title "Wine of Fresh Grapes" thereof,
immediately before item 2 as renumbered, there shall be added
the following new item: 
"1. If produced by independent small wine
producers which produce on average less than twenty-
thousand (20,000) hl of wine per year.";
(c) in the second column beneath the heading "Rate of
Excise Duty" in the title "Wine of Fresh Grapes" in line with the
row of item 1 thereof, there shall be added the words "the rate
established by an act of parliament or by regulations as applicable,
that shall have effect as of 1st January 2022 or after";
(d) in the first column beneath the heading "Description
of excise goods" in the title "Wine of Fresh Grapes" thereof, item
3 as renumbered, shall be substituted by the following:
"3. The term "sparkling wine" covers all products
falling within CN codes 2204 10, 2204 21 06, 2204 21 07,
2204 21 08, 2204 21 09, 2204 29 10 and 2205 which:
– are contained in bottles with "mushroom
stoppers" held in place by ties or fastenings, or they
have an excess pressure due to carbon dioxide in
solution of three (3) bar or more;
– have an actual alcoholic strength by volume
exceeding one point two per cent (1.2%) vol., but not
exceeding fifteen per cent (15%) vol., provided that
the alcohol contained in the finished product is
entirely of fermented origin.";
(e) in the first column beneath the heading "Description
of excise goods" in the title "Fermented Beverages" thereof,
immediately after item 2, there shall be added the following new
item:
"3. The term "other sparkling fermented
beverages" covers all products falling within CN codes
2206 00 31 and 2206 00 39 as well as products falling
within CN codes 2204 10, 2204 21 06, 2204 21 07, 2204 21
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08, 2204 21 09, 2204 29 10 and 2205 excluding still wine
and sparkling wine which:
– are contained in bottles with "mushroom
stoppers" held in place by ties or fastenings, or they
have an excess pressure due to carbon dioxide in
solution of three (3) bar or more;
– have an actual alcoholic strength by volume
exceeding one point two per cent (1.2%) vol., but not
exceeding thirteen per cent (13%) vol.;
– have an actual alcoholic strength by volume
exceeding thirteen per cent (13%) vol., but not
exceeding fifteen per cent (15%) vol., provided that
the alcohol contained in the product is entirely of
fermented origin.";
(f) in the first column beneath the heading "Description
of excise goods" in the title "Exemptions" thereof, sub-item (b)
of item (1), shall be substituted by the following:
"b. when used as part of the manufacturing process
of any product not for human consumption, provided the
alcohol has been denatured in accordance with the
requirements of any Member State for the given use.
This exemption shall apply when such denatured
alcohol:
– has been incorporated into the product not for
human consumption; or
– is used for maintenance and cleaning of the
manufacturing equipment used for this particular
manufacturing process;";
(g) in the first column beneath the heading "Description
of excise goods" in the title "Exemptions" thereof, sub-item (d)
of item (1), shall be substituted by the following:
"d. when used in the production of medicines
referred to in Directives 2001/82/EC and 2001/83/ EC;";
and
(h) in the first column beneath the heading "Description
of excise goods" in the title "Exemptions" thereof, in sub-item
(e) of item (2) the words "excise duty." shall be substituted by the
VERŻJONI ELETTRONIKA
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words "excise duty;" and immediately thereafter, there shall be
added the following new sub-item:
"f. in the manufacture of food supplements defined
by Directive 2002/46/EC of the European Parliament and
of the Council containing ethyl alcohol, if the unit packet
of the food supplement released for consumption does not
exceed 0,15 litres and food supplements are placed on the
market pursuant to Article 10 of Directive 2002/46/EC.".
Amendment of 
the Fourth 
Schedule to the 
principal Act. 54. In the first column beneath the heading "Description of excise
goods" in the title " Gas Oil falling within CN Codes 2710.19.31," of
the Fourth Schedule to the principal Act, the words "If used in the
following maritime commercial activity: - Inland Navigation between
Malta and Gozo by vessels of a tonnage of 3,500 tons or more If used
for electric power generation If used for fishing purposes as laid down
by Department of Fisheries If used by rescue vessels, or vessels which
render assistance for rescue purposes at sea", including the words and
digits that appear alongside them in the second column under the
heading "Rate of Excise Duty" shall be substituted by the following
new Table:
"
".
