The teachers’ union will drop industrial tribunal proceedings against the Malta College of Arts, Science and Technology after an agreement was reached over taxes owed by part-time lecturers.

The union and the college agreed that half the tax owed by about 50 lecturers, following a miscalculation of the amounts due, would be paid by the college, Malta Union of Teachers president Kevin Bonello said.

He said the amounts varied from a few cents to €2,000, depending on the amount of part-time work carried out by individual lecturers.

The union had opened the case, on behalf of the lecturers, in May 2011 after it failed to reach an agreement with the college.

It claimed full-time lecturers who carried out part-time work had been wrongly advised by the college that they would pay 15 per cent tax, when in fact they had to pay 35 per cent.

The difference stemmed from a provision in tax law stating that full-time employees in the State-run college had to pay 35 per cent tax on part-time work within the same college. Outsiders would pay 15 per cent.

The union felt lecturers were misled by the college and insisted that the college should pay the difference owed in tax.

In May 2011 the union ordered a two-hour strike at Mcast over a range of issues. Agreements were reached on most matters and the parties agreed this tax issue was best decided by the industrial tribunal.

But, Mr Bonello said, negotiations with the college continued in an attempt to reach an out-of-court settlement.

Mcast and the union agreed the college would pay half the taxes owed and the lecturers accepted the deal. For this reason the union would close the proceedings before the tribunal, he said.

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