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Updated: Irresponsible to cut taxes now - PM

The Prime Minister said today that it would be irresponsible for the government to reduce income tax now, at a time when the world was still in financial crisis.

Amid uproar in Parliament, Dr Gonzi said the Opposition was not being responsible when it urged him to implement now, his electoral promise to reduce the top rate of income tax.

"Do you honestly expect me to be so irresponsible, in the midst of of this international crisis, to keep a promise that cannot be implemented at this time?" Dr Gonzi asked amid interruptions.

"This is absolute irresponsibility by an opposition party which has no idea what it means to take responsible decisions for the country.

"What I tell the leader of the Opposition and his colleagues is that this promise will be implemented at the appropriate time, like the others..." Dr Gonzi said amid further uproar.

Dr Gonzi noted that Opposition MPs were shouting that the tax cuts would only come on the eve of a general election. It showed, he said, that the Opposition's thinking was according to electoral timetables. (laughter on both sides of the House).

Labour wanted the government to cut taxes now because they were already worried of losing the election, Dr Gonzi said.

As to Dr Muscat's jibe that Dr Fenech Adami was better than him in managing the economy, Dr Gonzi said this was no problem. After all, Dr Fenech Adami had been better than Mintoff, Sant, Mifsud Bonnici and Muscat, and he was therefore in good company (applause from the government benches).

Mr Mintoff, Dr Gonzi observed, had never lost an occasion to speak about job creation. Karmenu Mifsud Bonnici had never missed an opportunity to employ people, even hundreds just before the elections. It was only Alfred Sant and Joseph Muscat who had removed job creation from the Labour political agenda, Dr Gonzi said.

In another part of his speech, Dr Gonzi referred to Dr Muscat's comment on Monday that the government was taxing the country dry. He said that the proportion of the worker's income which went to taxes and social security contributions in Malta was among the lowest in Europe and lower than in Cyprus, which had suddenly become Labour's benchmark.

Dr Gonzi also observed that the unemployment rate in Cyprus rose to 7.2% this year while that in Malta had gone down to 6.1%. Furthermore, the cost of living in Cyrpus had gone up by 2.1% while in Malta it went down by 1.2%.

Furthermore, only three days ago, the Governor of the Cyprus Central Bank warned the government that the deficit was rising to 7% and he called for a wage freeze in order to avoid the need to cut pay.

EU BUDGET CAP

Dr Gonzi said he could not understand how, on Monday, Dr Muscat criticised him for having backed calls for administrative costs in the European Commission not to rise by more than 2.9% instead of the proposed 6%.

Dr Muscat had claimed that this position weakened Malta's position in the EU Budget negotiations for 2014-2020.

Dr Gonzi said the two were different, but Dr Muscat was still acting like an MEP and taking the European Parliament's position.

Malta and the other member states felt that at a time when national governments were reining in their spending, the European Union should do likewise. The talks on the next EU Budget were not due to start before next year, Dr Gonzi said, and would not be affected.

Indeed, he said, he knew of no party leader other than Dr Muscat who backed the EU proposals to raise its budget.

This was ridiculous. He knew of no other party leader who was in favour of increasing the EU administrative budget by 6%.

Dr Gonzi said the proposals made by Dr Muscat on Monday would 'run the country into a wall' and he actually pitied (Opposition finance spokesman) Charles Mangion who on Monday was, on TV, shown figures of how the Budget deficit would spike if the Labour proposals were taken on board.

(See other stories in the Budget section)

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Charles J. Buttigieg

Nov 5th 2010, 20:06

His solemn promise was that the tax rate will be reduced in his first budget after the election. Can you deny that?

Alfred Fenech

Sep 22nd 2011, 10:11

Leave it at 35% and he make get another rise for all the goodness he deserves......

m.borg (slm)

Nov 5th 2010, 13:35

I believe on of gonziPN's electorall posters was:
GONzI IGIG IX-XOGHOL and not GONZI ISSALVA IX-XOGHOL
You are a parroting you master when you say the importance to save jobs and not lower income tax, can you come up with a personnal argument instead repeating your lord and master.
What is your opinion of his excellency's famous phrase "Aggustament tal-Weghdi", let me put it in english "Adjustments of promisses" ?
Love to read what you have to say to this.

Lawrence Fenech

Nov 6th 2011, 14:52

@Cachia.

Like pick pocketing Euro 500 per week from 2008 behind your back.