Amendment of 
the Sixth 
Schedule to the 
principal Act.55.The Sixth Schedule to the principal Act, shall be amended by
the following:
(a) regulation 13 of Part A thereof shall be amended by
the following:
(i) sub-regulation (6) thereof shall be substitutedIf used in the following maritime commercial
activity:
- Inland Navigation between Malta
and Gozo by vessels of a tonnage of 3,500
tons or more; 0
- Inland Navigation between Malta
and Gozo by vessels in line with Port Notice
No TM/PYD/PN/02/2021. 0
If used for electric power generation. 0
If used for fishing purposes as laid down by
Department of Fisheries. 0
If used by rescue vessels, or vessels which render
assistance for rescue purposes at sea. 0
VERŻJONI ELETTRONIKA
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by the following new sub-regulation:
"(6) The band, excise stamp, tag or band as
the case may be, shall be affixed to the excisable
good not later than five (5) days from when the band,
excise stamp, tag or band is purchased, except in the
case of bands, excise stamps, tag or band which
should be affixed by an authorised warehouse
keeper."; and
(ii) immediately after sub-regulation (6) thereof
there shall be added the following new sub-regulations:
"(7) (a) Every person who fails to affix the
band, excise stamp, tag or band within five (5) days
from when it is purchased, except for an authorised
warehouse keeper, shall be liable, on conviction, to a
fine (multa) of one-hundred euro (€100) and the
Court shall also order the forfeiture of the bands,
excise stamps, excise tags or bands that were not
affixed in the time frame given. In addition to this,
the forfeiture of the excise goods themselves shall
also take place according to law, as applicable.
(b) In the case of an irregularity
mentioned in paragraph (a), the Commissioner,
while he forfeits the bands, excise stamps,
excise tags or bands not affixed within the
given time, may, if the offender admits, refrain
from instituting proceedings in terms of this
Act and impose a penalty equivalent to one-
hundred euro (€100). In addition to this, the
forfeiture of the excise goods themselves shall
also take place according to law, as applicable.
(8) (a) Every authorised warehouse keeper
who takes out from the tax warehouse excise goods
on which the band, excise stamp, tag or band has not
been affixed according to law, shall be liable, on
conviction, to a fine ( multa) of one-hundred euro
(€100) and the Court shall also order the forfeiture of
bands, excise stamps, excise tags or bands that had to
be affixed to those goods. In addition to this, the
forfeiture of the excise goods themselves shall also
take place according to law, as applicable.
(b) In the case of an irregularity
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mentioned in paragraph (a), the Commissioner,
while he forfeits the bands, excise stamps,
excise tags or bands that had to be affixed to the
excise goods, may, if the offender admits,
refrain from instituting proceedings in terms of
this Act and impose a penalty equivalent to
one-hundred euro (€100). In addition to this,
the forfeiture of the excise goods themselves
shall also take place according to law, as
applicable. 
(9) (a) Every person who has in his
possession bands, excise stamps, excise tags or bands
that are not affixed after five (5) days from purchase
have elapsed, except in the case of an authorised
warehouse keeper, shall be liable, on conviction, to a
fine (multa) of two-hundred and fifty euro (€250) and
the Court shall order the forfeiture of these bands,
excise stamps, excise tags or bands. In addition to
this, the forfeiture of the excise goods themselves
shall also take place according to law, as applicable.
(b) In the case of an irregularity
mentioned in paragraph (a), the Commissioner,
while he forfeits the bands, excise stamps,
excise tags or bands that remained unaffixed,
may, if the offender admits, refrain from
instituting proceedings in terms of this Act and
impose a penalty equivalent to two-hundred
and fifty euro (€250). In addition to this, the
forfeiture of the excise goods themselves shall
also take place according to law, as
applicable.";
(b) sub-regulation (2) of regulation 17 of Part A thereof
shall be substituted by the following new sub-regulation:
"(2) Authorised warehouse keepers are exempt from
duty in respect of losses occurring under suspension
arrangements, which are attributable to fortuitous events or
force majeure established by the Commissioner, but they
are not exempt from duty on losses occurring under
suspension arrangements which are attributable to theft.
