Cap. 406 Art. 11Special scheme for small enterprises for supplies made within Malta.

(1) When a taxable person established in Malta who is not registered under this article qualifies as a small enterprise in terms of the provisions of Part One of the Sixth Schedule he may apply to the

Commissioner to be registered under this article.

(2) The Commissioner shall register under this article any person who has submitted an application under sub-article (1) if he is satisfied that such person is eligible for such registration in accordance with the provisions of Part One of the Sixth Schedule:

Provided that such registration shall only take effect as from the first day of the month in which the Commissioner receives the application in accordance with sub-article (1) from a taxable person who is not registered under article 10, or from the date of commencement of the economic activity of the taxable person, whichever is the later:

Provided further that such registration shall only take effect as from the first day of the month following the month in which the Commissioner receives the application under sub-article (1) from a taxable person registered under article 10.

(3) Any person registered under this article shall be subject to the provisions of Part One of the Sixth Schedule.

(4) When a person is, immediately before his registration under this article, registered under article 10 the Commissioner shall, upon the registration of such person under this article, cancel the registration under article 10.

(5) A person registered under this article:

(a) may, at any time, apply to the Commissioner for the cancellation of his registration under this article;

(b) shall, within fifteen (15) days from the date on which such person no longer qualifies as a small enterprise in terms of the relevant provisions of Part One of the Sixth Schedule, apply to the Commissioner for the cancellation of the said registration;

(c) shall, within fifteen (15) days from the cessation of his economic activity, apply to the Commissioner for the cancellation of such registration.

(6) When a taxable person submits an application for the cancellation of his registration under this article pursuant to paragraph

(a) of sub-article (5), such cancellation shall apply with effect from the first day of the following calendar month.

(7) When a taxable person submits an application for the cancellation of his registration under this article pursuant to paragraph

(b) of sub-article (5), such cancellation shall apply with effect from the first day of the calendar month following the date on which such taxable person no longer qualifies as a small enterprise.

(8) Where the Commissioner has reason to believe that the taxable person no longer qualifies as a small enterprise in terms of the relevant provisions of Part One of the Sixth Schedule, the Commissioner shall cancel the registration of that taxable person under this article with effect from the date that such taxable person no longer qualifies as a small enterprise as may be determined by the Commissioner:

Provided that the Commissioner shall immediately upon the cancellation of a registration under this article, register that person under article 10 if, in the opinion of the Commissioner, such person is liable to apply for registration in terms of the said article.

(9) Without prejudice to sub-articles (6), (7) and (8), the Commissioner may at any time cancel the registration of a person under this article if he has reason to believe that such person does not carry on or has ceased to carry on an economic activity or that it is not likely that his economic activity shall include any activities other than those exempt activities without credit supplies.

(10) Without prejudice to the other provisions of this article, a taxable person registered under this article which carries out any of the following transactions shall also be required to register under article 12 in accordance with the provisions thereof if such person:

(a) makes intra-Community acquisitions of goods subject to VAT pursuant to article 4(b);

(b) receives services for which he is liable to pay VAT pursuant to article 20;

(c) supplies of services within the territory of another Member State for which VAT is payable solely by the recipient.