UPDATE 3: PL to challenge VAT on vehicle registration tax - ministry hits out at Opposition 'irresponsibility'
PL leader Joseph Muscat.
(Adds Alternattiva Demokratika statement calling for court action, PL counter-statement)
The Finance Ministry this afternoon criticised comments by PL leader Joseph Muscat that his party would pay for court action to challege VAT charged on registration tax. It said the PL was continuing to be irresponsible when it gave the people the impression that they had a right VAT refunds on vehicle registration tax.
The ministry said the Opposition was continuing to twist what Commissioner Kovacs said earlier this week. It was giving the people the impression that they had an automatic right for a VAT refund but neither the European Commission, nor the European Court, had said that the government should reimburse any money.
Dr Muscat’s comments today showed the Opposition’s deception, the ministry said. The Opposition had for days been saying that the government had been ordered to reimburse VAT, but it was now admitting that this had to be decided by the courts.
At a time when all the world was seeing how it could invest in industry, tourism and education in the face of an international crisis, the Opposition wanted the government to fork out millions which no judicial authority had said should not have been collected.
The Opposition either wanted the government to impose new taxes in order to recover those €50 million, or it wanted that amount reduced from incentives to boost investment and create jobs. This, the ministry said, was nothing but irresponsibility.
Earlier, Dr Muscat said the Labour Party would pay for and support court action to force the government to reimburse VAT paid on vehicle registration tax since Malta joined the EU.
Speaking during the launch of the electoral campaign of Maria Camilleri, a candidate in the European Parliament elections, Dr Muscat insisted that the government could not charge VAT on registration tax, and this had been confirmed by EU Taxation Commissioner Laszlo Kovaks last week.
The commissioner had also said that anybody could challenge the government in court, a comment repeated by Foreign Minister Tonio Fenech.
Dr Muscat said the Labour Party would therefore provide its assistance, including financial help, so that a number of people could take the issue to court, since it would be too expensive for people to challenge individually. He said anyone was welcome to join the class action.
In a reaction to the government's 's statement, the Labour Party said that if the people were irresponsible to seek their rights after having been charged an 'illegal' tax, then this government was seeking to deny the people basic European rights.
It accused the government of arrogance and said it had been warned for three years that VAT on registration tax was wrong.
Alternattiva Demokratika this afternoon also urged individuals to challenge government's "illegal" levying of VAT on motor vehicles registration.
Party leader Arnold Cassola welcomed Commissioner Kovács’ declaration that VAT should not be levied on the registration tax of cars.
He said individuals who were interested in mounting a challenge against the government's tax should contact him on [email protected] in order to protest this continued infringement and seek redress.
Finance Minister Tonio Fenech insisted last week that no community law had been broken, and it was the European Court which could ultimately decide if any law was broken.
In a worst case scenario, he said, reimbursement would cost the Maltese government €50 million. The European Court has decided two cases so far, giving different decisions against Denmark and in favour of The Netherlands. Malta held that its case was closest to that of the Netherlands, Mr Fenech said.
143 Comments
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MIRELA MARIANA
Jun 23rd 2011, 09:57
Please,who can tell me if we gonna take or no the tax back?
If yes,from where exactly?Thank you
A.Gauci Cunningham
Mar 2nd 2009, 22:05
M.Callus----Prosit a very "fruitful" comment indeed!!! In the meantime those injustices which have been done need to be rectified through none other than the EU itself and if it will have to take a J.Muscat to do it so let it be!!!!!!!! Have you realised that we've joined the EU or not????
M Callus
Mar 2nd 2009, 20:03
@M.Buhagiar Le m'hiex gejja. Ghaddiet...l-elezzjoni u t-tnejn ta' qabilha wkoll u tilifhom il-labour...
Michael Porter
Mar 2nd 2009, 18:56
Apart from this unjustice regarding the VAT being taken from us for 4 years, I suggest you'll take a look at how the vehicle licences in the UK are worked out and the DIFFERENCE the people there pay for their licences. It is true that Co2 emissions are involved,but the difference is so huge! Licences do not increase per year also! See this link:http://www.direct.gov.uk/en/Motoring/OwningAVehicle/HowToTaxYourVehicle/DG_10012524 and http://www.vcacarfueldata.org.uk/ved/. With the present reg+ circulation taxes we are unrightfully being forced to buy cars in the smallest sector, where as we all know, families need medium sized cars at least without being punished. Hope someone out there gives this issue a voice also please!!
S. Camilleri
Mar 2nd 2009, 17:51
A principle of eu law is supposed to prohibit taxation on tax; i.e double taxation. Irrespective of what any wise guy Minister Of Finance would like to call a tax.. be it levy, registration tax, import duty etc... Now in a company, the board of directors (aka cabinet) can be made personally liable for wilful wrongdoings ... and government knew it was breaking the law when it persisted with this illegal tax.; Now then can we ask the cabinets from 2004 to foot the bill. It will save some tax payer money. BTW.. what about the 18% vat on the plastic bag levy. Is not this illegal as well????
M.Bezzina
Mar 2nd 2009, 17:36
To all of us here!!We are in the EU now. We have to abide by the rules the EU has implemented prior to our entry.So in 2004 we had to be up to EU standard once we have decided to join in this year. So whatever yr opinion is who in other articles says yes ''Imnalla qedin fl EU '' and I agree with him cos I voted for EU now we also have to follow what the EU says and its useless to tell me that the GOV has to take this 50M euro out of the tax box its not fair to speak only in favour of the EU when we have to only.And its true VIVA EU....Thankyou EU for the help to refund this illegal TAX by the GOV!!!
Dennis Debono
Mar 2nd 2009, 17:35
If the tax is unjust it should be re-imbursed..I just wish I bought my car 3 months after I did.. I would also be eligble.. ...if the government charges every cent ; I am entitled by right to every cent... ..if it will cost the country too much, then it is the governments problem because it was the government himself to impose an unjust tax.... ..maybe the tax can be re-imbursed over time so that the country does not feel a big impact.. ..also if no more tax cuts occur the government will also be indirectly injecting the money into the economy, at least this is what Tonio Fenech says..(an indirect injection to the economy)
R Vella Bamber
Mar 2nd 2009, 17:17
Give us back our illegally charged tax Mr. Government and now !
Stephen Borg
Mar 2nd 2009, 16:45
The Nationalist Government should understand better than anyone else that we are members of the European Union and as members we should adhere and follow the rules. I think it is about time for the Nationalist Government to start behaving as a full time European Government. When the European Union told the Government to remove subsidies the Government followed suit but now that the European union found the Government at fault, the Government lost all it's European spirit and is claiming to be right while all the others including the European Union are wrong, as always after all this Government is perfect!!!!.
M Caruana
Mar 2nd 2009, 15:52
Following some research, I found out that according to the EU Commision 31/01/2008 IP/08/135 "The Commission understands that the car taxes levied in Austria, Malta and Finland, despite some minor or ancillary differences, are basically identical to the Danish one examined by the Court." taken from: http://europa.eu/rapid/pressReleasesAction.do?reference=IP/08/135&format=HTML&aged=0&language=en&guiLanguage=en Then, I would like to ask: Who decided that Malta's case is "closest to that of the Netherlands"? And WHY?
Wayne Hewitt
Mar 2nd 2009, 15:20
If the govt loses this battle, this is going to have a massive ripple effect. The govt will be faced with class actions on all tax on taxes imposed ever since joining the EU. What about VAT on eco contribution on most white goods and technology items? This is also a tax on tax and illegal by EU law.
Mark Piscopo
Mar 2nd 2009, 14:55
Hope that the PL will win the case in the European court and Dr Gonzi will give me back the Vat that was illegally taken from me when I bought the car two years ago. Thank you Dr Muscat and we are waiting for your instructions where we would give our details.!!Thanks and keep it up.
r stivala
Mar 2nd 2009, 14:36
Frank Vella (1 day ago) They should give the 50m right away back to the people. 50m more to be spent by the people would be a great and welcome stimulus package for the local economy. jidher li ma tapprezzax kif tahdem l-ekonomija Maltija. flusna nonfquhom fuq ikel, karozzi, hwejjeg, affarijiet tal-IT and 90% imported. So those 45 of the 50 m would be injected abroad not locally. Once again though- - please illumnghid - WHICH COURT has decided vat on cars was illegal? please let me know
Dr. Aaron M. Bugeja LL.D.