Lawrence Fenech

Nov 6th 2011, 14:53

@Sapiano.

Not mature, over ripe that's why he should go.

David Gatt

Nov 5th 2010, 10:50

'Sterling delivery'? Histerical and Pointless I should say!

J. Cachia

Nov 5th 2010, 13:28

Habib ara l-blog ta' Joseph E. Briffa ghax nahseb jghodd hafna ghalik.

Mary Ann Borg

Nov 3rd 2010, 23:51

Tajba s axisa. Mela jekk il-PM Malti hu maqtugh mill poplu Malti, Joseph x'inhu? L-ewwel darba li semma li d-dinja ghaddiet u ghada ghaddejja mir-ricessjoni kien il-bierah fil-parlament. Ifhem, maqtugh mill poplu Malti mod u maqtugh mid-dinja kollha hafna iktar gravi mhux hekk?
Joseph qad jilghab ghall gallerija u beda jsemmilna lil Cipru. Inqas minn 24 siegha wara infaqghetlu l-buzzieqa u mhatra li mhux se jerga jsemmi l-Cipru issa? Ahjar jerga jmur jaqra l-ahbarijiet u jtella xi programm bhal Made in Brussels ghax ghadu ma fehem xejn. Assolutament xejn.

M Pisani

Nov 4th 2010, 08:54

Jien nahseb int m'intix tghix f'Malta siehbi ghaliex illum il-PM taghna stampa cara tal-pizijiet kollha li ghabbewna bihom gvernijiet lejburisti...

Dan mhux kollox ghax kif qalet il-Kummissjoni stess, ninsabu fit-triq it-tajba! Imma intom naturalment, fejn jaqblilkom issemmuha l-Unjoni Europea!!! OPPORTUNISTI!!!

(P.S. Fl-ahhar il-PM wiegeb lil Joe Muscat kif jixraqlu fuq il-kumment li ghadda rigward EFA u Gonzi)

Jms Cremona

Nov 3rd 2010, 22:20

int bis serjeta???

cellul

Nov 3rd 2010, 22:40

Same bus drivers, same traffic problems, the price will be state of the art though, from 47c to 2 euros.

Thomas Grima

Nov 3rd 2010, 23:10

Lets just hope that he wont solve the AirMalta problem in the same way that he solved the dockyard problem.
Nahseb li flahhar mill ahhar il PN ha jkollom ragun fuq l AirMalta. Ghasafar tac comb ma jtirux. Ghax ha twahlulhom comba kbira. Povri haddiema li ha jkollom ihallsu l prezz ta l inkompetenza tal PN.
Proset talli rnexxilkhom tehilsu min kull ma kien Malti.

M. Mizzi

Nov 3rd 2010, 23:38

Some advise for you Mr. Prime Minister


We must not promise what we ought not, lest we be called on to perform what we cannot.

~Abraham Lincoln

Mario Scicluna

Nov 4th 2010, 04:20

' For many, many years, we were burdened with the Dockyard problems. Dr. Gonzi solved it. '

Dazgur, Kissirha, u kecca l-kulhadd il-barra! flimkiem na azjendi ohra, Sea Malta etc. Issa jmiss l-Air Malta. Finanzi fis-sod qalilna l-Prim!!! Halluna! Taf min iparla, xi idjota li ma kellhux xi familjari jahdmu hemm.

c camilleri

Nov 4th 2010, 07:06

the only thing that Gonzi was good at was to keep this government intact, for now! But at what price? All honest maltese tax payers must pay for the inefficiencies and incompetence of his ministers and members of cabinet! Gonzi, enjoying a mere one seat majority in parliament, cannot afford to lose one, otherwise it means elections already - and guess who shall be recorded in history of the PN to go down in that manner - none other than Gonzi himself.
Look at the likes of people he is surrounded! People who themselves enjoy free flights with well known businessmen to watch a football match! People who themselves declared to have employed people who dont pay VAT and taxes! People who have a great responsibility in the BWSC contract! People who insisted that the new Parliament building is more important than anything else - guess who is gaining out of this? Am I right to assume that Gonzi is a prisoner of his own cabinet? trying to please a few greedy and selfish sharks to keep his party in power? At what cost?

s degabriele

Nov 4th 2010, 20:35

Bi tnaqqis fit taxxa li qal li kien se jaghamel jien kien ikolli 12000 il mitt euro fil but izjed.hu min minkhom ma irridhomx dawn il flus mela sewwa nighid jien il partiti politici ghawn malta qisho m team tal futball jaghmel x;jaghamel ????????????????????????????????????

