Updated on May 13, 2022
Who is liable to register for VAT?
You are a taxable person if you engage in any kind of economic activity, regardless of the outcome or extent of that activity. Article 10 of the VAT Regulations states that you must register for VAT in most cases. To qualify for an exemption, your yearly turnover must fall below the specified threshold (as shown in the table below).
Non-Maltese residents who are responsible for VAT on supplies that are presumed to have taken place in Malta may also be required to file an application to register for VAT in Malta.
What is an economic activity?
Any trade, business, profession, or vocation, and the provision of any personal services; the exploitation of tangible or intangible property for the purpose of obtaining income there from on a continuous basis; and/or the provision by a club, association, or orga
As long as the First Schedule of VAT Act is followed, the acts of a governmental authority that assumes law-enforced duties are not considered to be economic activities, unless such treatment as non-taxable individuals would cause severe distortions in competition.
Under what registration type should you register?
The following are the three types of VAT registrations: You must register for VAT under article 10 if your annual turnover exceeds the defined exempt threshold below and if you are supplying goods or services, and if you are eligible to recover back the VAT you incur as part of your taxable activity.
You’d get a VAT number with the prefix “MT” for someone who’d been registered under Article 10.
Normally submit a VAT return for a tax period of three months by the not later than six weeks following the end of the tax period, or as instructed by the Commissioner, by submitting fiscal receipts or tax invoices, as the case may be.
You can register for VAT under article 11 if you are selling goods or services and your yearly turnover does not exceed the set level. As a result, you can’t charge VAT on your goods or get a refund for VAT you paid out in the course of your business. Article 10 of the VAT regulations allows businesses to claim a deduction for VAT incurred in the normal course of business by registering for VAT and charging VAT. Article 10 requires that you remain under it for a minimum of 36 months if you choose this option. You can only register under article 11 once that period has passed, and only if the exit threshold is not surpassed.
If a person is registered under Article 11, they will receive a tax identification number without the MT prefix, be required to issue fiscal receipts for all of their purchases and be required to submit a declaration (simplified tax return) at the end of each calendar year by the following year’s 15th March.
Article 12 of the VAT Act requires you to register for VAT and pay VAT in Malta each time you make an intra-community purchase if you are a non-taxable legal person or a taxable person not registered under article 10 of the VAT Act.
A valid identity number is required in order to conduct Intra-Community Purchases in Malta and pay VAT on them if you are registered under Article 11 as an exempt taxable person. You must also be registered under Article 12 in order to qualify for this arrangement.
What are the entry and exit thresholds?
An exempt person’s annual turnover must fall below a certain threshold in order for them to be excluded from the registration requirements of article 11. (see above). You must meet this criteria if your primary activity is the supply of goods or other activities. In the event that a person registered under Article 10 wishes to switch to Article 11, the exit threshold is applied (exempt). Those whose primary source of income is through the provision of service fall under this category.
The following is a breakdown of the various thresholds:
Activity in the economy
Threshold for Entry
Limit of Exit
€35,000 €28,000 of economic activity based primarily on the supply of products
€30,000 €24,000 in other business operations
It is necessary to consider the entire value of all the supplies made by a person who is registered under Article 11 when determining the applicable threshold for goods and services.
Total sales minus exempt without credit supplies, transfer of business as going concern, sale of fixed assets, and supplies given to the business and presumed to be made by the business under the reverse charge rules are included in the turnover of a business..
In order to ensure that all economic activities fall within the same category, the Department sets the thresholds for each one.
What documents do I need to register for VAT?
When registering a Limited Liability Company, a copy of the applicant’s I.D. Card/Passport, or the authorised person endowed with legal representation, must be provided. Copy of the Memorandum and Articles of Association are required for a Limited Liability Company (LLC) and/or a Registered Partnership (RP).
How can I register for VAT?
In order to register for VAT, businesses must use CFR Registrations Online Services to complete the process online. CFR Online Services can only be accessed with a Maltese e-ID.
However, if a person is unable to obtain an e-ID, he or she will be permitted access. Please follow this advice in such instances.
When and how often do I need to submit a VAT Declaration / Return?
The type of registration a person has has an impact on this.
