Labour to raise part-timers tax ceiling
PL has proposed raising the tax ceiling for part-time workers from €7,000 to €10,000 and giving returing to work women a tax credit of €2,000.
Speaking at a press conference this morning, PL leader Joseph Muscat explained that the tax band for part time workers has been frozen for the past 14 years while over 5000 women aged 35 and over who will reenter the work force will, for the first time, receive a €2,000 tax credit.
Dr Muscat spoke of a Family Business Act which would facilitate the transfer of businesses from one generation to the next simplifying tax-related issues. He explained that Labour is slowly revealing its economic road map and that the preferred model for economic growth is through public-private partnerships. In this regard, venture capital funds will be created through these partnerships for new businesses, which would include an €8,000 tax credit or 10% of the total investment including salaries for a maximum four year period.
The PL leader revealed plans for full-timers, students and pensioners, who would need to pay 15% tax on the first €12,000 earned through a part-time business. "Currently the rate is higher and encourages tax evasion," Dr Muscat concluded.