Despite the fact that its membership is necessarily small due to the nature of the sector it represents, the institute has established itself in Malta’s professions. MIT’s tenth anniversary will provide it with an opportunity to take stock of the progress achieved so far and plan ahead. The council of the institute, which shall be re-elected in the first half of next year, aims to launch a number of new projects.

Since 1995, MIT has worked on a number of objectives that are more operative in nature. Seminars are organised twice a year and are open to the public at large since taxation involves every citizen. Each seminar has attracted a significant turn out and each one has been addressed by the then Finance Minister. Speakers’ notes from seminars are also available free of charge from the Institute.

The seminars are addressed by leading tax experts and have included various topics but, as expected, in recent years have focussed primarily on EU-related issues. MIT played a significant role throughout the EU debate and has always spoken clearly when public, private or sectorial interests appeared to be unduly adversely affected.

MIT members include lawyers, accountants and other qualified professionals who, the Institute is satisfied, specialise in taxation. Senior public officials in Revenue Departments are also members. Members of the institute have been granted certain rights by Legal Notice in respect of opinions to be annexed with tax returns and electronic filing. Money laundering regulations, which the Institute issues to its members, are also deemed to be binding on members for purposes of law unless eventually superseded by official regulations.

Another important service MIT provides free of charge in collaboration with Revenue Departments is the publication of decisions delivered by the Court of Appeal regarding tax cases. Three volumes of income tax cases have been published while the fourth volume is in the final stages of preparation. As regards VAT, one volume has already been published, while the second (which will include decisions delivered up to 31 December 2004) should be published early next year. The Institute also prepares summaries of these decisions which it then posts both on the web-site of the department and that of the Institute.

The Institute also makes regular submissions to the government on technical issues relative to taxation, although the government has still to put in place a regular policy of consultation. This has resulted in hastily drafted legislation which has then had to be amended. The uncertainty created by the government’s lack of consultation in tax legislation is in fact affecting investment from abroad. MIT has a vital role to play in such matters as leading opposition to the proposed regulation of perceived over-development by punitive taxation, the introduction of finance leasing and providing a sound legal basis to the Tax Compliance Unit.

Apart from its role in Malta, MIT has been active in Europe. In 1996, it applied for membership of the Confederation Fiscale Europeenne (CFE). It was admitted to provisional membership in 1997, and became a full member in December 2000. It was granted full membership at the CFE General Assembly held in Stockholm. Each country represented in the CFE has one vote. In the case of Malta, the right to vote is exercised by the Malta Institute of Taxation as the sole organisation from Malta represented on the CFE.

The cost of membership of the CFE, which represents some 175,000 practitioners from all over Europe, places a heavy financial burden on the Malta Institute of Taxation and future Government help in this area appears to be doubtful. The CFE is in close contact with the European Commission. Apart from its regular functions, the CFE also serves as a channel for transmission to the Commission of the views of the tax profession on the major developments in taxation across Europe. The CFE also organises a yearly forum at the premises of the Economic and Social Committee of the EU in Brussels. Persons holding high positions in the government and industry are invited to discuss and put questions on current as well as future tax developments.

The website of the Malta Institute of Taxation www.maintax.org.mt is linked with that of the Confederation Fiscale Europeenne. Moreover, the MIT members who are listed on the CFE Register of European Tax Advisers are included with an elite group of international tax practitioners.