Article 10: VAT Registration: The Commissioner for Revenue must receive a VAT Return for each VAT period within one month and fifteen days after the end of that VAT period. A person who is registered under Article 10 of the VAT Code is normally granted a three-month VAT period. Exceptions are made for tax periods that are less than three months in length or longer than three months in length. If the value of sales does not reach the ‘Exit Threshold’ stipulated in the 6th Schedule to the VAT Act, a 12-month VAT term applies. The Commissioner for Revenue may also apply monthly VAT periods at his or her discretion.
The Commissioner for Revenue must receive a periodical declaration covering a 12-month calendar period by 1 month and 15 days after the end of the calendar year.
Within 15 days of the month in which the acquisition takes place, those who are required to charge Malta VAT on intracommunity purchases of goods will submit a VAT registration form under Article 12 to the Commissioner for Revenue. By no later than 1 month and 15 days after the month in which the service is received, the Commissioner for Revenue must obtain a declaration from the person responsible to self-charge VAT in Malta (or the month when a tax invoice is issued, if such invoice is issued within 15 days from the end of the month in which the service is received).
As a reminder, this information should not be construed as legal advice, but rather as general advise.
How long does the process for VAT Declaration / Return take to complete online?
VAT Declaration/Return takes about 15 minutes to do electronically.
The rules for VAT refunds to taxable individuals who are not based in the Member State of the refund but who are established in another Member State can be found here..
How long does it take for the VAT Department to complete your VAT Declaration / Return submission?
A maximum of 90 working days is allowed for the screening and processing of the submission. It is your responsibility to get any owed refunds on time. If this does not happen, you will be charged interest at a rate of 0.33 percent per month (S.L. 406.19).
How long does the process for the VAT Refund (8th Directive) take to complete online?
The VAT Refund (8th Directive) computerised process takes about 20 minutes to complete.
How long does it take for the VAT Department to complete your VAT Refund (8th Directive) submission?
A maximum of four months is allotted for the screening and processing of the submission. INTEREST OF 0.33% PER MONTH WILL BE CHARGED IF YOU DO NOT RECEIVE YOUR REFUND IN TIME.
When is a registered person obliged to inform the VAT Department of his change of status from an exempt to a non-exempt classification?
Your obligation to notify the Department once it becomes clear that your business has crossed over to the exempt status is to notify the Department as soon as it becomes clear that your business has crossed the threshold.
The annual turnover for the past twelve months can be calculated at the end of each quarter. The Department must be notified within thirty days after an event that results in a VAT overpayment, and the VAT must be collected as soon as the time expires.
I am adding another activity with the one I already had. Do I have to apply for registration again?
Using the same VAT number for the new activity if you already have a VAT number for previous commercial operations is a good idea. Any changes to your company’s business activities must be reported to our office in writing, however.
A new registration number would be necessary if the new business activity were to be carried out by a new limited liability company formed specifically for this purpose.
I have opened a new branch of my business in a different locality. Can I use the same VAT number or do I have to apply for registration again?
There is no need to re-register. Despite the fact that you will continue to use the same VAT number, you must notify the Department of this change, including all relevant information such as the new branch’s name and address, an increase in the number of employees, and a projection of your company’s expected rise in revenue.
I intend to retire from doing business. Can I pass on the business to my son or sell the business to somebody else together with the VAT registration number?
It is mandatory for sole traders to deregister their business while a new VAT registration application is prepared by their son or any other individual who takes over their business.
Transferring limited liability companies must be done through the Malta Financial Services Authority (MFSA) and must be reported to the VAT Department via a certified copy of the company’s memorandums.
What shall I do if I need to de-register from VAT?
Call the Customer Care Unit of the Department and fill out the appropriate form to de-register from VAT. De-registration applications cannot be completed unless all VAT returns and payments are current and any outstanding issues with the Department have been resolved.
It’s important to remember that if you’re listed as non-exempt (per article 10), you’re presumed to have transferred all of your company’s remaining assets to yourself as soon as your registration was revoked. As a result, you will need to account for the VAT on your last VAT return for this.
I have applied for de-registration but to date I am still receiving VAT forms and monthly balance statements. What should I do?
You must resolve any outstanding issues with the Department before your de-registration can be completed. Please call the Customer Care Section of the Department during office hours if you continue to receive VAT forms and monthly balance statements despite having applied for de-registration. You’ll be guided by department officials.
De-registration will be completed once all outstanding issues have been resolved, including payment of any outstanding sums owing to the Department.
I was de-registered from VAT but now I intend to re-start the same activity. What should I do?
Reactivating your VAT number requires that you notify the Department in writing of this request. Include your VAT registration number and your identity card number in your letter.
