Legal Notice 163 of 2018 was enacted on 22 May 2018 and brought about another measure announced in the last Budget speech amending the thresholds for a business to qualify as a small undertaking. Below are the revised thresholds.
These thresholds will apply between 1 Jul 2018 until 31 December 2020 (unless renewed further) which is in line with the VAT Action plan adopted by the European Commission to reduce the VAT obligations for small enterprises.
| Category | Entry threshold | Exit threshold |
|---|---|---|
| Economic activities consisting principally in the supply of goods | € 35,000 | € 28,000 |
| Economic activities consisting principally in the supply of services with a relatively low value added | € 24,000 | € 19,000 |
| Other economic activities | € 20,000 (€14,000 up to 30 June 2018) | € 17,000 (€12,000 up to 30 June 2018) |