They are also exempt, under suspension arrangements,
from duty in respect of losses inherent in the nature of the
products during production or processing, storage and
transport. The Commissioner shall lay down the conditions
VERŻJONI ELETTRONIKA
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under which these exemptions shall be granted.";
(c) regulation 12 of Part B thereof shall be amended by
the following:
(i) sub-regulation (5) thereof shall be substituted
by the following new sub-regulation:
"(5) The band or excise stamp shall be affixed
to the container not later than five (5) days from
when it is purchased, except in the case of a band or
excise stamp which should be affixed by an
authorised warehouse keeper."; and
(ii) immediately after sub-regulation (5) thereof
there shall be added the following new sub-regulations:
"(6) (a) Any person who fails to affix a
band or excise stamp within five (5) days from when
it is purchased, except for an authorised warehouse
keeper, shall, on conviction, be liable to a fine
(multa) of one-hundred euro (€100) and the Court
shall also order the forfeiture of the bands or excise
stamps that were not affixed within the given time. In
addition to this, the forfeiture of ethyl alcohol itself
shall also take place according to the law, as
applicable.
(b) In the case of an irregularity
mentioned in paragraph (a), the Commissioner,
while he forfeits the bands or excise stamps not
affixed within the time given, may, if the
offender admits, refrain from instituting
proceedings in terms of this Act and impose a
penalty equivalent to one-hundred euro (€100).
In addition to this, the forfeiture of the ethyl
alcohol itself shall also take place according to
law, as applicable.
(7) (a) Every authorised tax warehouse
keeper who takes out of the tax warehouse ethyl
alcohol on which a band or excise stamp has not been
affixed according to law, shall, on conviction, be
liable to a fine ( multa) of one-hundred euro (€100)
and the Court shall also order the forfeiture of the
bands or excise stamps that had to be affixed to those
goods. In addition to this, the forfeiture of the ethyl
VERŻJONI ELETTRONIKA
A 401
alcohol itself shall also take place according to law,
as applicable.
(b) In the case of an irregularity
mentioned in paragraph (a), the Commissioner,
while he forfeits the bands or excise stamps
that had to be affixed to the ethyl alcohol, may,
if the offender admits, refrain from instituting
proceedings in terms of this Act and impose a
penalty equivalent to one-hundred euro (€100).
In addition to this, the forfeiture of the ethyl
alcohol itself shall also take place according to
the law, as applicable.
(8) (a) Every person who has in his
possession bands or excise stamps that are not
affixed after five (5) days from purchase have
elapsed, except in the case of an authorised
warehouse keeper, shall be liable, on conviction, to a
fine (multa) of two-hundred and fifty euro (€250) and
the Court shall order the forfeiture of those bands or
excise stamps. In addition to this, the forfeiture of the
ethyl alcohol itself shall also take place according to
law, as applicable.
(b) In the case of an irregularity
mentioned in paragraph (a), the Commissioner,
while he forfeits the bands or excise stamps
that remained unaffixed, may, if the offender
admits, refrain from instituting proceedings in
terms of this Act and impose a penalty
equivalent to two-hundred and fifty euro
(€250). In addition to this, the forfeiture of the
ethyl alcohol itself shall also take place
according to law, as applicable.";
(d) regulation 6 of Part C thereof shall be amended by
the following:
(i) sub-regulation (4) thereof shall be substituted
by the following new sub-regulation:
"(4) A band or excise stamp shall be affixed to
the packet not later than five (5) days from when it is
purchased except in the case of a band or excise
stamp that should be affixed by an authorised
warehouse keeper."; and
VERŻJONI ELETTRONIKA
A 402
(ii) immediately after sub-regulation (4) thereof
there shall be added the following new sub-regulations:
"(5) (a) Every person who fails to affix a
band or excise stamp within five (5) days from when
it is purchased, except for an authorised warehouse
keeper, shall, on conviction, be liable to a fine
(multa) of one-hundred euro (€100) and the Court
shall also order the forfeiture of the bands or excise
stamps that have not been affixed within the given
time. In addition to this, the forfeiture of the
cigarettes themselves shall also take place according
to law, as applicable.
(b) In the case of an irregularity
mentioned in paragraph (a), the Commissioner,
while he forfeits the bands or excise stamps not
affixed in the time given, may, if the offender
admits, refrain from instituting proceedings in
terms of this Act and impose a penalty
equivalent to one-hundred euro (€100). In
addition to this, the forfeiture of the cigarettes
themselves shall also take place according to
law, as applicable.
(6) (a) Every authorised warehouse keeper
who takes out of the tax warehouse cigarettes on
which a band or excise stamp was not affixed
according to law, shall, on conviction, be liable to a
fine (multa) of one-hundred euro (€100) and the
Court shall also order the forfeiture of the bands or
excise stamps that had to be affixed to those goods.
