Some 20,000 applications were filed for tax penalty reductions under the amnesty scheme announced by the Finance Minister on September 4.

The "one-time" exercise is intended to recoup a chunk of taxes owed to the government, as well as for individuals to regularise their position.

Taxpayers choosing to enter the scheme could be entitled to up to a 90 per cent reduction on interest and fines, as long as they pay taxes due from 1998 to 2007. If there were taxes on the preceding years to be paid, they could save up to 25 per cent of the balance.

Applications close on Wednesday, meaning anyone with pending tax dues for 1998-2007 has to submit their application by that date.

Minister Tonio Fenech encouraged those who still hadn't submitted their applications to do so by the deadline, calling it a "one-time opportunity for companies and individuals to sort out their position".