Mar 2nd 2009, 14:13
Given that my name and surname (together) are not that common in this country, I would like to make it clear that since my taking public office two and a half years ago (Senior Lawyer at the Attorney General's Office) I have declined making any public comments concerning politics or any other subject for that. Hence I would like to make it known that I have no connection with Mr "Aaron Bugeja" who has posted the second comment on this news.
RMangion
Mar 2nd 2009, 12:36
I think the issue here is that firstly 50 million Eur is not a small sum so the Govt would be thinking twice about that and secondly there are always holes in system for the Govt to say that he will not or cannot refund ( Layman's view, I do not know how the law stands)
Stephen Borg
Mar 2nd 2009, 11:51
It would have been interesting if this issue happened one year ago just weeks prior to a general election. What would Lawrence Gonzi and his minister have said? They would surely have promised to return the stolen VAT on car registration tax to whom it belongs. As Maltese and European I feel that the government should adhere to European rulings always and not only when convenient to him. If these money where charged illegaly they should be returned back.
r ferriggi
Mar 2nd 2009, 11:05
jien ivvutajt al EU. idawwarha kif idawwarha u ibengilha kif ibengilha, il gvern fdan il kaz wera li qed jiprova jigbor il flus b'kull mezz possibli, anke dawk li huma ' borderline' fil legalita jew forsi anke illegali. FGIEH ID DEMOKRAZIJA U TRASPARENZA, MA NGHADDSUX RASNA FLIZBALL. U GHANDNA NARAW LI MA JERGGHUX JIGRU 'FOULS' BHAL DAWN. PN WAKE UP.
Frans Sammut
Mar 2nd 2009, 10:08
Dr Paul Sant Cassia's evaluation of the present situation is evidently the clearest, most honest and most unbiased opinion I have read on this comment board regarding the issue of the vehicle registration tax which clearly goes against EU regulations. I was never in favour of Malta's joining the EU. But now that we're in we should abide by the rules. Moreover, those who led us should show us the way how to behave inside this entity. I believe we should have more of Dr Sant Cassia's responsible contributions.
J Cilia
Mar 2nd 2009, 10:05
At the onset i will state that i have always voted Nationalist. My view on the matter is that the only party acting irresponsibly and arrogantly is none other than the Government. Between 2004 and now, purely out of necessity, had to buy 2 cars and I openly declare that for any excess VAT tax I paid, I sure want MY money back. In the same way that the Government shows no compassion in imposing taxes, fines, charges and hefty interest rates I am in a similar frame of mind and now want my own pound of flesh. The Government/ Nationalist Party has provided the PL and J Muscat with a platform to act as Joe Citizen's bullwark, opportunistic as it may be the issue will ultimately cause a haemorrhage of votes. Right now the man in the street is venturing on seriously considering alternative voting options and the diehard Nationalists are coming to terms with Joseph Muscat becoming Prime Minister even before he is 39 years old. The writing is on the wall.
Stephen Abela
Mar 2nd 2009, 09:51
@ M Debono and all of you who share the same ideas:
1) We are full time , not partime members of the EU! " thanks to the PN "
2) JMuscat is a good or probably the best opposition leader , HE IS NOT OPPOSING EVERYTHING ! who is claiming the contrary has probably a hidden agenda !
3) Some of you argued that the 50 million refunds will be collected from the tax payers to be given back to the those who payed the VAT on the registration tax , but I ask you from where did the government collect the 50 million previously ?!
4) And finally your argument that "its not a good time to ask for the money back cause of the economic situation", makes no sense at all !
Rodnick Abdilla
Mar 2nd 2009, 08:22
The 50 Million € Problem is not mine. I was always told when things not mine don't use them.
So the people loaned him 50 Million € in vat which they should never did, but the government insisted to have them now it's time to give them back Dr Gonzi And Tonio.
If you don't have the money to give them back, bad luck but before election some one use to say FINANZI FIS SODDDDDDDDD !!!!!!!
marcello savona
Mar 2nd 2009, 08:00
Mr Tonio Fenech,
actually in economic terms, your party has gained from this venture for a number of reasons:
1) you are not refunding interest rates for the extra VAT charged!
2) the value of the euro is much less now than what it was 4 years ago....
refunding back the money to all the people who were charged extra in the 1st place shall leave you with aquisitions of above!!!
Frank Vella
Mar 1st 2009, 14:01
They should give the 50m right away back to the people. 50m more to be spent by the people would be a great and welcome stimulus package for the local economy.
Miriam Webster
Mar 1st 2009, 13:44
@Pierre Borg, M Psaila et. al.
Lemmings. Follow your leader, right off the edge of this island. Goes back to Winston Churchill's famous quote "the best argument against democracy is a five minute conversation with the average citizen". In your case, five seconds should suffice.
The democratic process must be followed. Don't even get me started about the banality of a simple majority determining the outcome of our last election(s), when our electoral system is anything but simple.
In most democracies, including ours, the courts are the highest authority, providing recourse for any wrongdoing by elected government. This case must absolutely be tested in court - that is the correct political process to determine right or wrong. Without a court challenge, this issue would die on the vine, like so many more that have been forgotten already.
But the outcome is far from clear-cut. At an average of a few hundred Euros per case, no individual can take the risk alone, so a class action lawsuit is the right way to spread the risk. In many countries, private law firms would have stepped up to the challenge, but alas this is Malta. Nothing is normal in Malta. Enough said.
Charles Busuttil
Mar 1st 2009, 12:59
Let me make a suggestions to you folks who seem so concerned about the hefty sum the Government will have to fork out on loosing the battle at the law courts. You should post your full name, address and I.D. number on this blog and declare that you will not be wanting your money back. This will put you on record. Come on this is the time to stand up and be counted. Some friends of mine who want their money back are pledging 5% of what they get to the PL.
Albert Bezzina
Mar 1st 2009, 11:52
If I am not mistaken Lazlo Kovacs stated that the refund should be given with the same conditions as under-paid tax is collected from taxpayers. That means that the VAT refund due should incure a 1% per month interest as levied by the Inland revenue Dept. And that is not even mentioning the 'multa'. Sure beats investing in Government Bonds!
M.Buhagiar
Mar 1st 2009, 11:47
G.Mangion.
Stenna naqra habib!!!! Tghaggilx!!!! Ghax gejja taghkom !!!!
Min Jidhak l-ahhar , jidqak l-ahjar ghaziz G.Mangion
Paul Preston
Mar 1st 2009, 10:56
This is starting to turn into a "Soap Opera" if this is the same Government that was keen to initially sign up and be part of the "EU" ? Then to me "If" the Government have been Blatantly Breaking EU Rules by applying this Silly Tax on motor vehicles since May 2004 ... Then It's Very Simple Just Put Their Hands In Their Pockets And Fully Reimburse Their Fellow Countrymen As Quickly As They Were To Take Their Money Off Them ! .. The Government either Were Breaking Eu Rules Or They Were Not ? I think some definate "Clarification " on the matter is required once and for all .. What a Farce isn't it just ? .. Is this really what being a Country in the EU is all about ? .. I don't think so !
G.Mangion
Mar 1st 2009, 10:11
Dear Joe, I wonder what, You are going to tell the peoplewho will take the issue to court,
after all the Loss of time you are going to give them.
Ahfruli *Ahfruli *Ahfruli *
C. Mifsud
Mar 1st 2009, 09:17
I cannot understand the logic behind the minister's accusation of irresponsibility. To my knowledge governments are not only investing in tourism, education and the industry to kick start the economy. Governments are also putting money in people's pockets. Wouldn't such a refund be a step in that direction?
Although it might not be blatently incorrect EU legislation in many cases regulates braodly and then gives the citizen the right to challenge governments on specific issues. Hence the citizens become the watchdog of their own rights. Class action makes such an exercise a bit more accesible to the man in the street. Why is the government so concerned if it is sure to be in the right?
J. Mifsud
Mar 1st 2009, 08:37
@ to all those who have no VAT to claim
May I ask you a very simple question? - Who is acting irresponsibly? The party who according to the EU Taxation Commissioner could not charge such VAT, or the party who is willing to provide assistance to all those who can use this money otherwise?
Please take off those political blinkers, and for once think and act with your own mind.
If the people are to be reimbursed, then the one responsible for this scenario should be held accountable.
