PN proposes incentive to reduce tax burden of SMEs to 10% on first €50,000
This government has managed to reduce electricity bills twice in a legislature
The Nationalist Party is proposing the grant of a tax incentive that will reduce the effective income tax burden of SME retailers to 10% on the first €50,000 of their operating profits. For SME retailers to be eligible for this tax measure, they need to show that they have complied with conditions relating to fair conditions of employment for their workers, if any, and improvements in energy-efficiency and environmental standards.
This measure was announced yesterday during the PN General Conference addressed by Opposition Leader Simon Busuttil. It is also listed in a new document which includes a number of policies for retailers.
Depending on how you are set up for tax purposes, you can save between €3,595 and €12,500. If you operate as a sole trader or are self-employed without operating through a registered company, you will be saving around €5,000 a year. On the other hand, if you trade through a registered company you will be saving around €12,500 in tax every year. In all cases, you will only pay a total of €5,000 on your first €50,000 of operating profits.
This major tax incentive is available to all types of trading activities, whether incorporated companies or sole traders, including self-employed traders. The PN commits itself to presenting this measure in the first budget of a new administration.
“In order to provide a major stimulus to small traders, we will provide them with a significant fiscal incentive that will reduce their overall income tax burden to just 10% on their first €50,000 operating profits. This means that you will only pay a total of €5,000 in income tax on your first €50,000 of operating profits,” the PN leader said.
The Nationalist Party also proposes the setting up of an international retail academy under the aegis of the Malta College of Arts, Science and Technology (MCAST).
Under the proposal, the academy would train people interested in two particular retail areas and offer certificates and qualifications. The first area would focus on the operational side of retail, including overthe-counter service providers, customer-facing individuals, etc. The second section would focus on retail management and investment, etc.
On the Paceville master plan, the PN leader said that there is a clear case of conflict of interest because those who drafted the plan are the same people who are working for developers benefitting from it. He said that the millionaires have Joseph Muscat, but the small ones, those with small businesses and who struggle to make ends meet, have the Nationalist Party.
Dr Busuttil also mentioned environmentalists and thanked them for their courage. He said that the Nationalist Party supports their cause.
Quoting a report which came out as part of the consultation for the power station project in Marsaxlokk, the Opposition leader said he was shocked to read that “the number of fatalities in the case of an incident is acceptable.” He said that this is a very serious phrase, hidden in a 15,000 page document and insisted that not even one loss of life is acceptable for the PN.
“I call on the environmental authorities to shoulder their responsibility and decide according to their conscience. You know who’s paying for this corruption? The pensioners and those in critical condition getting expired medicines.”
The PN leader listed case after case of corruption which came out only this week. He mentioned the resignation of the Manuel Theatre CEO Pia Zammit and the case of Henley and Partners commissions and how Minister Owen Bonnici lied in Parliament. “The story on Dr Bonnici does not stop here. Tomorrow, this same Minister will be appointing a former deputy leader of the Labour Party as a judge in the Maltese judiciary.”
Lack of vision in the energy sector will destroy local businesses - PL
In a reaction, the Labour Party said that with the lack of vision in the energy sector, the Nationalist Party will be destroying the local businesses.
Referring to Simon Busuttil’s claim that Malta does not need
the new power station, the PL is a statement said that the PN wants the public to spend more than 700 hours without electricity. “Meanwhile, this government has managed to reduce electricity bills twice in a legislature.”
“The businesses have enough guarantee of sustainability in the energy provided, while the utility bills are reduced. With what the PN is saying, this guarantee cannot be given.”
The PL also made reference to the health sector and said that this government does not want to go back in time, when this sector under the previous administration was riddled with out-of-stock medicines and beds in corridors.
Simon Busuttil preaching a politics of lies - Evarist Bartolo
Minister for Education Evarist Bartolo also reacted to the claims made by Simon Busuttil regarding his ministry and accused the Opposition Leader for preaching a politics of lies.
“We have said this publicly before, that no case of corruption was hidden. The Ministry took all the necessary action, unlike what would happen under previous administration.”
The Minister was referring to the case of Philip Rizzo, who resigned from Head of Tomorrow’s School Foundation, claiming corruption in the way school renovations direct orders were given.
In a statement, the Minister said that he came to know of the allegations in the beginning of September and ordered an internal inquiry so that the necessary action is taken. The case was taken to the police, six weeks before the media reports came out.
Furthermore, according to the Minister, this administration also built a new school every year, unlike what the PN leader claimed.