Commissioner for Revenue publishes DAC6 guidelines

Deloitte Malta Tax Alert

4 January 2021

The Commissioner for Revenue (‘CfR’) has published Guidelines on the Mandatory Automatic Exchange of Information in relation to Cross-Border Arrangements (‘Guidelines’). The Guidelines are issued in terms of Article 96(2) of the Income Tax Act (Chapter 123 of the Laws of Malta) and are to be read in conjunction with the Cooperation with Other Jurisdictions on Tax Matters Regulations (Subsidiary Legislation 123.127). The CfR has notified taxpayers and intermediaries that the Guidelines will be regularly reviewed and in the case of any changes, the revised version of the Guidelines will be published on the CfR website.

DAC6 aims to provide Member States tax authorities with additional information in order to assist them to more rapidly close perceived loopholes in tax legislation and harmful tax practices. Taxpayers and intermediaries entering into or advising on cross border arrangements involving EU jurisdictions will need to monitor where reporting will be required and disclose as necessary. Following the transposition of DAC6 into Maltese law through Legal Notice 342 of 2019, Malta effectively extended the first DAC6 reporting deadlines because of the COVID-19 pandemic by 6 months through Legal Notice 315 of 2020.

The Guidelines may be accessed here.

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