NEWS | Wednesday, 20 February 2008

AN pledges stringent fiscal policy, 18% flat tax

Charlot Zahra

Far-right party Azzjoni Nazzjonali (AN), which has projected itself as the pro-business party, is pledging a stringent fiscal policy in order to boost the Maltese economy.
Speaking during an interview published in today’s issue of Business Today, AN party president Charles Attard said the party would clamp down on “excess expenditure on local ‘fabricated’ authorities and other governmental parasites; by controlling the fraudulent claims in social services and unemployment benefits; by saving on electricity costs with the introduction of eco-technological plants that will be introduced shortly by AN; by converting Gozo into an investment jewel; by attracting agri-tourism, health tourism while boosting existing tourism,” he said.
AN is proposing a flat rate tax of 18% for individuals as well as companies.“Those companies and self-employed persons that present a realistic budget, which budget will be vetted by the Ministry of Finance, and accepted, will enjoy the 18% taxation flat-rate straight away.
“Tax investigations, on the other hand, will be run on a two year basis as opposed to the eight year term currently tormenting our tax payers. Our businessmen want to pay tax, but not extra tax,” Attard insisted.
Asked what the rationale behind this proposal was and whether he believed that there was too much tax evasion at present or not, Attard said people were getting disincentivated because of the present high income tax rates.
“It is not only a case of tax evasion, but also a scenario where citizens fail to work hard because they know that their efforts will be punished with the exorbitant taxation.
“People don’t like to work hard and pay hard; they look forward to reaping, thus our motto ‘Biex int tgawdi l-frott tal-_idma tieg_ek’ (So that you reap the fruit of your toil).
“With this incentive, people work harder, become wealthier and demand less assistance from the state, therefore a wealthier state with a healthier economy,” he told Business Today.
Attard complained that the Finance Ministry was “investigating our businessmen, making estimates galore and the onus of proof falls on the victim and not on the Ministry and this because our legislation was made by people whom we elected to protect our rights!
“Let us not forget the famous agreements suggested by the Ministry of Finance, whereby businessmen were requested to make three year forecasts, on an irrevocable basis and if they opted out they would be investigated.
“Where is ‘Il-Partit tan-Negozjanti?’ (The Businessmen’s Party) What was the reply of the Parliamentary Secretary to the SME’s that were chosen to do this agreement of ridicule? Any strike orders by the GRTU?
“But yes, AN is pro-business and we strive to bring justice to entrepreneurs because they are our economy.
“The government is stealing their wealth arrogantly and soon it will backfire on PN, on election-day because both the entrepreneurs and their employees are living in hell,” Attard told Business Today.

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