In addition to this, the forfeiture of the cigarettes
themselves shall also take place according to law, as
applicable.
(b) In the case of an irregularity
mentioned in paragraph (a), the Commissioner,
while he forfeits the bands or excise stamps
that had to be affixed to the cigarettes, may, if
the offender admits, refrain from instituting
proceedings in terms of this Act and impose a
penalty equivalent to one-hundred euro (€100).
In addition to this, the forfeiture of the
cigarettes themselves shall also take place
according to law, as applicable.
VERŻJONI ELETTRONIKA
A 403
(7) (a) Every person who has in his
possession bands or excise stamps that are not
affixed after five (5) days from purchase have
elapsed, except in the case of an authorised
warehouse keeper, shall be liable, on conviction, to a
fine (multa) of two-hundred and fifty euro (€250) and
the Court shall order the forfeiture of these bands or
excise stamps. In addition to this, the forfeiture of the
cigarettes themselves shall also take place according
to law, as applicable.
(b) In the case of an irregularity
mentioned in paragraph (a), the Commissioner,
while he forfeits the bands or excise stamps
that remained unaffixed, may, if the offender
admits, refrain from instituting proceedings in
terms of this Act and impose a penalty
equivalent to two-hundred and fifty euro
(€250). In addition to this, the forfeiture of the
cigarettes themselves shall also take place
according to law, as applicable.";
(e) regulation 7A of Part C thereof shall be substituted
by the following new regulation:
"7A. (1) No water-pipe tobacco (also known as
shisha tobacco) shall be imported for the purpose of sale,
stored for the purpose of sale, prepared for sale, offered for
sale or offered for free unless it is imported, stored,
prepared for sale, offered for sale or offered for free by a
registered consignor, registered consignee or authorised
warehouse keeper:
Provided that a person who shows that he
purchased water-pipe tobacco from a registered consignor,
registered consignee or authorised warehouse keeper shall
be deemed not to have violated this obligation.
(2) No water-pipe tobacco (also known as shisha
tobacco) shall be offered on the market unless the packet,
box or container that encloses the water-pipe tobacco
immediately inside it, has been sealed with a band or
excise stamp affixed as indicated by the Commissioner, in
such a way that destruction of the band or excise stamp is
ensured when the packet, box or container is opened.
(3) No water-pipe tobacco (also known as shisha
VERŻJONI ELETTRONIKA
A 404
tobacco) shall be stored for the purpose of sale, prepared
for the purpose of sale, offered for the purpose for sale or
offered for free unless it is in its packet, box or container
with the band or excise stamp still affixed to it, or within
the water-pipe itself.
(4) Those bands or excise stamps shall be issued by
the Commissioner against payment, as may be prescribed
by regulations issued under the Act, on application made to
him by the authorised warehouse keeper of water-pipe
tobacco.
(5) The bands or excise stamps shall be supplied at
the Custom House or at any other place to be appointed by
the Minister by means of a notice in the Gazette.
(6) The band or excise stamp shall be affixed to the
container not later than five (5) days from when it was
purchased, except in the case where the band or excise
stamp should be affixed by the authorised warehouse
keeper.
(7) (a) Every person who fails to affix the band
or excise stamp within five (5) days from when it is
purchased, except for an authorised warehouse keeper,
shall, on conviction, be liable to a fine ( multa) of one-
hundred euro (€100) and the Court shall also order the
forfeiture of the bands or excise stamps that have not been
affixed within the given time. In addition to this, the
forfeiture of the water-pipe tobacco itself shall also take
place according to the law, as applicable.
(b) In the case of an irregularity mentioned in
paragraph (a), the Commissioner, while he forfeits
the bands or excise stamps not affixed within the
given time, may, if the offender admits, refrain from
instituting proceedings in terms of this Act and
impose a penalty equivalent to one-hundred euro
(€100). In addition to this, the forfeiture of the water-
pipe tobacco itself shall also take place according to
law, as applicable.
(8) (a) Every authorised warehouse keeper who
takes out of the tax warehouse water-pipe tobacco on
which a band or excise stamp was not affixed according to
law, shall, on conviction, be liable to a fine ( multa) of one-
hundred euro (€100) and the Court shall also order the
VERŻJONI ELETTRONIKA
A 405
forfeiture of the bands or excise stamps that had to be
affixed to those goods. In addition to this, the forfeiture of
the water-pipe tobacco itself shall also take place according
to law, as applicable.