M. Mizzi

Nov 3rd 2010, 23:39

or maybe John Dalli instead of Lawrence Gonzi?

H Schembri

Nov 4th 2010, 16:31

Will see what PN will do when the elections come. ;-)

M.Mamo

Nov 3rd 2010, 22:57

ijja offra s-soluzzjonijit muscat? ha nara tini ftit minnom pls ax jin ma smajtomx (forsi nimxu bhal cipru wahda minnom)? qatt mallmuk is-sarkazmu halli tkun tista tifem lil muscat jitkellem int?

O.Micallef

Nov 3rd 2010, 23:44

haha ... tista tghidli il proposti li semam Dr. Muscat :O!!!!!


how funny :D

Edward Borg

Nov 3rd 2010, 20:51

Kumment bla sens siehbi ahseb qabel ma tparla zejjed. Ara jien se nerga nivvota Gonzi ghax mexxej responsabbli.

Jms Cremona

Nov 3rd 2010, 22:24

@ Edward Borg
Ivvutalu habib la kuntent b'min jaddi min fuqek u jidhak bik f'wiccek. Il hasra li x'aktarx inti finanzjarjament komdu u ma tistax thoss it tbatija li addejin minna familji li mhux ilahqu ma l-gholi tal hajja!!

M.Mamo

Nov 3rd 2010, 22:55

mur ivvota lil Muscat mela ha tpaxxih ghax forsi adek ma ndunajtx xjinkedd u jilaq bix ikun l-izghar prim ministru ... issa jnaqqasomlok it-taxxi muscat dw imbad l-ada ssib ruhek l-ETC tifrah bid-deficit!

Joe E Galea

Nov 3rd 2010, 23:19

@Edward Borg: U x'jaghmel il-kumment tieghek bis-sens? Ghax ma ghidt xejn hlief li se terga tivvota lil Goniz, li had ma jinteressah x'se taghmel. Kieku tghid hrigt b'xi argument tajjeb, tista tghajjar lil haddiehor, imma hrigt b'banalita' kbira. U jekk int mazzun daqshekk li timpressjona ruhek milli jghid Gonzi, hewqq good luck to you, imma haddiehor ghandu mohh biex u dritt li jofforma opinjoni differenti minn tieghek. Il-kumment tieghek juri bic-car li int mahruq ghax tant inti partiggjan li ma tittollera lil hadd jghid xejn klontra l-Gonzi tieghek. pffffffffffffffffff

M Pisani

Nov 4th 2010, 09:37

Tinkwetax siehbi - dawn kollha kummenti tal-Mile End...minghalihom se jghaddu z-zmien b'xi hadd!

Kathy Elliot

Nov 4th 2010, 16:23

Mr Edward Borg, why 'kumment vojt', sorry? This is a _democracy_ and if Mr Debono is not happy with the current administration, he can darn well cast his vote the way he wants and express his opinion, as you are free to do the same. However, putting down someone else's argument is not a valid means to promote your own. The only one who needed to think before he spoke, lest he sound like a fundamentalist with blinkers firmly equiped is you, I'm afraid.

C. Saliba

Nov 3rd 2010, 21:27

U qad jiftahar li certu pajjizi fl-ewropa kellhom inehhu anke c-childrens allowance lil certu familji ta. Fuq kollox kif kien ghamel siehbu Fenech Adami meta ma kienx hawn recissjoni ta papas mohhom

M.Mamo

Nov 3rd 2010, 22:52

ejja nejdu li t-tghajjira "marda" mhi xejn hlief "DNA HAZINA!!!" imma fejn tridu tinsew jahasra intom uwx ... imsieken!!

Peter Korsten

Nov 4th 2010, 08:16

The only reason why Malta has a relatively low unemployment rate is because it has the lowest labour participation in the entire EU. If almost half of the potential work force is not working, nor looking for work, it's easy to keep unemployment down.

R.Degiorgio

Nov 3rd 2010, 20:54

Forsi ghandek ragun pero zomm haga f'mohhok...Li Dr. Muscat sa issa ma wieghed xejn ghal voti biex imbaghad rega lura minn kellmtu kif ghamel Dr. Gonzi. Il-haga mhix li ma naqqas it-taxxa...il-haga hi li il prim ministru wieghed xi haga li kien jaf li mux ha jwettaq biex jerbah il voti ta nies. Jiddispjacini li inti wiehed minn dawk l-ifissati li jaghmel x'jaghmel politiku xorta wahda tipprova tiskuzah. Hu min hu il politiku! Dal pajjiz ghandu bzonn jghid dak li hu abjad jejdlu abjad u dak li hu iswed jejdlu iswed! Country totally brainwashed by politics! what a shame!