This is simple mathematics!!!!!!
A.Gauci Cunningham
Mar 1st 2009, 08:37
1)---The 50 million figure is only in the "worst case scenario"......seeing that so many die-hard Nationalists have taken this news so badly I'm sure that they will be more than happy not to apply and so the above figure would plummet considerably!!
2)----Is it or is it not a fact that the government was applying VAT on cars which had already been charged VAT?? Isn't it true that this impinges on the much touted Free-trade between EU countries????
3)---For all those who are shamefully dangling their children as a political prop (again!!!!) what do you think of the money wasted in the Infrastracture ministry where people were paid overtime for overtime they never did and were paid on full when they should have been on half pay??? What is your opinion on the 300 WEEKLY increase for the cabinet?? Is that not money taken away from your poor , unfortunate children too?? Or is "Nationalist Waste" OK??
4)---Why are Pn supporters worried?? if Muscat is on the wrong he will loose the case and make a complete fool of himself!!! Or are you afraid of your much beloved "European-rights" coming down on your government like a tonne of bricks???????????????
C Grech
Mar 1st 2009, 07:23
To all those saying that Joseph Muscat is acting irresponsibly, do you have any refunds to claim? I find the minister's comments highly offensive, I could spend the refund on my children's education myself thank you. Or maybe pay a deposit to buy a Jaguar like of Austin Gatt. Perhaps I could also go to Brussels to try and imagine how it would feel to go for free several time a year (Co2???).
This all shows how politics is only a marketing exercise and now I understand why in countries like Italy people simply do not bother to vote.
The government show have a 2 year guarantee. I would be the first to claim my vote back.
E. Vassallo
Mar 1st 2009, 06:56
Joseph Muscat is willing to help challenge the VAT registration tax. Does he realise that he will have to make up for the 50 million in the eventuality of him becoming prime minister. I am sorry Joseph, never I have seen such an oppoisition leader who pursues trivial matters when all other countries are searching new ways and means to combat the international recession that will be hitting hard in the coming years.
Joseph, this will be coming back to haunt you in the eventuality of your becoming Prime Minister.
Joseph Borg
Mar 1st 2009, 01:27
@J Busuttil
This money doesn't belong to Gonzi. It belongs to the people.
The government should be capable of making his own money. If he's not, that s his incompetence.
Michael Spiteri
Feb 28th 2009, 23:45
@ Mr. or Ms. Busuttil
I would consider irresponsable an opposition that sabotages a government like laying a bomb on someones doorstep in the middle of the night. On the other hand a responsable opposition would help in a legal manner the citizens of it's country should the government be caught stealing from them.
Michael Spiteri
Feb 28th 2009, 23:37
So let me see if I get you PN apologists right. If a court case is decided against the government and a reimbursement is to be effected you will not claim for it. So there you are, problem solved as I bet that the majority of new car owners are PN supporters and after all it will not be Euro 50 million from tax payer's money in reimbursement.
Dr Paul Sant-Cassia
Feb 28th 2009, 23:25
If the Government is in a mess, it is of its own making. It is therefore a bit rich of the Government to accuse the Opposition of "irresponsibility" when it had levied these taxes irresponsibly to begin with. Opportunistic maybe, but not irresponsible. My definition of "irresponsible" means "accountable", and it is the Government that should be accountable to its citizens - including not imposing taxes when they are/were not permissible.
Leaving politics aside, this is a good lesson in:
1. That any Government policy of brazing it out with its subjects is very short-sighted and costly.
2. That some people should be held responsible/accountable for such expensive mistakes (this will cost more- both financially and politically - than the actual initially perceived short-term gains).
3. Forget politics: concentrate on the issue of Government accountability, responsibility and resignations for mistakes made.
andrea muscat
Feb 28th 2009, 23:21
@victor vella
Why don't we go and rob a bank or two as long as we dont get caught!!!! under the law even ignorance of the law still makes you liable. just imagine this government with all its high caliber consultants knowingly DEFRAUDED its second class citizens TO THE POINT OF ABSURDITY, losing its hold on reality and integrity by prolonging its descion too late .Leaving the gonzipn party sweating as their popularity graph plunges.Is this the way of impunity to lead society.
Richard Curmi
Feb 28th 2009, 21:39
J Busuttil,
now let me see how you will feel if I come and steal your money, I get caught out, would you want your money back??? I think you will skin me alive to have it back. you and your kind stink of egoism. International recession, creating jobs, so these have to be done by stolen money from joe citizen. Wasn`t the goverment warned that this was an illegal tax from years back.
joseph cachia
Feb 28th 2009, 20:57
Finance Minister.
My friend Dr. Fenech pls refrain from twisting JUSTICE.
You know (???) quite well that VAT is meant to be paid on consumables (in short expression)
and on the usufrutt of an object or item
Registration is an act of proof in print that declare any exise due on an object has been passed legally to whom was due. Therefore levying VAT on registration is abusing of power
and is called CHEATING and THEFT, whether the receiver is need of, or not.
If the government need 50m Euro's to promote investment, then stop paying the EU our money and claim that we need the funds to boost investment
A. Mizzi
Feb 28th 2009, 20:53
@Victor Vella
Do not try to confuse issues. The Government is the culprit , the Maltese Consumer the victim.
Dr. Muscat is defending what is rightfully ours. Dr. Joseph Muscat is not playing the good guy, he is the GOOD GUY and responsibile enough to use EU Laws in favour of hte Maltese citizen who is confirmed to be the moset taxed within the E.U. community.
Vincent Marmara
Feb 28th 2009, 20:51
Well done Joseph, Well done PL. This is the new beginning in politics and what Dr. Muscat was saying over and over again. The PL is being pro-active and showing cleary that people's interest are first on the PL's agenda, Well done ....... A great action.
And Mr. Pierre Borg ..... yes your comment is "incredible" ....... I can't believe such a comment ..... believe what you want but at least I am happy that there is a political party in Malta that really takes care of the people ....... fighting against the people is fighting against yourself!!!!!!!!!
You need to love yourself so that others will love you!!
Chris Mifsud
Feb 28th 2009, 20:38
I agree that the government should be forced to give back all the VAT they stole from people who bought cars after Malta became party of the E.U .
I don't care the slightlest that the Government will be out of pocket . Not my problem . All i care about is my own pocket and not that of the Government .
If Government wants to save money , it should repatriate the illegal immigrants and not let any more into Malta , ever . That would save a huge ammount of money .
Judges , members of parliment etc... should be made to PAY for their water , electricity and telephones just like everybody else . That should save even more money .
victor vella
Feb 28th 2009, 19:51
Do you people realise that Dr Muscat is playing the EU against the government? While I agree that the government should abide by all EU laws even those that are in favour of the citizen and not just tax us where the EU says he can tax us, and obey the EU rules and obey the EU laws itself first, I think that DrMuscat had stated that his leadership would be one of co operation and also a responsible leadership, so how about telling us where we can get more help from the EU Joseph,instead of continuously playing the good guy .
jesmond zammit
Feb 28th 2009, 19:49
gonzi can urge pn supporters not to take court action about these stolen money,so that they could (help) our country .
M. Catania
Feb 28th 2009, 19:44
@Michael Cutajar
Government should stimulate investment and productivity not the other way round. More imports would mean bigger balance of payment deficit.
What Brown and Obama (and Bush in this respect) was to bail out irresponsible banks with the people's money. Sorry but your economic reasoning does not make sense.
Do you want any (our ) government bail out banks with our money??Look at the UK how many banks were nationalised.
Albert Bezzina
Feb 28th 2009, 19:42
1) Finance Minister Tonio Fenech insists that;
a} neither the European Commission, nor the European Court, had said that the government should reimburse any money,
b} no community law had been broken, and it was the European Court which could ultimately decide if any law was broken. Therefore Mr Fenech is undermining his own conviction that 'no community law had been broken'
2) If Finance Minister Tonio Fenech is so convinced of the above, he should not feel compelled to declare PL irresponsible re Malta's €50 million financial burden as in any case, since he is 100% convinced that court action would rule in Government's favour, all he has to do is sit back with a smile and watch PL and claimants make fools of themselves.
3) It is true that there is currently a worldwide economic crises but the court case in Malta followed by the likely referral to the European Court of Justice for a ruling would take at least three years. That is why it has to start now.
