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A National Audit Office (NAO) review of Infrastructure Malta flagged how a sample of invoices issued by three contractors to the roads agency could not be considered as valid fiscal documents.
As part of a wider audit of the 2019 government accounts, the NAO found that the payment requests by the three contractors with €1.5 million worth of VAT due on them did not contain the roads agency’s VAT number, meaning it was not a valid fiscal document.
“Lack of compliance with fiscal obligations may indirectly encourage tax evasion, resulting in loss of revenue to government,” the NAO warned. The Auditor General insisted that proper fiscal documentation is obtained by the agency for every purchase of goods or services, in line with VAT regulations.