What is input and output tax?
Businesses pay input tax when they buy goods and services from other businesses in the course of their work. The VAT charged by a business when it supplies its own goods or services to its customers is known as output tax.
What is taxable and what is exempt?
The typical VAT rate in Malta is 18%, which means that most goods and services are subject to tax.
There are some items and services that have a reduced tax rate, such as 7% or 5% or 0%.
Accommodation in a hotel or guest house; Accommodation in any premises, when for the purpose of the accommodation, it is required that the premises be licenced in provisions of the Malta Travel and Tourism Act; Use of sporting facilities.
Electricity, confectionery, medical accessories, printed matter, and certain items for the disabled are all taxable at 5%.
Food for human consumption, pharmaceutical products, scheduled bus service (tal-linja), domestic inter-island sea passenger transport, and international passenger transport are all exempt from VAT and can be claimed back by the registered person who provided the supply. Other supplies that are exempt from VAT include: This is not a comprehensive list, so you should consult the VAT legislation.)
Suppliers who do not charge VAT on the supply’s value are exempt without credit, which means they are not eligible to recover back input VAT cost in providing that supply. Suppliers aren’t needed to register with the Department in this situation.
Water supply by a Public Authority Supply of structures and land Supply of Health and Welfare services Supply of Insurance and Financial services
Immovable property leasing is generally exempt from credit requirements, with the following exceptions:
any hotel, guest house, or similar institution, or any holiday camp or camping site may be rented out for the purpose of lodging (at 7 percent )
Under the Malta Travel and Tourism Act, vacation flats must be licenced if they are to be rented out (at 7 percent )
o The leasing of real estate by a limited liability company to a registered individual in support of that individual’s business activities (at 18 percent )
However, this material is not meant to be a substitute for the applicable provisions of VAT law.) This is not a comprehensive list, so you should consult the VAT legislation.)
How can I calculate the amount I should charge VAT on?
The taxable value of a supply is established in accordance with the Seventh Schedule to the VAT Act. For the most part, the taxable value of a supply is equal to the value received or receivable by the supplier in exchange for making a supply for a client. In addition to any subsidies that are directly related to the supply, VAT is not included.
To calculate the taxable value of a supply you must include any taxes, tariffs, levies, and other fees associated with that supply, as well as any incidental expenditures the supplier bills the buyer for, such as commissions, packaging, transportation, and insurance.
Early-payment discounts, refunds, and other forms of price reduction are not included in the taxable value of goods and services.
• Late-payment fees and interest
d) certain payments made in the customer’s name and on their behalf
deposit on returnable packing where the deposit is less than the packing’s actual value.
Payment in kind, or where the value of payment for a supply cannot be determined, the open market value of that supply shall be used to determine the portion of the taxable value of that supply that cannot be determined. A good or service’s open market value is the amount that the underlying good or service would have sold for in the open market at the time of delivery or performance.
As a reminder, this information should not be construed as legal advice, but rather as general advise.
What happens when an activity changes from taxable or exempt with credit to exempt without credit?
Taxable or exempt with credit operations can no longer be used as a basis for inputting VAT, thus some of the input VAT claimed must be returned to the Department through an adjustment in their tax return, if necessary. For immovable property, this adjustment should be performed within twenty years, and for any other property, within five years.
As an example, the Department will have to return some of the input VAT that was claimed if a hotel is converted into an elderly people’s home (exempt without credit). With respect to real estate this should be worked up as a twenty-year percentage, meaning that half of the original input VAT claimed is to be returned when the shift in economic activity takes place after ten years of operation.
If services are deemed to be made outside Malta should they be accounted for in the VAT return?
It is necessary to evaluate whether or not input tax paid on supplies made outside of Malta would be recognised as taxable or exempt with credit supplies if such supplies had been made in Malta.
Accordingly, the value of these goods must be included in the VAT return as credit supplies.
They must be included in the VAT return as exempt without credit supplie if there is no right to claim back input tax.
What items and services qualify for credit/refund of Input VAT?
Those who are VAT registered under article 10 (i.e., those who have not opted to be classified as exempt persons) are entitled to claim back so much of the input tax as is attributable to taxable supply, exempt with credit supply, supply outside of Malta which, had these been made in Malta, would have been classified as taxable supply or credit supply, and supply outside Malta which are exempt without credit in terms of Maltese VAT legislation
Using either the direct or partial attribution technique, input VAT would have to be apportioned if the registered person’s economic activity consisted of taxable/exempt with credit supplies and exempt without credit supplies.
