Nearly Lm150,000 in VAT fine rebates
By Julian Manduca
The government let 553 people off the hook and forgave them Lm144,703
in VAT fines between January and April of this year, Finance and Economy
Minister John Dalli has said.
Among the lucky people to benefit from the scheme was one person that
enjoyed a rebate of Lm44,970, with the next highest figure a mere Lm
Most of the rebates on the fines were for much smaller amounts. Persons
who for one reason or another failed to fill in their VAT forms were
among those benefiting from the scheme.
Finance minister Dalli was replying to a Parliamentary question put
to him by Labour MP and EU spokesperson Evarist Bartolo.
A budget promise had been made to forgive 90 percent of VAT fines to
those that applied for rebates in last years budget and government
kept its promise.
The measure, which was announced in Novembers budget, comes as
a result of requests from the constituted bodies during pre-budgetary
discussions with the Malta Council for Economic and Social Development
and is now seeing the light of day some four and a half months later.
Speaking to The Malta Financial and Business Times in an interview earlier
this year, then Finance Minister John Dalli explained the rationale
behind the measure: "The constituted bodies expressed the amount
of hardship and harassment these outstanding VAT penalties were causing
and how people were finding them a burden to pay. The situation was
also found to be clogging up the administrative system at the Department."