M.Mamo

Nov 3rd 2010, 22:51

Sur Degiorgio forsi insejt li adna fnofs il-legislatura ... il-weghda tibqa attiva sal-ahhar gurnata fil-gvern!

O.Micallef

Nov 3rd 2010, 23:40

@ Degorgio.


Muscat ma wieghed xejn.. ax qas proposta valida wahda ma qal x jaghmel jekk ikun prim!!...

jitfa tajn biss qaghad...

ima probabli...
jekk jitla...
jqaccat l istipendji... idahhal ic CET.... jamel repeater class... inaqass il kontijiet ta dawl u l ilma... jamel il pilloli bil flus.... izid id deficit.... u jghid li mixjin fuq ir rubini :O!

jake micallef

Nov 3rd 2010, 20:45

@Mary, and @M. Galea
Seriously guys, you must be reading something different or you watched the PM's speech on Super twisted TV. The issue is one of timing. Is it a good incentive? yes. Is it a proposal that creates stimulus by leaving money in people's pockets to spend? of course. Would it gives these benefits now when economies are so tight and people are careful about every buck they spend? NO!

What Dr Muscat is concerned is that if this is implemented later it may affect the election. Will it? Maybe. But still, you don't just throw in something like that now! Go tell it to the Greeks... or to the Englishmen now!

Anthony Mizzi

Nov 3rd 2010, 23:20

Lawyer jargon at its best where LIES are conveniently stated as being ECONOMIES OF THE TRUTH and ELECTORAL PROMISES are also , ECONOMIES OF THE TRUTH at the electorate's expense!

Ramon Mizzi

Nov 4th 2010, 00:57

Mr Sant you are a genius. NOT.

C.Camilleri

Nov 3rd 2010, 22:13

The tax cuts was not promised by Dr.Gonzi to Dr.Muscat but to the whole population before the last election and he was quite sure of what he was promising that he said he will implement his promise in the first budget despite the fact that he new that bad weather was looming.
My only consolation is that I am more than sure that the tax cuts will arrive come next election eve. Same old story.

Manwel Debattista

Nov 4th 2010, 09:41

No "father" would treat his children like this.

A decent father would not pile up debt for his own children to pay off.
A decent father would not lie to his children to win their sympathy.
A decent father would not call his children "mummji" and "diseased".
A decent father would make sacrifices himself for the benefit of his children and not the other way around.
A decent father would treat his children the same and would not make preferences.

If Lawrence Gonzi was my father I would not hesitate to disown him.

Mark Galea

Nov 3rd 2010, 21:26

Grazzi, Dr Joseph Iceland Muscat, tal-pariri tieghek. Nispera li ma tibghatilniex il-kont

A.Muscat

Nov 3rd 2010, 22:03

Kumbinazzjoni zewg pajjizi li semmejt ghandhom l-ewro. Kemm kien jiftahar il-PM li "allahares ma dahhalniex l-ewro"..... bl-ewro u minghajru l-Ewropej bhalna tghabbew b'taxxi u pizijiet enormi. U jekk Franza pprotestaw ghax ma jridux l-eta' tal-pensjoni titla' ghal 62, jien bhala zaghzugh Malti se nirtira ta' 65 sena ghax hekk iddecieda tliet snin ilu Lawrence Gonzi. U l-lejla tisimghu jitkaza ghax fi Franza se jtellghuha ghal 62! Nesa x'ghamel hu!

Thomas Grima

Nov 3rd 2010, 23:03

Forsi inti wiehed min dawk li is sena l ohra kont qed tghid bhal PM li Joseph Muscat iridna bhall Islanda. Fi krizi ghax barra mill EU u barra mill Ewro?
Din is sena qed issemmu pajjizi li qedin fl EU u fl EWRO. Mela mghadhomx is salvazzjoni l EU u L Ewro?
Il PM meta wieghed li ha jnaqqas it taxxa kien diga qed qed jara l maltemp. U xorta qal li ha jnaqqas l income tax u ha jkollna surplus fil budget.

Viva is sincerita tal Prim. Grazzi tal weghdiet fiergha.

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