Following the Budget Speech by the Minister of Finance on 30
November 2023, Bill No. 72 was published, which includes
provisions to implement some Budget Measures for 2024 and other
administrative changes
The Bill (subject to possible further amendments) is expected to
be enacted in the first quarter of 2024. The salient measures
proposed in this Bill are highlighted below.
Amendments to the VAT Act
Codification of general anti-abuse rules in the Maltese
VAT Act
The Bill introduces a general anti-abuse provision (GAAR) which
largely codifies the VAT anti-abuse principles established through
jurisprudence of the Court of Justice of the EU
('CJEU').
The GAAR provides that firstly any artificial or fictitious
scheme which directly or indirectly results in the accrual of a tax
advantage where the essential aim of that scheme is for a person to
obtain said advantage the grant of which would be contrary to the
purpose of the provisions of the VAT Act, shall be