The Commissioner has the authority to determine the percentage of attribution if the above approaches fail to produce a fair and reasonable result.
Legislation, however, prevents a business from reclaiming input VAT paid on specific suppliers, even if the VAT was paid on business-related expenses.
On which items is Input VAT blocked and therefore cannot be claimed?
If you’re an exempt person, you can’t claim back the VAT you paid on purchases related to your business. Exempt individuals include insurance firms, educational institutions, and health and social services.
A registered person cannot claim input VAT on the following purchases, even if they were made in the course of their business. These purchases include:
Not for resale: Tobacco, or any tobacco products
Unless purchased for resale, alcoholic beverages are not permitted.
Paintings, drawings and pastels, other than hand-painted or hand-decorated manufactured articles; original engravings, prints and lithographs; original sculptures and statuary, in any material; antiques of an age exceeding one hundred years; collections and collectors’ pieces of zoological, botanical, mineral, anatomical, historical, archaeological and ethnographic interest; unless purchased by the buyer,
Without a charter or hiring arrangement, the acquisition of a vehicle that can be used to transport goods or passengers must be exempt from the definition of a “automobile” under the definition of “vehicle” in this section.
Vehicle repair, maintenance, and storage products and services, as well as the fuel utilised in these vehicles.
a lessee’s lease of a car, including fuel VAT
Receptions, entertainment, or hospitality are defined as any goods and services that are used in providing transportation or entertainment to employees of a person other than if the transportation is provided on vehicles with at least seven seats.
I am a retailer. Am I entitled to a refund of VAT I paid on commercial vehicles and fuel?
True if the vehicle is utilised for commercial purposes and is owned and operated by you. You may still be able to claim input VAT on your car purchase, but only if the Department verifies and assesses such variables as: the ratio of “business” to “personal” use; your claimed turnover vs. capital expenditure; and your necessity for the vehicle in relation to your sort of economic activity.
Tax law defines commercial vehicles as vehicles that are built primarily for the transportation of products, have seats next to the driver, and are not typically suited for the transportation of passengers.
Are doctors, accountants and other professionals entitled to a refund of VAT paid on vehicles and fuel?
As a result, doctors are exempt from VAT and are unable to claim any credit for the input tax they incur in the provision of medical services.
VAT paid on the purchase of a car and fuel cannot be reclaimed by accountants and other professionals.
What is the difference between a Tax Invoice and a Fiscal Receipt?
When a person registered under Article 10 makes a supply to another registered person, a tax invoice must be issued.
When a registered person makes a supply to a non-registered person, a fiscal receipt must be supplied.
This information should be included on a tax invoice issued by a registered individual who has not been designated as an exempt individual.
· the date of issue; · a sequential number, based on one or more series, which uniquely identifies the invoice; · the name and address of the supplier and the VAT identification number under which he made the supply; · the name and address of the person to whom the supply is made and the VAT identification number under which the customer acquired the goods or services supplied to him; · the quantity and nature of the goods supplied or the extent and nature of the services rendered; · the date on which the supply was made or completed or the date on which a payment on account of the supply was made insofar as that date can be determined and differs from the date of issue of the invoice; · the taxable value per rate or exemption, the unit price exclusive of tax and any discounts or rebates if they are not included in the unit price; · the VAT rate applied; · the VAT amount payable, except where a special arrangement is applied; · where the person liable for payment of VAT is a tax representative in another Member State, the VAT identification number of that tax representative, together with his full name and address; · where the VAT becomes chargeable at the time when the payment is received, the mention “Cash accounting”; · where the customer receiving a supply issues the invoice instead of the supplier, the mention “Self-billing”; · where a tax invoice refers to supplies on which no tax is chargeable, it shall indicate a brief reference to the relevant provisions of the VAT Act, or the appropriate provisions of Council Directive 2006/112/EC, or any other indication on the grounds of which no tax is chargeable; · where the customer is liable for the payment of the VAT, the mention “Reverse charge”; · where the margin scheme for travel agents is applied, the mention “Margin scheme – Travel agents”; · where one of the special arrangements applicable to second-hand goods, works of art, collectors’ items and antiques is applied, the mention “Margin scheme – Second-hand goods”; “Margin scheme – Works of art” or “Margin scheme – Collector’s items and antiques” respectively; · in an invoice for the intra-Community supply of a new means of transport the description of the goods supplied shall contain the particulars referred to in the definition of “new means of transport” in the VAT Act.
