The changes brought about by Malta entry in the E.U. as regards VAT are many. By far the most radical is that goods ordered from the EU (intra-community acquisitions) by a VAT registered person do not attract VAT on entry into Malta. This does not mean that such goods do not have to be accounted for in the VAT records of the business. The concept of ‘Reverse charge’ will henceforth apply for such goods. In simple terms this means that although VAT is payable, this is immediately claimed back in the VAT return. This concept should affect the cash flow of importers in a positive way.