3rd April 2020 Covid-19 VAT COVID 19 – a VAT perspective Definitely trending … Coronavirus or Covid 19 … businesses thriving or not, many expanding, a few stable or contracting, but now all facing a crisis with no precedents. In order to support and sustain businesses Government announced a serious of aid packages primarily aimed at safeguarding employment and employees. Up to now, the only measure […] READ MORE
26th March 2020 Finance IFRS Leases Services [Leases – Article 4/5] Accounting For Leases After 2018 – Other Common Situations Determining Direct Costs Direct costs are incremental costs that are incurred in the process of obtaining the lease. Other costs incurred irrespectively of whether the lease contract is entered into or not are not considered to be initial direct costs. Direct costs incurred at the initial stage of the lease are accounted for as part […] READ MORE
25th March 2020 Accounting Finance IFRS TAX VAT COVID-19 – Financial Aid – 3rd Package 24th March 2020 On Tuesday evening the Government of Malta announced an economic package as agreed with the Malta Council for Economic and Social Development which contains additional and revised measures intended to aid businesses that have been adversely hit by the spread of the corona virus. The main highlight of this package is that […] READ MORE
22nd March 2020 Accounting Finance IFRS TAX VAT The Accounting Implications of Covid-19 from an IFRS and GAPSME perspective On March 11, 2020, the World Health Organisation (WHO) officially declared that COVID-19 can be characterised as a ‘pandemic’. A pandemic is a strong, exceptional form of epidemic, in terms of its geographic reach. Whilst the health-related implications of a pandemic can be read in the WHO’s official communication in this link, the economic pinch […] READ MORE
22nd March 2020 Accounting Finance IFRS TAX VAT ZD Academy Online Courses from April 2020 Our last face to face session was held just over a week ago. Matthew Zampa and Charles Vella held an interactive session on VAT at our Academy. In the meantime, a number of events have drastically shaped the education and learning landscape in Malta and around Europe. We have received many queries on how we can […] READ MORE
19th March 2020 Finance TAX VAT COVID-19 – Mini Budget – Financial Support COVID-19 – Mini Budget – Financial Support 18th March 2020 In view of the current economic turmoil resulting from the COVID-19 pandemic, the Prime Minister, the Minister of Finance and the Minister for Economy, Investment and Small Business have announced several measures which are aimed at safeguarding Malta’s economy by improving companies’ liquidity and protecting […] READ MORE
13th March 2020 VAT Merchants Shipping Act Updates through L.N. 31 of 2020 Shipping companies registered under the Commercial Partnerships Ordinance or shipping companies which have elected to be governed by the Companies Act shall be so defined as a company whose objects are limited to the sole purpose of owning, managing, administering or operating ships. In the case of a single member company, if default is made […] READ MORE
28th February 2020 VAT [Leases – Article 3/5] Measurement of Right-Of-Use Asset and Lease Liability As discussed in a previous article, under IFRS 16 ‘Leases’, the lessee capitalises lease transactions as a right-of-use asset and a corresponding lease liability, unless the transactions relate to short term leases or low value leases, in which case the lease is expensed. The next question to answer is: how do we measure the right-of-use […] READ MORE
24th February 2020 VAT Upcoming Replacement To IAS 1? The IASB is seeking feedback on the Exposure Draft General Presentation and Disclosures (the deadline for comments is 30 June 2020). The proposals aim to improve how information is communicated in the financial statements, especially in relation to financial performance. Broadly speaking, the proposals cover three main topics: New subtotals in the income statement ‘Non-GAAP’ transparency […] READ MORE
20th February 2020 VAT [Leases – Article 2/5] Determining the lease term The term of the lease plays an important part in the accounting treatment of a particular lease. Under IFRS 16, it impacts the measurement of the right of use asset and lease liability in the lessee’s books. It also determines whether the exemption for short term leases may be applied or not, in which case […] READ MORE