Home     News    Malta    Careers    Contact Us

   the firm      expertise      people      library      news      malta      careers

 

     

Malta Budget Report 2003
2 0 0 3

SOCIAL MEASURES

Aim: To improve the quality of life for people in need.

Measures:

Capital Means Test

Currently: Means test for entitlement to non-contributory Old Age Pension:

  • Single persons: Lm6,000

  • Married couple: Lm10,000

Measure: Extension of above means test to entitlement to:

  • Social Assistance,

  • Medical Assistance, and

  • Social Security Pension.

Increase in Supplementary Allowance

Aim: To provide for those with less income.

Measure: Increase in & extension of the Supplementary Allowance scheme.

Income eligible for Supplementary Allowance:

  • Married couple: Lm4,200 (increased)

  • Single: Lm3,270 (unchanged)

Ceiling on which benefit is calculated remains unchanged:

  • Married couple: Lm10,270

  • Single person: Lm8,270

Increase in percentage rates applicable on the difference between the existing levels and the income of the beneficiary:

  • Married couple: 1.75% (increased)

  • Single person: 1.25%.

Threshold for income applicable for these calculations remains unchanged: Lm2,220 for all beneficiaries.

Payment for maintenance of children in cases of personal separation

Currently: Under the Income Tax Act, maintenance paid is taxable in the hands of both the paying & the receiving spouse.

Measure: Children's maintenance allowance is not to be taxed in the hands of the receiving spouse.

Increase in Children’s Allowance for those with three children and more

Measure: Increase in rates on which Children’s Allowance is calculated for persons with three or more children:

  • 3 children: 12%

  • 4 children: 14%

  • > 4 children: +2% (not 1.5%)

New procedures in working of tax calculations on arrears of pensions

Aim: To spread tax arrears arising out of revisions of pensions on the respective years of income on which the pension arrears were due.

Measure: applicable:

  • on all arrears paid on 1/1/2003, provided that these do not go back to prior 1999: arrears due before that year will be added on to the income of 1999 for tax purposes;

  • on all arrears paid 1999 - 2002, provided they are due to erroneous calculations on pensions made by some Government Department.

Increase in the cost of living for pensioners

Aim: To adopt the workings of a new Cost of Living Index that would justly reflect the expenditure patterns of pensioners.

Measure: A weekly increase in costs of living Lm1.27c, calculating the Price Index in accordance with the expenditure patterns of pensioner-households, applicable to:

  • Two-Thirds Pension rate,

  • and the Survivors’ Pension,

  • the Retirement Pension,

  • the Invalidity Pension,

  • the Widows Pension,

  • single persons' National Minimum Pension, and

  • single persons' Old Age Pension.

Justice with Casual Social Assistants

Measure: Casual Social Assistants (635), who provide services to our elderly, will no longer be considered as self-employed but as part-time with all the pertinent rights under labour legislation.

Financial assistance for parents with children under two years who attend Child Day Care Centres

Aim: Increasing female participation in the creation of wealth both for her own sake and for that of the country.

Measure:

  • Subsidy of payments for day care service for small children - projected for working women with children under 3 years of age who are left at a licensed Child Day Care Centre - means tested;

  • A regulatory framework to ensure that the service given by these Child Day Care Centres will be of the desired standards.

Back to Budget 2003 Index

 

 

  

Terms of Use      Privacy Policy      Services      Links      Member Login      Malta Law Firm      Client Login      Contact Us

backtop© Chetcuti Cauchi Advocates, Malta. All rights reserved.

     Legal Firm in Malta     Award Winning Malta Law Firm      City Wealth Leading Law Firms in Malta     .

Malta Company Formation - Malta Tax Advisors - Malta Law Firm