I have been going through the Bet365 affiliate terms and conditions and specifically relating to - section 4.1 - Referral Fee Payout Requests:

"If you contract with Hillside (Marketing Malta) Limited in accordance with the terms of this Agreement the following shall apply to you: (i) it is understood that no VAT will be charged on the invoices and that in relation to affiliate services to Hillside (Marketing Malta) Limited that company will account for any VAT under the reverse charge in Malta; and (ii) you agree and acknowledge that any and all VAT obligations which you may have under Maltese VAT legislation remain exclusively your obligations and that bet365, by agreeing to issue invoices on your behalf in accordance with the self-billing procedure referred to above, does not in any way accept and/or assume any responsibility to ensure compliance with such VAT obligations beyond issuing the invoice on your behalf.

Likewise, if you contract with Hillside (Sports) GP Limited, it is understood that your services are outside the scope of VAT and no VAT is chargeable."


For those of you who are VAT registered and lets say you have affiliate income from Bet365 of 100,000 annually how does this work in practice?

(A) BET365 will account for VAT under the reverse charge mechanism in Malta. How do you deal with this in your VAT returns?

(B) What obligations do you, the affiliate, have under Maltese VAT legislation?

(C) "it is understood that your services are outside the scope of VAT and no VAT is chargeable" - I live in the Republic of Ireland and under Irish VAT this income is not "outside the scope of VAT". Once a certain monetary threshold is reached it becomes mandatory to charge VAT. In practical terms how is this treated in your tax juristiction?