Study-Unit Description

Study-Unit Description


CODE PBL3003

 
TITLE General Introduction to Principles of Taxation

 
UM LEVEL 03 - Years 2, 3, 4 in Modular Undergraduate Course

 
MQF LEVEL 6

 
ECTS CREDITS 4

 
DEPARTMENT Public Law

 
DESCRIPTION 1. General Introduction

Principles of Taxation will introduce to the students to the main Maltese taxation legislative instruments. The emphasis will be on Income Tax but the study-unit will incorporate a general introduction to Value Added Tax and Duty on Documents on Transfers. Taxation will not be discussed in isolation but will be studied as part of the general body of Maltese law. Accordingly, Principles of Taxation will not only discuss the concept of chargeable income, jurisdiction to tax, the determination of the tax charge but will also explore the inter-relationship between taxation and other laws. Given the importance of the financial services industry the subject will also discuss in some length the subject of international taxation.

Introduction to Taxation

1.1 The Maltese Tax System
1.2 Taxation and Fundamental Human Rights

2. Income Tax
2.1 The 3 Taxes
2.1.1 The Tax Classification Income and Capital
2.1.1 The Special Case of Property Transfers Tax
2.2 Income Tax on Income
2.2.1 The Determination of Chargeable Income
2.2.1.1 Jurisdiction to Income Tax
2.2.1.2 Deductions and Exemptions (including the Participation Exemption and Exemptions Emanating from EU Directives)
2.2.3 Determining the Tax charge (Tax Computations)
2.2.4 Tax Accounting and the Refundable Tax Credit System
2.2.4 Double Taxation Relief
2.3 Income Tax on Capital Gains
2.3.1 Chargeable Assets and Transactions
2.3.2 Computational Rules
2.4 Property Transfers Tax

3. Assessments, Objections and Appeals
3.1 The Powers of the Commissioner for Revenue
3.2 The Power to Raise Assessments
3.3 Objections
3.4 Appeals to the Administrative Review Tribunal
3.5 Appeals to the Court of Appeal

Study-unit Aims:

The aim of this study-unit is to provide students with the basic general notions of the law and taxation which is to serve as ground work for further in depth studies in the new study-units on VAT and Indirect Taxation Law and International Taxation. This will also provide a wide angle approach to the ever increasing importance of tax law in our country in Malta.

Learning Outcomes:

By the end of this study-unit students will be able to:
- Apply the general principles underlying the law of taxation both from a theoretical aspect and also from ‘hands-on’ approach;
- Identify and acquire the necessary skills for lawyers who are increasingly facing multi-disciplinary experiences in the law of taxation;
- Learn basic notions of related disciplines such as of accountancy necessary to supplement their work and research in the law of taxation.

Selected Bibliography:

- Rober Attard "An Introduction to Income Tax Theory" (2005).
- Brian Arnold & M. McIntyre "International Tax Primer Netherlands" Kluwer Law, 1995.
- P. Baker "Taxation and the European Convention on Human Rights" British Tax Review, 2000. (all published on the net taxbar.com).
- P. Baker "The Decision in Ferrazini, Time to Reconsider the Application of the European Convention" (all published on the net taxbar.com).
- P. Baker "Tax Avoidance, Tax Mitigation and tax Evasion" (all published on the net taxbar.com).
- A. Borg Olivier "The Concept of Domicile in Tax Legislation with Special Reference to Maltese Law" University of Malta LL.D. Thesis 1997.
- S. Gauci "The Relationship Between the Taxpayer and the Commissioner of inland Revenue under the Income Tax Acts" University of Malta LL.D. Thesis 2003.
- Kath Nightingale "Taxation Theory and Practice" 2002.
- Ian Refalo "Decizzjonijiet Dwar id-Dritt Privat Internazzjonali".
- Edwin Vella "Notes on Income Tax Malta" Progress Press 1968.

Sources:

Legislative Instruments:

- Cap. 123 of the Laws of Malta
- Cap. 372 of the Laws of Malta
- Cap. 406 of the Laws of Malta
- Cap. 364 of the Laws of Malta

Internet Sites:

- www.ird.gov.mt
- www.vat.gov.mt
- http://www.mfsa.com.mt/mfsa/default.asp
- http://www.taxbar.com/articles.html

 
STUDY-UNIT TYPE Lecture

 
METHOD OF ASSESSMENT
Assessment Component/s Assessment Due Sept. Asst Session Weighting
Assignment SEM2 Yes 50%
Examination (1 Hour) SEM2 Yes 50%

 
LECTURER/S Robert Attard

 

 
The University makes every effort to ensure that the published Courses Plans, Programmes of Study and Study-Unit information are complete and up-to-date at the time of publication. The University reserves the right to make changes in case errors are detected after publication.
The availability of optional units may be subject to timetabling constraints.
Units not attracting a sufficient number of registrations may be withdrawn without notice.
It should be noted that all the information in the description above applies to study-units available during the academic year 2023/4. It may be subject to change in subsequent years.

https://www.um.edu.mt/course/studyunit