4) "invest in industry, tourism and education in the face of an international crisis"? After 60 years there is suddenly need for €80million for a new Parliament.
N.Attard
Feb 28th 2009, 19:34
The govt is flippin wrong this time. Yes I want my unfair paid VAT back dear arrogant goverment. Isnt it enough that we pay very expensive (even with the new rubbish system) registration tax?
Also I have a question. I booked a flight for next month last August. Now that the departure tax was removed in the last budget, will I have a refund on that tax? The flight is way after January 2009 so I am expecting a refund correct?
Also thanks for the new speed cameras. I just want to know who these 'experts' who decided on 60km/hr are. I think they are either ants, centipedes or tortoises. Most probably they just never drove at all!
J Busuttil
Feb 28th 2009, 19:25
The PL is irresponsible. 50 million forked out now in this International recession is irresponsable. Govt need money to finance more industrial enterprises to create JOBS . Even AD is irresponsible. This is not new way of doing politics . Irresponsible for a MILLION times.
Kevin Spiteri
Feb 28th 2009, 19:10
This is a battle between the PN apologists and the majoritiy of the people!
Mike Magri
Feb 28th 2009, 19:10
It looks like this `good` news for all of us `vat-cheated` purchasers of cars since May 2004, has literally Shaken the PN `Pillars` so tremendously at tal-Pieta, that it had literally trembled right down their foundations so hard, as if they were hit by a scale 10 earthquake .....!!
As far as i am concerned, it is so clear, that all this `cheating` has happened, because Malta`s Finances were and still are at a total and complete fracas situation. Main reason being is that Malta had the same type of politicians running it for far too many years and they are realy treating us, like just a number....!!
The PN, i am sure, knew of this situation BEFORE joining the EU... EU Expert..(!!!!), Dr. Simon Busuttil, must have told them about it... Because if not, he too is a participant in this nasty `vat cheat`...
OH YESSSS GUYS... THEY JUST PULLED ANOTHER ONE ON US `NUMERICALS`, ..`..INKISS.. INKISS`..!!!
Therefore, we must now give all of our support to Dr. Muscat on this crusade, so at the end we would know who really was and still is `Irresponsible` and `Cheaty`...
Thank You Dr. Muscat.. Well Done...
Charles J Buttigieg
Feb 28th 2009, 18:44
@ Joe Grima
Prosit Joe for a top of the range contribution. I only differ with your book which says ‘Pay up or go home’ my book says ‘Pay up, go home and stay there.’I also disagree with those contributors who seem to be looking for good arguments to convince the few PN lackeys. The tax payer has a divine right to be reimbursed with the amount of hard earned cash which the government took away from our pockets illegally, and the lackeys know that too and they are also beneficiaries.
If the 50 million Euro refunds would seriously harm the economy then there shall be no other option to recover that amount than by some new tax for which we will only have Gonzipn to be grateful for. And then come election time, the masochists may go to vote PN once more because twenty years ago Mr. Mintoff deprived us from Mars Bars and velvet double soft toilet paper.
Peter Aquilina
Feb 28th 2009, 18:21
Way back in 1992, while on a holiday in Saarbrucken, ( West) Germany, it was observed that there was a considerable number ( at least in the hundreds) of private cars bearing French registration plates. When I enquired whether they were tourists' vehicles, I was told that the vehicles' owners were people ( citizens of the E.U.) who lived and worked in Germany . I was told that it was FREEDOM OF MOVEMENT for all citizens within the E.U. !
Well,.........maybe these E.U. citizens are lucky that their respective countries are so to speak, direct neighbours, and they DO NOT HAVE A SEA ( as in the case of Malta, ' isolated' by the Mediterranean Sea) that might have ( VERY UNLIKELY) encouraged their transport authorities to impose another registration tax..........and the rest of other taxes !!!!!!
So, in this case it seems that because of the Maltese Islands being unattached to mainland Europe...........a different "rule" applies ??!!!!
John Zarb
Feb 28th 2009, 18:03
It is true that this tax is illegal and that we have been ripped off. However Joseph Muscat's reaction is really unprofessional, especially the part of forking out money to help people with court action. If PL really has this money it should be financing things which are more important - such as medical care or education, not court cases against car tax! But then again PL should not be financing anything of the sort in the first place - PL is neither a legal firm, nor a bank, nor a charity. It should concentrate on being what it should, that is a viable and worthy opposition to help us get rid of this current government which after all these years fell into maladministration and corruption.
MLP have made a fool out of Socialism in Malta from time immemorial. Yet again LP has shown what a total farce it still is !
GEORGE J. CUTAJAR
Feb 28th 2009, 18:03
I SIMPLY FAIL TO UNDERSTAND THE GOVERNMENT"S REASONING BEHIND THIS BLATANT REFUSAL TO REFUND THE VAT PAID ON CAR REGISTRATIONS EFFECTED AFTER 1st MAY, 2004 ON MALTA JOINING THE EU.WHAT IS SO DIFFERENT FROM THE SATELLITE LICENCE FEE REFUNDS. I DO NOT RECALL ANY LICENCEES HAVING TO GO COURT TO GET A REFUND,
IF THE EU DECLARED THAT THE CHARGING OF VAT ON REGISTRATION TAX IS ILLEGAL THAN THE GOVERNMENT SHOUD SIMPLY PAY UP AND CLOSE THESE CASES ONCE AND FOR ALL. AFTER ALL SIMON BUSUTTIL HIMSELF , ALONG WITH JOSEPH MUSCAT PUSHED THIS CASE IN THE EU.
IN ALL HONESTY THE PN GOVERNMENT SHOULD CARRY OUT A PROFOUND EXERCISE OF SOUL SEARCHING AND PUBLICLY DECLARE WHETHER WE MALTESE ARE 100% CITIZENS OF THE EU - FOR BETTER OR FOR WORSE - OR WHETHER WE ARE JUST EU CITIZENS WHEN POLITICAL EXPEDIENCY SO DICTATES.
GOING TO COURT TO GET WHAT HAS ALREADY BEEN DECLARED TO BE OWED WILL ONLY INCREASE THE WORK LOAD FOR THE COURTS AND SURELY WITH LEGAL FEES AND EXPENSES THE Euro 50m COULD WELL TURN OUT TO BE EURO 75m. WHO WILL MAKE GOOD THE FOR THE EXTRA AMOUNT?
salvu calleja
Feb 28th 2009, 17:50
To all NationalistParty apologists…It’s incredible, Unbelievable almost TAD-DAHK You are throwing away
Those EU values The PN fought for decades..STOP making this FARSE, STOP you’re lost in confusion. MY YES VOTE FOR EU IS STILL VALID….SO PLEASE STOP
Charles Sammut
Feb 28th 2009, 17:50
If this PN government did not do anything wrong, why is the Honorable minister bothered by any class action suit against this tax on tax?
Surely Dr Fenech has absolute faith in the courts, especially his beloved EU courts. So why all the hot air? He insists that he was justified to impose a tax on another tax, now he will just have to prove himself right in court.
Is this government so detached from reality? I think it sure is.
We might have joined Euroland but 1 Euro in Malta buys you much less than in other countries. So in effect our Euro is devalued in real life, if not on paper. Creative budgeting and accounting can only get you so far. Reality eventually catches up with fantasy; ask a certain Bernard Madoff.
dusty williams
Feb 28th 2009, 17:45
Irresponsibility? What irresponsibility? the PL?
This is insane from the finance minister, this country needs a change, this government is so arrogant.
m Debono
Feb 28th 2009, 17:38
Mr. Muscat
Please grow up and start acting like a TURE oppisition leader. Note Opposition does not mean OPPOSE everything !!!
And for those of you who think that you;re going to receive a refund on the car you bought,.... where do you think the Gov will get that from... FROM OUR OWN POCKETS !!!!!
pierre borg
Feb 28th 2009, 17:30
even i bought a new car in 2005 and i would be glad if i get part of what i paid back i am no fool, but i am also concious of the world wide situation, last month the government had a shortfall of revenue of nearly 74million, what do you think the consequences would be if this repeats itself for the coming months.
PL is trying to look good and trying to take political mileage from this issue, if he were governing he would not even dare say that, dear fools.
