Author Archives: Zampa Debattista

General Accounting Considerations for Shareholders

Issued shares, or equity instruments, may be in the name of individuals or companies. Companies are required to present their accounts, and as such need to make a number of accounting and legal considerations, in order to classify and measure shares in their own name correctly on their balance sheet. Assessment of the Underlying Reporting […]

Gift Vouchers and VAT

Giving a gift voucher to a loved one is a convenient, practical and safe choice. It cuts out on the logistics, saves time and most important would allow the recipient to self-choose a gift to cherish. Over the years, the gift voucher retail market share has been progressively growing, with an estimated GBP 7 billion […]

Impairment Considerations in a COVID-19 Reality

COVID-19 is an impairment indicator in all effects, in the context of IAS 36 ‘Impairment Of Assets’. An impairment indicator does not necessarily mean that an impairment will be booked, but it does mean that documentation of testing is required. At the same time, IFRS 9 ‘Financial Instruments’ imposes an impairment adjustment for all financial […]

Yacht Leasing in Malta – VAT Updates: Malta’s Response to EU Concerns

On 30 October 2020, the European Commission decided to close a number of infringement procedures initiated against Member States for not complying with the provisions of the Council Directive 2006/112/EC (“VAT Directive”). The VAT treatment of yacht leasing in Malta had been among the procedures undergoing examination. In this regard, the Guidelines regarding item 12, […]

VAT Grouping in Malta: Practical Guide

Following the introduction of the VAT Grouping legislation in Malta, we can conclude that this important regime has provided licensed operators with a fiscal tool aimed at improving their cashflow position and, in certain instances, optimising their VAT situation. We have seen a successful take up among companies operating in the financial services and gaming […]

Malta Yachting VAT

In order to understand the application of the Malta VAT on yachts, let us see the general legal framework, the step-by-step checklist and a practical example. VAT Treatment of Malta Yachts: Legal Basis Malta yacht VAT regime is regulated by national and EU legislation, namely: VAT Act (Cap. 406) Council Directive 2006/112/EC Council Implementing Regulation […]

Ten Things You May not Know about GAPSME

A relaxation from disclosing related party transactions between members of certain groups The general rule under GAPSME legislation, just like IFRS, is that related party transactions need to be disclosed. This is explained in further detail in paragraph 20.7. However, as paragraph 20.8 states, if a transaction is carried out between members of a group […]

Malta Budget 2021: Key Takeaways

Malta Budget 2021 is live now. Check out our Malta Budget 2021 report to learn more about newly introduced measures concerning: Tax refund to Employees Tax on assignment or cessation of rights over property Voluntary organizations Book Royalties Property Transfer Tax VAT Measures First-time Buyers Scheme Second-Time Buyers Reduced Rate on Inheritance of Property Extension […]