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Malta: Tax deferral relief extended through August 2020 (COVID-19)

Malta: Tax deferral relief extended through August 2020

The tax authority on 14 July 2020 updated tax relief provided in response to the coronavirus (COVID-19) pandemic.


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The Revenue updated the initial notification to extend the tax deferral relief measures for certain taxes until the end of August 2020. The extended deferral applies to provisional tax, social security contributions of self-employed persons (the Class 2 contributions) and value added tax (VAT) first due in March 2020 and up to and including August 2020 (previously extended through June 2020).

Eligible taxes are to be settled by 31 May 2021 (extended from 31 October 2020).

The tax deferral relief was not extended for employee taxes, maternity fund payments, and social security contributions (Class 1 contributions) that were due in March 2020 up to and including June 2020. The payment of such deferred social security and employee taxes is to be settled as from 1 July 2020.

The tax deferral relief measures are available for companies and self-employed businesses that have suffered a significant downturn in turnover (as defined in the Revenue notification), provided that they had applied for the scheme by 15 May 2020.

Read a July 2020 report prepared by the KPMG member firm in Malta

Extended deadline for individual tax returns

The deadline of filing individual tax returns (either paper or electronically filed) for year of assessment 2020 has been extended by two months to 31 August 2020.

Individual taxpayers required to file a tax return (for year of assessment 2020 / basis year 2019) would have usually submitted the return by the end of June 2020 but are being allowed to file the return until the end of August 2020.

Read a July 2020 report prepared by the KPMG member firm in Malta

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