Mini Budget to help boost the economy

The PM has announced a mini budget in an effort to help the economy bounce back from the downturn effects of the COVID-19 pandemic. The package will cost the government €900 million with the main aim to get businesses back up and running. A number of measures have been announced including the following:

  • Wage supplements – financial support of €800 per month per employee will continue till September for touristic businesses and air transport. For other sectors, the support will be to the tune of €600 per month per employee.
  • Electricity subsidy for businesses – a 50% subsidy up to €1,500, for Q3 2020.
  • Rent subsidy for companies – a grant up to €2,500, to cover rental obligations.
  • Tax deferrals for company have been extended for June. NI and Income Tax will start to be paid from 1 July.
  • Commercial licences: licences paid to the Malta Tourism Authority and the Commerce Department for 2020 are waived.
  • Tax credits transformed to grants30% of certain Malta Enterprise credits to businesses will be transformed into grants.
  • Further grants: Malta Enterprise will manage a fund of €2.5 million for businesses intending to develop their business model to adapt to the new situation.
  • International fairs refunds: 80% refund will be paid to companies incurring expenses in international fairs that were subsequently cancelled.
  • Advertising fund: the fund will help companies advertise their products locally and overseas.
  • Property tax cut – duty on purchases of property will go down from 5% to 1.5%. Sellers will be charged at 5% rather than the usual 8%. These rates are chargeable on property prices up to €400,000. This is applicable on sales of property made by March 2021.
  • Fuel price reduction – excise tax on petrol and diesel will be reduced by 7c per litre. Petrol will cost 1.34 per litre and diesel 1.21c
  • Cash vouchers of up to €100 – these will be given to all residents over the age of 16 to encourage spending. In addition, €80 can be spent in hotels. €20 can be spent at retail outlets that were obliged to shut down during the pandemic (non-essential shops).
  • In work benefits – this benefit will be extended to increase grants given per child for low-income families. An additional €250 will be given to those in the scheme.
  • Fund to help NGO’s – €3 million is being allocated to assist those NGO’s whose income was severely effected due to the COVID-19 pandemic.
  • Homes for the elderly –  €2 million is also being allocated to homes of the elderly which were severely effected due to being on lockdown with increased staffing and supervision required during the peak of COVID-19.

TESTIMONIALS

"According to our experience, E&S Consultancy team is made up of well-trained and skilled professionals who are always there to satisfy your business needs with reference to Maltase law. Their work is well organized and carried out in a precise and timely manner. I look forward to continuing my cooperation with E&S Consultancy."

Giorgio Crotta & Marco Compagnino - FIDINAM & Partners

COMPLIMENTARY SERVICES

BUSINESS CONTINUITY 

REMOTE WORKING

QUARANTINE LEAVE

SOCIAL MEASURES