It is permitted to use a simplified invoice for local transactions in which the VAT-liable party is not liable to pay VAT and the total amount billed is less than €100, or if the registered person making the supply is an exempt individual. At a minimum, a simple invoice must have the following information:
Invoices must include the following information: the date they were issued; a sequential number based on one or more series that uniquely identifies the invoice; the supplier’s name, address, and VAT identification number; the recipient’s VAT identification number; a description sufficient to identify the goods and services supplied; the total tax due; and any other relevant information.
Amounts owed to the government
A fiscal receipt must be issued by means of a fiscal cash register for retail establishments and catering establishments (e.g. restaurants and snack bars).
A manual fiscal receipt must be issued by service providers using manual fiscal receipt books provided by the Department upon request.
When conducting business, the Fiscal Cash Register and manual fiscal receipts should be retained at the location where the activity is to be carried out.
Taxi drivers are required to use a fiscal taximeter to issue fiscal receipts.
In order to use computerised receipts, registered persons must first receive written permission from the Department. An electronic or paper receipt must show the Department’s exemption number after it has been granted.
Prior written clearance from the Department is required before event tickets can be accepted as fiscal receipts. Tickets must include the Department’s VAT permit number.
What does make a receipt a Fiscal Receipt?
When issued under one of the following circumstances, a fiscal receipt is deemed to be one.
On manual fiscal receipt books supplied by the Department On computerised or electronic systems or a point of sale system, provided that prior approval has been obtained from the Department and the exemption number issued by the Department is printed on the receipt
Since medical, health and education services are exempt without credit, is it necessary for persons supplying these services to issue fiscal receipts?
Fiscal receipts are not necessary for those who supply exemptions without credit supplies, although they are still required to issue an ordinary receipt under existing law.
These individuals are exempt from registering with the Department.
I am a non-exempt registered person. If I supply goods or services to people who are exempt without credit, do I have to issue a tax invoice or a fiscal receipt?
A tax receipt is an absolute necessity. Whenever products or services are provided to those who are excluded from credit, a fiscal receipt must be issued to document the transaction. A non-exempt registered person or an exempt registered person does not matter.
I am a retailer. When should I issue a fiscal receipt and when should I issue a tax invoice?
A fiscal receipt shall be produced for each and every supply made by a store or a person who distributes food in the course of catering (e.g. restaurant or snack bar) (except in the cases where legislation allows certain supplies to be covered by a fiscal receipt to be issued at the end of the day to cover the supplies made during that day). This is true for both taxable and credit-exempt supplies.
Retailers must issue tax invoices instead of fiscal receipts when they make a taxable supply to another registered person.
If it contains the information listed above, a fiscal receipt generated by a fiscal cash register may be considered as a tax invoice.
If there is a power failure, can I issue one receipt manually to cover all the sales during the time the failure lasted?
No matter what the cause of the power outage, the supply of goods must be documented manually.
When a cash register is malfunctioning, the same rules apply. In any event, the registered person is obligated to have his fiscal cash register repaired within a reasonable period of time.
I am a retailer and classified as an exempt person. When I issue fiscal receipts are goods sold which would normally be subject to VAT to be indicated as ‘E’ or as ‘F’?
Fiscal receipts from exempt persons should show the tax rate as “F” rather than “E” when they are issued by fiscal cash registers on the sale of supplies that would have been taxed if they were not classed as exempt.
Is there any category of registered persons to which different arrangement for the issue of a fiscal receipt apply?
A single fiscal receipt can be issued for each day’s supply sales, as long as those businesses fall into one of these categories:
· Registered persons who make supplies from a vehicle either by door-to-door delivery or to the general public in a public road, of gas, milk and milk products or bread. · A registered person who makes supplies of fuel from pumps. · A registered person who makes supplies of food and beverages situated in a work or study area, after authorisation had been requested and granted in writing by the Department to issue one fiscal receipt at the end of the day to cover supplies of food made during that day and another fiscal receipt to cover supplies of beverages made during that day. · A registered person who makes supplies of bread from the bakery where that bread has been baked.
At any point in time, the Department can revoke the authorization of those listed under the third and fourth paragraphs above by means of a written notice.