D Ellul
Feb 28th 2009, 17:16
Dr Joseph Muscat is setting the country's agenda from the opposition and is capable of rallying people behind him. It seems that our passive and reactive government is struggling to get something right in this legislature - really, I have never seen such a bad PN administration. If registration tax is illegal according to EU law, the people should be given their money back - WE ARE NOT SECOND CLASS EU CITIZENS.
O Galea
Feb 28th 2009, 16:58
Dear all
On should thank the PN for giving Malta right of access into the EU. This was contrary to what the MLP (now the new blood PL) tried to convince us Maltese about. If it wasn't for our full memership, we Maltese wouldn't be able to claim back our rights. If post 2004 VAT on vechicle registration tax is truly peoples' money, so let it be and thanks to the PN and to the EU for defending and guaranteeing people's rights. That is why I voted 'YES'.
So if the money which I paid when I acquired the car is lawfully mine, then now I know that there is someone beyond me who will guarantee re-imbursement. And I am sure that Mr Gonzi shall sooner or later amend this alleged failure and settle the issue.
I appeal the authorities to review the matter deeply, avoid unnnecessary law suites and a political rift, rise to the occasion and settle with dignity the peoples' monies if the case. It is quite natural that one's own pocket comes first even siding with the devil. After all justice is justice....u s-sewwa jirbah zgur.
Maria Zammit
Feb 28th 2009, 16:56
Dear Mr Gonzi,
If VAT on car registration shouldn't have been charged, I should hope that I don't need to go to court to challenge this but a simple cheque in the post will suffice. Don't need to have an apology either but I do expect the government to be just with me and others like me, otherwise I'll lose what little trust still remains in public authorities.
Give to Caesar what belongs to Caesar, give to God what belongs to God and give to the people what is rightfully theirs... in the name of justice.
I do not expect a government that got us into the EU to give us more rights to take our rights away himself or worse, to lead us a dance.
Noel Schembri
Feb 28th 2009, 16:47
it is unbelievable how can someone critcise these actions . This is what we pretend from an opposition and that is what we need in this country .
Prosit Joseph and keep it up .
martin saliba
Feb 28th 2009, 16:33
I havn;t read any of the comments below but a few days ago some blue eyed chap dared the PL to take the goverment to court or something to that effect. Hopes this same person dares his Goverment to be honest and pay up.
jbusuttil
Feb 28th 2009, 16:28
@Karl Borg Bartolo
So you are agreeing that the money from St. John's project is out of the question as these were going to be EU funds. I agree with you as regards the social services and water electricity bills. As regards to Mater Dei we should thank the MLP for it, as it was in their short spell that the project exceeded its limits. As regards to refunding the € 50 million and putting it back into the economy I agree but obviously the government has to start collecting this money before seeing it going into the economy. Than Who pays?
@mario borg.
For you its a matter of winning and celebrating than what ? From where will PL get the money? Still waiting for an answer and I would prefer it coming from PL. Mind you I would also like to know from Tonio Fenech if he had to pay the € 50 where will he get this money from?
m zahra
Feb 28th 2009, 16:25
Karl Borg Bartolo
you said - issa the government was told by the EU to reimburse the VAT paid by customers on new vehicles they bought since 1st May 2004. This will cost €50M
please - can you show me the link where the EU said so?
It is only the PL that has said so. No where the EU has said the comment you wrote. Be factual.
Albert Gauci Cunningham
Feb 28th 2009, 16:23
Unbelievable!! here we are faced with a PL which is finally acting like a European political movement should and some politically blinfolded commentators are desperately wailing about the country's finances!! These are the same people who clapped and cheered when Dr.Gonzi said that Malta's finances were strong , the same people who had nothing to say when Gonzi gave a number of ex-Ministers and an Ex-party leader thousands of euros "ghax bla xoghol jahasra...". These are the same commentators who had nothing to say when Gonzi gave an astronomic 300 euro WEEKLY INCREASE to the cabinet!!!!
.....so if i'm getting the gist of it these Pn supporters see nothing wrong or economically dangerous in ministers getting an unmerited wage increase but then expect the government not to give money which might be proved in Court to have been taken illegally!!!!!!! It's Ok to tax the living hell out of us so as to have enough to "buy" votes come 2013 but its not OK for the Maltese/European citizens to ask for money which they shouldn't have paid!!!
Truly a case of European consumers' rights being trampled upon by none other then the "paladins of Europe"
A. Mizzi
Feb 28th 2009, 16:20
"Justice should not only be done but be seen to be done"...even with Maltese consumers. Does this still hold?
Thank you Dr. Muscat, you are the Peoples' voice, this is what the people want and not the “I take decisions, I am the Prime Minister, I am the government.”
leonardo vince
Feb 28th 2009, 16:11
Well, the Minister is reluctant to pay back illegal taxes. He is also on track to scrap the stipend systems to University students.
We are topsy turvey in realation to the world. while all governments is giving more cash to its citizens, in malta it is the opposite. genninni ha nifhem.
Herbert J. Grech
Feb 28th 2009, 16:08
Why are some so worried about the economic crisis and about where the government would get the money from?!?! If the €50 million were robbed, they must be returned to owners. We should not even be discussing where the government should get the money from. If something is illegal it must be rectified, and those who suffered have to be reimbursed.
Unlike some might be thinking, what PL is proposing is simply in favour of the middle class or lower, since these segments would get the VAT reimbursed. Rich people who buy higher end cars already manage to get their VAT discounted by listing their vehicles as company cars.
So go on Dr.Muscat, we are behind you. This is not about politics, but it is just about being fair and getting the real benefits of the EU partnership.
Joseph Mizzi
Feb 28th 2009, 16:03
Phase 1: EU declares that VAT on vehicles purchased since May 2004 is illegal and should be given back.
Phase 2: Joe citizen demands the refund which is his by right of Malta's membership in the EU.
Phase 3: Government refuses, asking Joe citizen to file a lawsuit.
Phase 4: PL declares that it will institute a class action, and it will help Joe citizen get what's rightfully his.
Phase 5: Government accuses Joe citizen that by going to court, he's undermining the precarious economic condition of the country.
I ask: Who truly wants to protect the people's rights as laid down by the EU? Which of the two major parties truly wants to make a success for the Maltese people out of EU membership?
If those who bought a car since May 2004 do not want their money back, the decision is an easy one to make - don't join the class action, and invest the funds in the country's coffers!
F.vella
Feb 28th 2009, 15:52
Such a commitment made by the PL shows who the real progressive party is in our country. I can't understand why finance minister Tonio Fenech is finding it that much difficult to give back the 50 million Euros to the rightful owner. It is true that such money will reflect in a positive manner in our economy but the point is that everyone who bought a car over the past four years was being legally stolen and now thanks to the PL such an abuse is being challenged. The PL is being the voice of all those people who have been victims of this abuse and this shows that the PL is the peoples voice.
Joseph Caruana
Feb 28th 2009, 15:50
I Ask Why know to the courts all the fuss? - hmm 4 months away from the EP elections.
Ahhh....
4.5 years has passed dear readers from when Malta became an EU State member and now all the fuss.
After all I think it's another one like the typical labour magna-
gidma wara gidma..
Michael Seychell
Feb 28th 2009, 15:50
How easy it is for Joe Muscat to pay the court and legal expences for a cause he may after all loose If the EU felt certain that the Maltese government had acted illegally, the EU would have started legal action against Malta as it did against other countries. Since Malta case is very similar to Holland's case, who won the court action instituted by the EU against them on this same matter. It is evdent the the EU is hesitating to take Malta to court.
Now JM has decided to spend the party's money and take the PN Government to court rather than leave Europe to take action! What the supporters are not realising is that similar to the thousands of Euros the Labour Party looses in Libel Actions, they will retreive the money from the workers contributions.
No wonder Cuschieri is begging for money on a door by door basis. He should contact some some Big Fat Cats Joseph has met since he took over the Party maybe they would be prepared to help the PL.!
I never doubted that Joseph like his predecessors will do EVERYTHING to obtain power!
Michael Seychell
Pieta
Kaydee Zammit
Feb 28th 2009, 15:44
Yes, well, we want to be just like the EU in SOME things, but definitely not others don't we. Without any political interests, I applaud Mr Muscat for challenging the government. It's about time that this expensive ride we're all being taken on is stopped. What about the driving age, we have reached a state where one has to take about a year in lessons before the driving test, if not more. Why is it becoming ever more difficult? And please don't tell me it's for safer driving, because some of the things they are being tested upon veer on the state of banalities.