(b) In the case of an irregularity mentioned in
paragraph (a), the Commissioner, while he forfeits
the bands or excise stamps that had to be affixed to
the water-pipe tobacco, may, if the offender admits,
refrain from instituting proceedings in terms of this
Act and impose a penalty equivalent to one-hundred
euro (€100). In addition to this, the forfeiture of the
water-pipe tobacco itself shall also take place
according to law, as applicable.
(9) (a) Every person who has in his possession
bands or excise stamps that are not affixed after five (5)
days from purchase have elapsed, except in the case of an
authorised warehouse keeper, shall be liable, on
conviction, to a fine ( multa) of two-hundred and fifty euro
(€250) and the Court shall order the forfeiture of these
bands or excise stamps. In addition to this, the forfeiture of
the water-pipe tobacco itself shall also take place according
to law, as applicable.
(b) In the case of an irregularity mentioned in
paragraph (a), the Commissioner, while he forfeits
the bands or excise stamps that remained unaffixed,
may, if the offender admits, refrain from instituting
proceedings in terms of this Act and impose a penalty
equivalent to two-hundred and fifty euro (€250). In
addition to this, the forfeiture of the water-pipe
tobacco itself shall also take place according to law,
as applicable.
(10) Any quantity whatsoever of water-pipe tobacco
which is found in the possession of any person in
contravention of the provisions of these regulations shall,
without prejudice to any other penalty provided for in the
Act or in any other law, be forfeited in favour of
Government.";
(f) regulation 11A of Part C thereof shall be substituted
by the following new regulation:
"11A. (1) Every tobacco manufacturer, tobacco
importer, tobacco wholesaler, distributor of tobacco and
VERŻJONI ELETTRONIKA
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first retail outlet of tobacco shall apply to be registered or
authorised in the Track and Trace system established by
the laws of the European Union and shall abide by the rules
and practices of the system.
(2) Every tobacco manufacturer and tobacco
importer shall abide by the rules and practices of the Track
and Trace system and this as one of the conditions for the
authorisation as an authorised warehouse keeper and as a
tax warehouse issued to him by the Commissioner, and in
the absence of registration or authorisation in the Track
and Trace system or in case of non-compliance with the
rules and practices of the system, they shall be deemed to
have infringed the conditions of a tax warehouse and of an
authorised warehouse keeper.
(3) (a) The Commissioner shall cancel the
registration or authorisation in the Track and Trace system
of every tobacco wholesaler, distributor of tobacco and
first retail outlet of tobacco, who irregularly operates
outside the Track and Trace system, removes tobacco from
the Track and Trace system or deceives the Track and
Trace system, and this without prejudice to any other
action which may be taken under this Act or under any
other law.
(b) This registration or authorisation shall
remain cancelled for a period of one (1) year from the
date of the irregularity in the case of the first
irregularity, and for a period of three (3) years from
the second irregularity in the case of the second
irregularity, and for a period of six (6) years from the
third irregularity in the case of the third irregularity,
after which periods there needs to be a new
application for registration or authorisation. In the
case of the fourth irregularity or more, the person
shall not be allowed to apply again.";
(g) regulation 16A of Part D thereof shall be amended by
the following:
(i) sub-regulations (4) and (5) thereof shall be
substituted by the following new sub-regulations:
"(4) The band or stamp shall be affixed to the
container not later than five (5) days from when it is
purchased, except in the case where the band or
VERŻJONI ELETTRONIKA
A 407
excise stamp should be affixed by an authorised
warehouse keeper.
(5) (a) Every person who fails to affix the
band or excise stamp within five (5) days from when
it is purchased, except for an authorised warehouse
keeper, shall, on conviction, be liable to a fine
(multa) of one-hundred euro (€100) and the Court
shall also order the forfeiture of the bands or excise
stamps that have not been affixed within the given
time. In addition to this, the forfeiture of the products
mentioned in Part B of the Fourth Schedule shall also
take place according to the law, as applicable.
(b) In the case of an irregularity
mentioned in paragraph (a), the Commissioner,
while he forfeits the bands or excise stamps not
affixed within the given time, may, if the
offender admits, refrain from instituting
proceedings in terms of this Act and impose a
penalty equivalent to one-hundred euro (€100).