What kind of books and records do I need to keep and how long do I need to preserve these records and books?
Fiscal Receipts issued, FCR Z Reading, and all Customs import/export documentation are required to be kept on file. Purchase and sales invoices, debit and credit notes, cash books, and petty cash books are also required. The Value Added Tax Account and Annual VAT Account, as well as the bank account connected to the business, are also required to be kept on file.
Keeping these records and documentation for six years is required by law because the Department can request an inspection.
When the regulations for adjustment of input tax on capital goods and immovable property apply, the six-year period shall begin at the conclusion of the five-year period or twenty years, as the case may be.
What are the reasons and the purpose of an inspection by the VAT Department?
Among the goals of the VAT Department’s inspections are the following: educating taxpayers about their rights and responsibilities in relation to VAT; verifying that taxpayers are actually collecting and submitting the correct amount of tax; examining and verifying refund claims made by taxpayers; and monitoring the activities of taxpayers as a whole.
When a VAT inspector announces an inspection visit, can I ask to change the proposed date or can I refuse to receive the Inspector?
You can absolutely get in touch with the VAT Inspector to arrange an appointment time that works for both of you. You cannot, however, refuse to see the Inspector because doing so would be illegal.
In addition, you should know that the VAT inspector has the authority to ask anybody, including a third party, to produce or remove any required documentation or electronic data, and to make copies of that documentation or electronic data.
If the VAT Inspector at the end of an inspection visit contends that I made mistakes and I don’t agree with the inspector, what can I do?
If you and the VAT Inspector disagree on anything during your visit, he or she is required to discuss it. A “Provisional Assessment” will be issued if the VAT Inspector believes that your faults resulted in under-declaration of tax or over-declaration of input VAT.
If you are dissatisfied with a “Provisional Assessment,” you must file a “Request for a Review” with the Department within 30 days of receiving the notice.
It is possible that after executing the appropriate verifications, the “Request for a Review” will either cancel, alter, or confirm the provisional assessment.
What are the conditions for a registered person to lodge an appeal?
When appealing an assessment to the Administrative Review Tribunal, an appeal must meet the following requirements: a return for the tax period in question has been submitted; all tax payable by the appellant that is not in dispute has been paid, and it must be made within 30 days of the service of the notice against which it is made; and it must be made within that time period.
Is a non-profit making organisation required to register for VAT?
Non-profit organisations do not have to register for VAT because services provided to members are exempt from credit.
Even though the organisation may provide other services for a fee, each one must be evaluated in light of the applicable VAT laws.
If a non-profit organisation wants to charge and collect VAT, it must be registered with the Department and has the right and option to be categorised as an exempt person.
The organization’s activities range from the running of a bar for members to the rental of premises to third parties for use as a bar.
Fundraising efforts that do not directly benefit a health, welfare, or educational institution are prohibited. Obtaining previous Departmental approval for an exception is necessary in these situations.
To claim input tax, a non-profit producing organisation must register with the Department and must not opt to be classed as an exempt person. If it does so, it can only claim input tax on supplies on which VAT is collected, either directly or in part.
Am I required to account for VAT on accruals or on a cash basis?
According to the VAT invoice (accruals) principle, all registered people must account for VAT in this manner. The Department, on the other hand, has the authority to order the following vendors to account for VAT on a cash basis:
Supplies from contractors in the fields of civil, mechanical, and electrical engineering.
Services provided by professionals who are authorised to practise their profession by a statute in force in Malta must account for VAT on a cash basis. In order to account for VAT on an invoice basis, those who supply such services must first obtain written permission from the Department of Revenue.
Accounts must be kept on both supplies made to and supplied by registered persons when they use the cash method of VAT accounting.
After compiling and submitting my tax returns I destroyed the invoices, as I sincerely did not know that I was obliged to retain them for six years. What is my position with the Department particularly with respect to my Input VAT?
As long as you don’t have genuine tax invoices to back up your claim for Input VAT, shredding your invoices puts your claim at risk. Your Input VAT claim will be cancelled if you fail to provide the Department with valid tax invoices for inspection.
Recently I moved house and duly changed my ID Card. I was under the impression that the ID Cards Department would inform the VAT Department about my change of address, but I continued to receive my tax returns at the old address. What is the procedure one has to follow in such cases?
A registered individual must notify the Department of any changes to their contact information, such as a move, address changes, or any alterations to the information on their registration application, within fifteen days of the change taking effect.