TAX NEWS Malta Institute of Taxation Subscribe to the MIT Weekly to receive tax news & updates

Amendment to the Tax Rate (Construction Waste Recycling) Rules

LN 284 of 2020 amends the Tax Rate (Construction Waste Recycling) (2020 – 2023) Rules. The rules, which have been renamed the Tax Exemption (Construction Waste Recycling) (2020 – 2023) Rules now provide in Rule 3 that:

“Income derived by an authorised person from qualifying services during a relevant year shall be exempt from the tax that would otherwise be chargeable on that income subject to the following conditions:

(a) the income in question is declared in a tax return filed in accordance with article 10 of theIncome Tax Management Act for the respective year of assessment; and

(b) an amount of tax is paid equivalent to fivecents (€0.05) on every euro of that income ; and

(c) the tax on the chargeable income of theauthorised person for the respective year ofassessment shall be calculated at the rate or rates thatwould apply if that income included also the incomeexempted by these rules; and

(d) the authorised person produces such documents or other evidence as the Commissioner may require.”