Malta 2018 Budget

The salient provisions were as follows:

• Minimum wage earners see their remuneration rise by €3 a week
• Workers will get an extra day vacation leave and a wage increase of €1.75 per week
• All pensioners will get a €2 per week raise, and the non-taxable bracket being increased to €13,200 per annum
• The small undertaking VAT exemption threshold will be increased from €14,000 to €20,000
• The duty on documents exemption on the first €150,000 on the value of immovable property acquired by first-time buyers will be retained. A new reduction for second-time buyers will be introduced with a maximum reduced amount of duty of €3,000. Persons with disabilities see such reduced amount increased to €5,000. The reduced rates of duty on documents applicable to property acquired in Gozo – 2% – and property situated in an Urban Conservation Area – 2.5% – shall be retained for another year.
• Tax refunds will be given to certain income earners falling within certain tax brackets, with the rebates ranging from €40 to €64.
• The Micro-Invest assistance thresholds are being increased from €30,000 to €50,000 whilst those persons benefiting from the criteria currently applicable to assistance of up to €50,000 shall see the threshold increase by €70,000.
• Tax credits granted to persons reading for post-graduate courses leading to a Masters or Ph.D. – a capped amount being set of €60,000 with certain conditions applying.
• Introduction of an off-setting system for Maltese companies, allowing them to offset certain payments due to and from the Government.