In addition to this, the forfeiture of the products
mentioned in Part B of the Fourth Schedule
themselves shall also take place according to
law, as applicable."; and
(ii) immediately after sub-regulation (5) thereof
there shall be added the following new sub-regulations:
"(6) (a) Every authorised warehouse keeper
who takes out of the tax warehouse products
mentioned in Part B of the Fourth Schedule on which
a band or excise stamp was not affixed according to
law, shall, on conviction, be liable to a fine ( multa) of
one-hundred euro (€100) and the Court shall also
order the forfeiture of the bands or excise stamps that
had to be affixed to those goods. In addition to this,
the forfeiture of the products mentioned in Part B of
the Fourth Schedule shall also take place according
to law, as applicable.
(b) In the case of an irregularity
mentioned in paragraph (a), the Commissioner,
while he forfeits the bands or excise stamps
that had to be affixed to the products mentioned
in Part B of the Fourth Schedule, may, if the
offender admits, refrain from instituting
VERŻJONI ELETTRONIKA
A 408
proceedings in terms of this Act and impose a
penalty equivalent to one-hundred euro (€100).
In addition to this, the forfeiture of the products
mentioned in Part B of the Fourth Schedule
themselves shall also take place according to
law, as applicable.
(7) (a) Every person who has in his
possession bands or excise stamps that are not
affixed after five (5) days from purchase have
elapsed, except in the case of an authorised
warehouse keeper, shall be liable, on conviction, to a
fine (multa) of two-hundred and fifty euro (€250) and
the Court shall order the forfeiture of these bands or
excise stamps. In addition to this, the forfeiture of the
products mentioned in Part B of the Fourth Schedule
themselves shall also take place according to law, as
applicable.
(b) In the case of an irregularity
mentioned in paragraph (a), the Commissioner,
while he forfeits the bands or excise stamps
that remained unaffixed, may, if the offender
admits, refrain from instituting proceedings in
terms of this Act and impose a penalty
equivalent to two-hundred and fifty euro
(€250). In addition to this, the forfeiture of the
products mentioned in Part B of the Fourth
Schedule themselves shall also take place
according to law, as applicable.
(8) Any quantity of the products mentioned
in Part B of the Fourth Schedule which is found in
the possession of any person in contravention of the
provisions of these regulations shall, without
prejudice to any other penalty provided in the Act or
in any other law, be forfeited in favour of
Government.";
(h) immediately after regulation 7 of Part II of Part E
thereof there shall be added the following new regulation:
"7A. (1) Subject to such conditions that shall be
established to ensure the simplified application of rules for
an independent and small brewery, after he makes such a
request to the Commissioner, the authorised warehouse
keeper shall be provided with an annual certificate as an
VERŻJONI ELETTRONIKA
A 409
independent and small brewery established in Malta and it
confirms its total annual production, as applicable, and
confirming the independent and small brewery’s
conformity to the relevant criteria, as applicable. The
administrative document for the movement of beer under
regulation 12 of Part A of the Sixth Schedule or the
customs document for release of beer for consumption
shall refer to this certificate mentioned in this sub-
regulation.
(2) Notwithstanding that provided in sub-
regulation (1), and under certain conditions that may be
established by the Commissioner with the intent to ensure
the correct and simple application of this regulation and for
the prevention of evasion of any kind, avoidance or abuse,
authorised warehouse keepers may certify themselves in
writing to the Commissioner that they are an independent
and small brewery established in Malta and portray their
conformity to the relevant criteria, as applicable, and their
relevant total annual production.
(3) The Commissioner shall, under the conditions
which he shall establish with the scope of ensuring the
correct and simple application of this regulation, and for
the prevention of any evasion, avoidance or abuse,
recognise the certificate of an independent and small
brewery mentioned in this regulation that is issued by
another Member State, except in justified circumstances as
deemed fit.";
(i) immediately after regulation 5 of Part F thereof there
shall be added the following new regulation:
"5A. (1) Subject to such conditions that shall be
established to ensure the simplified application of rules for
an independent and small wine producer, the authorised
warehouse keeper shall, after he makes such a request to
the Commissioner, be provided with an annual certificate
as an independent and small wine producer established in
Malta and which confirms its total annual production, as
applicable, and confirming the independent and small wine
producer’s conformity to the relevant criteria, as
applicable. The administrative document for the movement
of wine under regulation 12 of Part A of the Sixth Schedule
or the customs document for release of consumption of
wine shall refer to the certificate mentioned in this
regulation.