Herbert J. Grech
Feb 28th 2009, 15:42
@ PIERRE BORG
Are you serious? Do you really want PL to fight with Government against EU in order to make sure Maltese citizens do not get their money back?!?!?
Who cares if the PL leader was in favour of EU 5 yrs ago or not? We are in 2009 now, hence let's move on.. Maltese citizens were being robbed for the past years, and now, finally someone is speaking out in order to get our money back.
It will cost the government €50 Million simply because €50 million were robbed from our pockets. I can't wait to get my money back!!
John Borg Manduca
Feb 28th 2009, 15:32
Let us all keep in mind that by encouraging people to buy new vehicles, rather than second-hand ones, we will be investing in our environment, in having a cleaner air, in our children.
Alex Camilleri
Feb 28th 2009, 15:29
@M Zahra
This is part of the reply I got from EU after I questioned the VAT imposed on 2nd hand vehicles:
"A second infringement procedure was at the same time opened with respect to the fact that Malta includes the registration tax in the taxable base for VAT purposes which infringes the VAT Directive. Unfortunately there is no press release on the second infringement procedure and the letter of formal notice sent to Malta is also not public."
Needless to say - M'hemmx trux ghar minn ma jridx jisma!
wally vella-zarb
Feb 28th 2009, 15:24
I really cannot understand some of the commentators who are arguing against this proposed collective action.
By their same reasoning, do they refuse the cheque when they get a refund of income tax that has been paid in excess? I have always encashed mine and I only complain that I do not receive any interest - while Government does charge for delays on our part. Am I doing something wrong?
Here, what we have is a similar scenario. VAT has been paid when it should not have been charged; it needs to be refunded.
Stephen Galea
Feb 28th 2009, 15:21
Presumably this court case will take years before a verdict is given. And Tonio Fenech already stated that if the case is lost in the Maltese Courts, he is ready to take up the appeal to the European Courts. So presumably the case will not be over before the next General Elections.
If the courts decide that a refund should be given, will the Honourable Dr Joseph Muscat let the people know whether he will find the millions by reducing aid to Industry, reduce investment in our kids' Education or will he just increase the National Debt?
Karl Borg Bartolo
Feb 28th 2009, 15:17
@ jbusuttil
no there is no EU funding on this. If you buy a car you have to pay VAT on it. VAT goes to the government - like when you purchase anything else.
issa the government was told by the EU to reimburse the VAT paid by customers on new vehicles they bought since 1st May 2004. This will cost €50M.
Economists agree that these €50M will be spent by those receiving their refund. Therefore these €50M, or a substantial part of it, will be injected in the local economy - something which is needed in the current scenario.
So yes, the government will fork out this amount, but it will be invested in our economy as well. And if not, the fact still remains that these €50M are people's money. Government should have never charged VAT on new vehicles.
P.Schembri
Feb 28th 2009, 15:16
I never thought I'll see the day when the PN apologists defend their Party even when it's in the wrong. Which case is here is true. The Government should have foreseen this! And they try to convince us, the maltese people, that they're impartial. It's like hearing Gonzi extolling PL's attributes!
Will you please, pn apologists, for once in your life, take off those blue blinkers and see the truth. The government has ripped Lm50 million off the Maltese people. Now Judgement Day has arrived.
Joseph Sammut
Feb 28th 2009, 15:09
@Silvio Busuttil: from your blog I take it take you are one that hasn't bought a car since 2004. Your line of reasoning is crooked to hell: who bought a car since 2004 was forced to pay VAT. What was one to do not buy his means of transport? It is not now that the EU has decided against the Maltese Government: the law against VAT was there before 2004, when we joined: the issue exists because this Government kept robbing us for another 4 years. If not so, why is the Government removing it now, why not continue charging VAT? Very simple reasoning, why complicate it? The resistance on this issue by this Government is the loss of face he will suffer because of it, whether he reinbuses the money or not. Shame, Shame, Shame!
jbusuttil
Feb 28th 2009, 14:55
@Karl Borg Bartolo
I admire your comment but you have not answered my question what would Joseph ie PL do and from where will the money come from. By the way you cannot pay back from EU funding you should know better.
C Borg
Feb 28th 2009, 14:52
Keep in mind that the government's money is our money. But he is able to use it to improve our schools like the one I learn in... If the economy gets worse, so do our schools etc... than we could thank Joseph Muscat's heroism for failing our country's economy and increasing the economic crisis that the world's facing.. therefore less opportunities, less jobs and lower wages. We'll be suffering the consequences not the government! I agree with forcing the free trade between EU countries, but the 5M refunds are going to make Malta worse
Michael Cutajar
Feb 28th 2009, 14:46
I do realise that the Generals at the BUNKER panicked big time this morning when this news was published and urged all NationalistParty apologists to shoot down this proposal. Many of them failed to do so because no matter how hard they tried, they couldn't attack such a proposal . The few however posted some panic-stricken comments which in a nutshell say that we (the Maltese) are going through a financial crisis and so the Partit Laburista should not challenge the Government for some €50 million that the latter robbed from the hard working families and middle class citizens.
In a nutshell they clearly explained the dividing line between the Nationalist Party and the Partit Laburista. Like all neoliberal and Conservative Governments (responsible for Todays worldwide financial crisis), PN says that the Government should collect more taxes so as to sail through this financial turmoil. The Partit Laburista on the other hand, like all progressive Parties (Obamas Democratic Party and Gordon Brown`s labour Party) is passing on money to the people through a range of measures designed to stimulate consumer spending.
Indeed this is the road to recovery.All over the world, policy makers are leaving behind the solutions of yesterday
David Pisani
Feb 28th 2009, 14:45
I think we have to change our mentality from one English dominated to a European one.
Lets demand what is ours irrispective who is in government. When seeing things from a red/blue perspective you are limiting yourself. I applaud all those who work for people's and worker's rights.
Labour Party is doing what others parties do in Europe, mainly the left ones, such as United left, Greens and Socialist. Where in many cases they help the grassroot to form an allaince and also assisting them financially and legally. In Latin American countries this happen also whereby left parties help people to fight against corrupted practices induced by multinational corporations. Evo Morales is a case in point.
A Bezzina
Feb 28th 2009, 14:40
€750 million were dished out in aid to the docks, €80 million have been earmarked for a new parliament building. €50million should be sourced in the same way like all the other millions which were sent down the drain.
My only reservation is that PL could score points with motorists whether the case is won or not. Hope the challenge in court is real and claims argued with all guns blazing.
Alexander Grima
Feb 28th 2009, 14:31
In simple terms, the MLP leader is telling the government to tax the Maltese people 50 mlln more in the coming months. If this is what the new political season is offering then I would simply prefer the more familiar one!
Maria pace
Feb 28th 2009, 14:20
@Joseph Caruana
I would at least expect you to back up your facts before you comment. Joseph Muscat was the one who brought this issue up in the European Union.
M zahra
Feb 28th 2009, 14:20
Alex Camilleri
give me (you or Pl) the court decision where it was stated that this tax was declared as illegal.
don't waste time looking, you will not find it as there is no such decision.
Joe Grima
Feb 28th 2009, 14:18
We have bveen living in a rogue state for years. Government started testing this sheepish population first with the introduction of wardens. The excuse was that we are an unruly lot and need to be regulated. The docile Maltese accepted and Wardens ran riot with the country. The company employing wardens is raking millions off our backs every year. Then it was the Valletta tax. the excuse? We needed to reduce car congestion. Another company surfaced to fleece the daylights out off ordinary citizens who do not enter the Capital for fun but because they need to. Now this rogue state openly steals an illegal car tax from people's pockets with impunity . Well done Joseph. In true Truman tradition: : Give them hell Harry. When they lose the court case, as without doubt they will, Fenech will have to fork out. No qualms of conscience about a Lm250 million hospital that gives one cramps just to cross from one ward to another. No repentance over 70 million spent at election time. Now it's crocodile tears over the refund. Well, to take a leaf from an ageing political slogan book Pay up or go home Tonio
R. Caruana
Feb 28th 2009, 14:18
When is the PL, and Dr Muscat, going to pay for a class action so that those property owners robbed by his party get their property back??
