Mini-Budget – 8th June 2020

1.  COVID Wage Supplement extended until September 2020

• Tourism industry (Accommodation, travel agents, language schools, events organisation and airlines) - €800 for full time and €500 for part time

• Those who were in Annex A, but have now re opened their operations (example personal services) will now move to Annex B

• The rest of the enterprises who are in Annex A will be entitled to a reduced supplement - €600 for full time and €375 for part time

• Students and pensioners will now be entitled from now to September 2020

2.  Rental Expenses
Enterprises who are part of Annex A and B will be entitled to an incentive to cover for their rental expenses of up to €2,500 for the period between July – September 2020.

3.  Water and Electricity expenses
Enterprises who are part of Annex A and B will be entitled to an incentive to cover up to 50% of their utilities with a maximum of €1,500 for the period between July – September 2020.

4. Fuel prices
Fuel prices will fall by 7c on both petrol and diesel; petrol from €1.41 to €1.34 per litre and diesel from €1.28 to €1.21 per litre.

5. Property transfers (Sale of property)
For those buying property, they will benefit from a decrease in stamp duty from 5% to 1.5% on property for the first €400,000, for contracts signed between 9th June 2020 – 31st March 2021.

For those selling property, they will benefit from a decrease in property transfer tax from 8% to 5% on property for the first €400,000, for contracts signed between 1st June 2020 – 31st March 2021.

6.   Vouchers of €100 will be distributed to each individual aged 16 and over to be spent in Malta on accommodation, restaurants and bars. €20 of these vouchers can be spent on other shops that had to close down during the pandemic.

7. Tax Deferral Scheme extended until August 2020
This scheme will be extended until the end of August 2020 and the repayment plan will be distributed over the course of 12 months. However, as from 1st July 2020 those employers who have withheld tax and SSC from employees need to pay this to the commissioner. Hence, the eligible taxes for this scheme will change.

8. Tax Refunds on 2018 taxes paid
This was part of 2020 budget and will be implemented in the coming weeks.

9.   Couples who had to postpone their wedding due to the pandemic
Will be entitled to a maximum of €2,000 for deposits that had to be repaid when postponing to another date.

10., In-work benefitThis will keep on being distributed to single parents, couples that both work and couples where only one parent works. Additionally, a supplement of €250 will be given to families that benefit from the in-work benefit.

11.  Malta Development Bank (MDB)The MDB will provide a new facility to underwrite any bonds which could not be sold due to mature this year.

12.  Trade and Malta Tourism Authority licences
These licences are being waived for this year and those who already paid these licences will be refunded. Entitled enterprises include vendors, shop owners, bars, restaurants, hotels and tourist guides. 

13.  Malta Enterprise – MicroInvest tax credits
Businesses that apply for tax credits will get 30% in cash grants at a maximum of €2,000 or €2,500 if business is based in Gozo or run by women.

14.  Malta Enterprise – Restructuring business models and re-engineering
Those businesses who require consultancy services to restructure and re-engineer their business will be granted €5,000. This is particularly targeted to small enterprises.

15.  Skills Development Scheme
This scheme will be allocated an increased budget. Small enterprises employing less than 50 employees are eligible for such scheme.

16.  Port charges and container discharge fees
A revision of 33% of port charges for vessels importing goods to Malta. A further revision of 10% will also be applicable on container discharge fees for both imports and exports. Trans-shipments not eligible.

17.   Trade Malta
Those businesses that sought to promote their products and services internationally will be entitled to a refund of expenses of up to €10,000. Moreover, those individuals and businesses who were attending international trade fairs which got cancelled due to the pandemic will be entitled to an 80% refund of the eligible costs.

18. Export grant
Those enterprises that seek new markets will benefit from the export credit guarantee scheme.

19.   Construction industry
Enterprises within the construction industry seeking to modernise equipment will benefit from a maximum of €200,000.

20.   Advertising of local businesses
Small businesses in Malta and Gozo will benefit from an incentive to promote their products and services.

21.  Low Carbon Development Strategy
Small and medium enterprises will need to report non-financial information so that it will help investors which are particularly interested in environmental, social and governance.