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(2) Notwithstanding the provisions of sub-
regulation (1), and under certain conditions that may be
established by the Commissioner with the intent to ensure
the correct and simple application of this regulation and for
the prevention of any evasion, avoidance or abuse,
authorised warehouse keepers may themselves certify in
writing to the Commissioner that they are an independent
and small wine producer established in Malta and portray
their conformity to the relevant criteria, as applicable, and
their relevant total annual production.
(3) The Commissioner shall, under the conditions
which he shall establish with the scope of ensuring the
correct and simple application of this regulation, and for
the prevention of any evasion, avoidance or abuse,
recognise the certificate of an independent and small wine
producer mentioned in this regulation that is issued by
another Member State, except in justified circumstances as
deemed fit."; and
(j) regulation 12 of Part F thereof shall be amended by
the following:
(i) sub-regulation (4) thereof shall be substituted
by the following new sub-regulation:
"(4) The band or excise stamp shall be affixed
to the container not later than five (5) days from
when it is purchased, except where the band or excise
stamp should be affixed by an authorised warehouse
keeper."; and
(ii) immediately after sub-regulation (4) thereof
there shall be added the following new sub-regulations:
"(5) (a) Every person who fails to affix the
band or excise stamp within five (5) days from when
it is purchased, except for an authorised warehouse
keeper, shall, on conviction, be liable to a fine
(multa) of one-hundred euro (€100) and the Court
shall also order the forfeiture of the bands or excise
stamps that have not been affixed within the given
time. In addition to this, the forfeiture of the wine
itself shall also take place according to law, as
applicable.
(b) In the case of an irregularity
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mentioned in paragraph (a), the Commissioner,
while he forfeits the bands or excise stamps not
affixed within the given time, may, if the
offender admits, refrain from instituting
proceedings in terms of this Act and impose a
penalty equivalent to one-hundred euro (€100).
In addition to this, the forfeiture of the wine
itself shall also take place according to law, as
applicable.
(6) (a) Every authorised warehouse keeper
who takes out of the tax warehouse wine on which a
band or excise stamp was not affixed according to
law, shall, on conviction, be liable to a fine ( multa) of
one-hundred euro (€100) and the Court shall also
order the forfeiture of the bands or excise stamps that
had to be affixed to those goods. In addition to this,
the forfeiture of the wine itself shall also take place
according to law, as applicable.
(b) In the case of an irregularity
mentioned in paragraph (a), the Commissioner,
while he forfeits the bands or excise stamps
that had to be affixed to the wine, may, if the
offender admits, refrain from instituting
proceedings in terms of this Act and impose a
penalty equivalent to one-hundred euro (€100).
In addition to this, the forfeiture of the wine
itself shall also take place according to law, as
applicable.
(7) (a) Every person who has in his
possession bands or excise stamps that are not
affixed after five (5) days from purchase have
elapsed, except in the case of an authorised
warehouse keeper, shall be liable, on conviction, to a
fine (multa) of two-hundred and fifty euro (€250) and
the Court shall order the forfeiture of these bands or
excise stamps. In addition to this, the forfeiture of the
wine itself shall also take place according to law, as
applicable.
(b) In the case of an irregularity
mentioned in paragraph (a), the Commissioner,
while he forfeits the bands or excise stamps
that remained unaffixed, may, if the offender
admits, refrain from instituting proceedings in
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terms of this Act and impose a penalty
equivalent to two-hundred and fifty euro
(€250). In addition to this, the forfeiture of the
wine itself shall also take place according to
law, as applicable.".
Addition of new 
Ninth Schedule 
to the principal 
Act.56. Immediately after the Eighth Schedule to the principal Act
there shall be added the following new Schedule:
"NINTH SCHEDULE
(Article 16)
The amendments that may be made in the declaration, as
provided in paragraph (iii) of the proviso to paragraph (i) of sub-
article (1) of article 16 and in paragraph (iii) of the proviso to
sub-article (7) of article 16, are only those which amend:
1. The origin of the good.
2. The freight of the good.
3. The constituent material of the good.
4. The insurance of the good.
Any other amendment in the declaration shall be deemed to tend
to make the declaration applicable to other goods, other than
those originally declared.".
PART IX
AMENDMENTS TO THE ARBITER FOR FINANCIAL SERVICES 
ACT
Amendments to 
the Arbiter for 
Financial 
Services Act.