I wonder......
mario borg
Feb 28th 2009, 14:12
@jbusuttil
I would be happier if the PL would win and will not give me back my money.
The PN shouldn't have taken this money from us in the first place. I just don`t want someone who cheats on people in this way in government.
Maria Grima
Feb 28th 2009, 14:07
unbelievable, some people just look from a political lense. What if Joseph Muscat really wants what is best for us? Now we have another opportunity to make a better place and some people again posted some comments that again are seen from the PN lense. I ask you all to answer this question: If the government gives people their money back, people will spend it and there will be 50 million going round in the economy, no? this would not make our country suffer but might be of benefit to us. but again there exists three lenses... those who look in the red one, those who look in the blue one and those who look in the transparent one.
Alex Camilleri
Feb 28th 2009, 14:05
@pierre borg
dear pierre - will you refund the Eur500 that the gov illegally took from me?
If not then please be quiet!
Gerad Cassar
Feb 28th 2009, 14:04
Was the money collected as VAT passed entirely or in part to the E.U? If so who benefited most from the paying of VAT on vehicles? Will the Government be able to claim the amount paid to the E.U? Perhaps this is simplistic and what I am writing is stupid but as far as I know through reading letters, opinions etc... VAT money is passed over to the E.U or I am wrong?
laurence schembri
Feb 28th 2009, 13:56
@ Maria Falzon
It is daylight robbery, Tonio fenech is confused on this issue.
So according to the Minister it is acceptable to rob Paul to feed Peter.
The true fact is that the "hofra" is at present a "volcanic crater".
I Falzon
Feb 28th 2009, 13:55
Dear Economists!!!
governments the world over faced the credit crisis by simply injecting more money in their economy (yes they borrowed more, they increased their deficit!!!!) giving more money to the people. So in the absence of such government initiatives in Malta, these 50M will be a starter. More money in people's pocket, more money they spend....etc etc etc
M Grech
Feb 28th 2009, 13:41
It's interesting to read jbusuttil's and Pierre Borg's warped way of thinking. Would jbusuttil claim a refund of any overpaid income tax? Would Pierre Borg happily pay a higher road tax than at present. Being refunded any amount of money unlawfully taxed by a government is not really tantamount to robbing Peter to pay Paul as is claimed, but returning to Peter what was lawfully Peter's in the first place.
Chris Azzopardi
Feb 28th 2009, 13:21
Thanks PL for stand up for us common citizens. We don't want to rob the government, we just want what's rightfully ours. I'm currently saving up for a home loan and that money (my money) should rightly reside in my slow growing savings account. I don't care if I get them under a PN government or a PL government. For us citizens, stealing may lead to jail.
Dr. Muscat you have earned my respect once again. Keep up the good work.
A Borg
Feb 28th 2009, 13:19
No please Dr. Muscat don’t do it!
If Malta would have to fork out 50 million Euro, from where would the goverment be able to pay for the perks, the ‘Xalati’ abroad, the Rovers and astronomical mobile phone bills of the ministriesetc,etc,etc. ?
Joseph N Attard
Feb 28th 2009, 13:10
The Government has been asking for it, becoming progressively more hard headed as events unfolded, and failing to see the writing on the wall. It is vexatious pleading that registration tax and vat on it were paid by different entities. It is the car buyer who ended up paying both. The government must understand that it is facing an increasingly frustrated and angry motorist: the highest car prices in Europe, even after the recent adjustments; the worst immaginable roads to drive on, with government failing again to understand the urgency of the problem; ridiculous speed limits and superfluous road obstacles for bona fide motorists, without really tackling inner town reckless drivers.
A steadfast Nationalist Party voter since 1962, I will be one of the first to put my name to the class action, in the hope of recovering in excess of Euro 5000 illegaly wrenched from me. The Government had better come up with a quick solution of its own, with the MEP's election looming.
And crying that refunds will cost the Government 50 million Euro is tantamount to a robber pleading in court that giving back his ill gained wealth will beggar his family!
salvu calleja
Feb 28th 2009, 13:07
I have no more tears to shed…….We were promised that in the EU consumers rights will prevail.…So what’s going on???...Thanks PL and all those who care for us
A.Vella
Feb 28th 2009, 13:06
Shame on you Jospeh Muscat, seeking political advantage on such a sensitive issue in such a delicate time. The minority of people, those with some intellect, which luckily are those who decide elections in Malta, will see the real intentions of this move.
Some few months ago we were promised a new style of politics. The track record so far seems to indicate more of the opposite, more fanaticism in Maltese politicsthat is, first with children being asked to be involved in politics, then making govt more bureaucratic by not allowing pairing, and now this.
frank grech
Feb 28th 2009, 13:05
Dr Gonzi, we know that you are a reasonable man. You know what happened to other politicians who were hard headed. This is why we voted yes for Malta to join the EU. Do not go back on your promises. Stop the arrogance of a few that are around you. You can do it.
E. Psaila
Feb 28th 2009, 13:02
@ Pierre Borg
Isma siehbi! Ahna l-flus nahdmu ghalihom ta'. Go on Joseph take them whatever court possible, get us back our money.
Joseph Caruana
Feb 28th 2009, 13:02
Its all Popular Polities - something that is against the government, joseph muscat will speak in favour of it - typical of labour in the opposition...after all joseph was there in the european parliament for 4.5 years and this was never mentioned...
ahh is-sahan is-siggu kien jew??
Karl Borg Bartolo
Feb 28th 2009, 13:00
@ jbusuttil & jzammit
These €50 million could have been easily obtained if the government didn't spend €70 million in propoganda before last year's election.
Perhaps the government can get them now from his savings on the St John's project, or from the excessive funds spent by embassies abroad, or by controling more those who abuse of social services, or by controling more its own electricity bills, or by ensuring that the €80 million Parliament building does not exceed the stated amount as was the Mater Dei case.
clive borg
Feb 28th 2009, 12:58
@ PIERRE BORG
You cannot understand what, PL is supporting us including me that has got a new car and had to pay VAT on registration tax... If you cannot understand it thats simply cos you have a scrap car on the road else you would understand it clearly, why should i finance Malta and you not that was money taken from me against the law...
And as i hope if yes it comes in our favour and we get paid OUR money back, its no point that the government has to face the deficit at least its not only me that has to contibute to it that has brought a new car but you have to pay too that you own a scrap...
Nice action from the PL...
Joseph Casha
Feb 28th 2009, 12:55
@ Pierre Borg
First off: what are you on about?
My common sense tells me that the VAT that was illegally charged is mine, so i want it back! Also, don't forget that the person opposing the EU was Alfred Sant, different story all together. Joseph Muscat is fighting for what was rightfully mine to begin with. what is wrong with that? he has been doing so since he was an MEP. It's thanks to him that we have achieved a lot, starting from the removal of the Satellite dish license removal and the reduction of roaming rates on mobiles. Read up, you would be surprised of how much this man has worked for us and still is.
I understand the country is in dire need of money, but the government never hesitated to take people's money, so i won't hesitate to get it back if i can.
Anthony Grech
Feb 28th 2009, 12:51
@ Pierre Borg, Yes your comment is truly incredible. I too can not understand how people like you are so blue-blind that they do not give a dime if their fellow countrymen and brothers were robbed by the so called democratic government. I also agree with you that it is not the moment that people are illegally taxed to pay for the incompetence of the government. So Mr. Borg, I come to your house rob you Euro 50, spend it, and when I get caught I tell you that I have already spent it and if I reimbursed the money I will suffer. And that is common sense for you? Come on grow up, call a spade a spade.
Thanks Joseph and PL for protecting us.
L.Muscat
Feb 28th 2009, 12:45
Why don't the PL promise that when they are elected they would refund the money without the expense of the courts. When in opposition it is easier to criticise and try to force the government for a refund, so that they can criticise the government for the deficit.
jbusuttil
Feb 28th 2009, 12:33
What happens if say the Maltese court and the EU court decide that the government has to pay say the € 50 million. The PN calls an election PL wins. Than what Joseph? will you pay us?. If so from where will you get the money. Apart from politics this is interesting. Me personally I will benefit. But then us Maltese even those who do not benefit from this refund have to make good for me.
Joseph Stafrace
Feb 28th 2009, 12:33
According to Minister Tonio Fenech the government has to fork out 50million euros at one go. May I make a suggestion which in my humble opinion would solve this impasse. Government can issue the equivalent of Vat due to each individual in Government Stocks at an attractive rate. Furthermore interest on these stocks must not be taxable.
Charles Busuttil
Feb 28th 2009, 12:31
@ Pierre Borg
I think that I can safely deduct that you are not one of those people ROBBED by the PN in government by having to pay VAT on registration tax. I think that yours is a warped argument by stating that Government cannot afford to pay back the 50 million euros fraudulently collected from the taxpayers. If on the other hand you are one of those charged VAT on registration tax, you can always refuse to be reimbursed on PERSONAL basis. You have no right to speak on behalf of others. SOME COMMON SENSE PLEASE!!!
Maria Falzon
Feb 28th 2009, 12:30
It is incredible that Mr. Tonio Fenech is so ignorant of the reality that he has failed, and he is failing our nation. The arguments being put forward by Mr. Fenech just don't hold. This money belonged in people's pockets, not in government coffers. I find it strange that Mr. Tonio Fenech insists that with this money he paid for education and health care, as as far as we are concerned there is huge mismanagement of public funds, with substantial funds going down the drain. With his same argument, he can justify any tax increase, or any new method of taxation,with the "because we are funding your education" excuse. The reality is that these €50m was dubious income for the government from the very first day, and any competent finance minister would have foreseen such a situation. any competent minister would have made reserves for such consequences. Dr. Muscat has been shedding light on such scenario for many years. Mr. Fenech is fatuous.
j zammit
Feb 28th 2009, 12:24
So let me get this right, we are facing a financial crisis and downturn in our economy and Joseph Muscat wants our government to hand money back out and take money from the economy (government) to do this, so the country will have less money. Well Mr Muscat, I bought a new car after our EU accession and paid the tax and the government can keep it, as i rather the country prosper and ride out the credit crunch. All this fuss from the party that was opposed to the EU, All labour wants to do is moan and cause trouble again, why not do something useful and sort out the downturn and just maybe then you wont carry on being in opposition.
BBorg
Feb 28th 2009, 12:24
@ Pierre Borg
Pierre, if someone steal money from your pocket, what you do?
Duncan Sant
Feb 28th 2009, 12:22
@Pierre Borg
I Purchased a vehicle in 2005 and got double taxed on it's purchase...and therefore I have been ripped off by the PN Govt. Now you tell me that I shouldn't take back what is mine and was unlawfully taken away from me, only because this govt has not controlled it's spending and would be forking out €50M, which were already paid by us!!
Where do I sign??
Rocco Cauchi
Feb 28th 2009, 12:21
Government has been caught on a fishing expedition.
Surely there are many more of which we are not aware.
This is an unfolding story which needs in-depth investigation
.....and some soul-searching as to the state of national morality,
..... and a general election well before 2013.
Silvio Busuttil
Feb 28th 2009, 12:19
I do not agree that a VAT reimbursement should be given out to those who have already paid the VAT. These persons bought a car when they fully knew that they had to pay this VAT. Now if the EU commission has decided against the Maltese government, the Maltese government should amend by issuing a new legal notice in order to protect future car-buyers.
J Farrugia
Feb 28th 2009, 12:19
Yes do it Labour party. Get those 50 million in vat returns and the next thing you will see is the government taxing us - the whole Maltese population - another equivalent tax worth 50 million to pay it to those few who purchased luxury SUV and costly vehicles. Dear Labour are you defending the common citizen or is your hatred of the Nationalist Government so big that you are being blinded with hate? Is this new leader Joseph Muscat an economist worth his salt? I will never vote MLP - a party always playing for public galleries. Imbaghad jaghjtu li l-hajja dejjem toghla. Minfejn se ggibu l-eluf minghand il-haddiem? Mela issa sinjur il-haddiem?
Gianni Xuereb
Feb 28th 2009, 12:18
Just tell me where to sign!
Joe Grech
Feb 28th 2009, 12:14
@Pierre Borg
May I humbly suggest that you splash some cold water on your face and you re-read what you posted you posted? The LP is seeking every Maltese citizen's right, not the EU's and nor GonziPN's. Now what's wrong with that?
eddie bonello
Feb 28th 2009, 12:14
Prosit Joseph and prosit PL.
That's what true leaders are made of... Promising and DELIVERING.
Come on folks join ranks and lets take back what was stolen from our poor pockets.
D Ellul
Feb 28th 2009, 12:10
Thank you Dr Muscat, at least there is someone who fights in the best interests of the people.
Ethelbert Schembri
Feb 28th 2009, 12:10
Thanks Dr Muscat and LP you are defending us from tyranny because the comments of the Finance Minister shows the true nature of this GOV and the PN !!
If they really believe in the EU than they have to adopt and adapt to those EU regulations that protects us common citizens from the rich and power !
May I remind that the GOV in power is representing and administrating all the citizens of this country not just a little section, so that money is ours not the Ministers !!
We are only asking back what is simply ours, that the PN GOV robbed us.
Thanks again to all the LP for this initiative!
John Borg Manduca
Feb 28th 2009, 12:09
That's what I call a politician who's actions speak more than words!!
Well done to the MLP!!
Finally the MLP is becoming a real alternative. Keep it up!!
Marija Atttard
Feb 28th 2009, 12:08
"Finance Minister Tonio Fenech insisted last week that no community law had been broken, and it was the European Court which could ultimately decide if any law was broken."
sar vizjonarju tal-futur Fenech...diga jaf x'se tiddeciedi Qorti Civili Maltija.....
Karl Borg Bartolo
Feb 28th 2009, 12:05
This is what I call a new beginning!
We are either equal as other EU citizens or nothing. Well done to the PL for offerinf its help to those who do not afford to open a case in court against the government!
Karl Borg Bartolo
Feb 28th 2009, 12:02
@ Pierre Borg
So is it the moment to spend millions on a Parliament building in such a prime location?
Enzo Caruana
Feb 28th 2009, 11:59
@Pierre Borg
Common sense dictates that the people must be treated fairly by any resposnible government. If the imposition of VAT on vehicle registration tax was not 'legal' in terms of EU laws and regulations it must be refunded and Jospeh Muscat's defence of our rights is to be commended and supported by all.
As regards the 50 million that our finances have to forfeit it should be noted that more than this amount was squandered on botched projects, feasibility studies, consultancy fees, expensive cars for ministers, mobile phone expenses and finally the cherry on the cake; the overpsending on Mater Dei by some Lm120 million
M Psaila
Feb 28th 2009, 11:57
OPPORTUNIZMU GALORE!!!!!!!!!!
M Farrugia
Feb 28th 2009, 11:57
Finally a party which is not simply criticising but taking action!
Labour is being proactive in favour of the consumer. What God giveth, God taketh.
Who says the opposition is there to criticise only? Looking forward to get our Eur1500 to spend on my children.
Jean Paul Galea
Feb 28th 2009, 11:53
Good Idea to create a class action! Good for being pro active. Lets hope this is not politicised beyond the interest of us citizens
Emerson Farrugia
Feb 28th 2009, 11:51
I was at the ADT last week. There's a notice that any vehicle brought into Malta with less than 6000 km on the odometer, or which has been on the road for less than 6 months, will incur an 18% VAT charge on its value.
How is this legal? If VAT is paid in another EU country, how can the ADT justify charging VAT again? Why not kill two birds with one stone and add this to the lawsuit?
Joseph Casha
Feb 28th 2009, 11:46
Just tell me where to sign!
Stephen Borg Cardona
Feb 28th 2009, 11:44
This is daylight robbery ! Not only have the Maltese who bought a new car before the new system came into force not been reimbursed, but to add insult to injury we have to pay the higher license fees which compensate for the lower registration tax which we did not benefit from .
Aaron Bugeja
Feb 28th 2009, 11:43
Today we can say that we have a political party that protects us.
PIERRE BORG
Feb 28th 2009, 11:41
This is incredible, i cannot understand whose interests does the labour party seek our country`s or EU. this is the party and party leader that opposed our EU accession. it is truly incredible, it is not the moment and this i believe is UNDERSTOOD by every person that the government finances suffer Euro 50 million. it is true they will go back to the tax payer but in this critical moment is right. I ASK THE PL TO FIGHT IT OUT WITH THE GOVERNMENT THAT THE 50MILLION IS NOT REIMBURSED.
SOME COMMON SENSE PLEASE
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