Cap. 555.57. This Part amends the Arbiter for Financial Services Act and it
shall be read and construed as one with the Arbiter for Financial
Services Act, hereinafter in this Part referred to as "the principal Act".
Amendment of 
article 2 of the 
principal Act.58. The definition "financial services provider" of article 2 of the
principal Act shall be amended by the following:
(a) the words "including but not restricted to investment
services," shall be substituted by the words "and is related to
investment services,"; and
(b) the words "pensions and insurance," shall be
substituted by the words "pensions, insurance" and immediately
thereafter there shall be added the words "and any other service
which in the opinion of the Arbiter constitutes a financial
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service,".
Amendment of 
article 21 of the 
principal Act.59. In paragraph (a) of sub-article (2) of article 21 of the principal
Act, immediately after the words "before a court or tribunal" there shall
be added the words "or is or has been the subject of a complaint lodged
with an ADR entity in any other jurisdiction,".
PART X
AMENDMENTS TO SUBSIDIARY LEGISLATION
Amendments to 
Subsidiary 
Legislation.60. This Part amends various subsidiary legislation and it shall be
read and construed as one with the subsidiary legislation it amends.
Amendment of 
the Customs 
Regulations.
S.L. 37.05.61. The Customs Regulations shall be amended by the following:
(a) immediately after regulation 45 thereof there shall be
added the following new regulation:
(b) immediately after paragraph numbered 7 of the First
Schedule thereof there shall be added the following new
paragraph:
"8. Fuel Wharf.".
The provisions of paragraph (b) above shall come into
force on such date or dates as the Minister responsible for
customs may establish by notice in the Gazette.
Amendment of 
the Cash 
Control 
Regulations.
S.L. 233.07.62. The Cash Control Regulations shall be amended by the
following:
(a) regulation 2 thereof shall be amended by the
following:
(i) immediately after the definition "Act" thereof
there shall be added the following new definition:
" "bearer-negotiable instruments" means
instruments other than currency which entitle their"Measures that 
may be taken if 
the payment of 
the service of 
attendance of a 
Customs officer 
remains unpaid.45A. If the payment for the service of
attendance of a Customs official remains unpaid
after notification is sent by registered post in the
last known address in Malta, the Commissioner
may take those necessary administrative and
procedural measures so that payment is effected,
including not giving any Customs service to the
debtor until payment is effected."; and
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holders to claim a financial amount upon
presentation of the instruments without having to
prove their identity or entitlement to that amount.
Those instruments are:
(i) traveller’s cheques; and
(ii) cheques, promissory notes or
money orders that are either in bearer form,
signed but with the payee’s name omitted,
endorsed without restriction, made out to a
fictitious payee, or otherwise in such form that
title thereto passes upon their delivery;";
(ii) the definition "cash" thereof shall be
substituted by the following new definition:
" "cash" means:
(i) currency;
(ii) bearer-negotiable instruments;
(iii) commodities used as highly-liquid
stores of value;";
(iii) immediately after the definition
"Commissioner" thereof there shall be added the following
new definition:
" "commodities used as highly-liquid stores of
value" means a good that presents a high ratio
between its value and its volume and that may easily
be converted into currency through accessible trading
markets while incurring only modest transaction
costs. These goods are:
(a) coins with a gold content of at least
ninety per-cent (90%); and
(b) bullion such as bars, nuggets or
clumps with a gold content of at least ninety-
nine point five per-cent (99.5%);"; and
(iv) immediately after the definition "competent
authorities" thereof there shall be added the following new
definition:
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" "currency" means banknotes and coins that
are in circulation as a medium of exchange or that
have been in circulation as a medium of exchange
and it is still possible for them to be exchanged
through financial institutions or central banks for
banknotes and coins that are in circulation as a
medium of exchange;"; and
(b) immediately after regulation 6 thereof there shall be
added the following new regulation:
"7. The Court shall authorise that a cheque that was
held by the Commissioner under these regulations is cashed
by a person different from the one it is addressed to, so that
it may be disposed of in accordance with the provisions of
these regulations. The Court may also give those other
required provisions, so that it gives effect to these
regulations.".
Passed by the House of Representatives at Sitting No. 448 of the
14th April, 2021.
ANĠLU FARRUGIA
Speaker
RAYMOND SCICLUNA
Clerk of the House of Representatives
VERŻJONI ELETTRONIKA
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