The only way Labour can fulfil its promises is by raising taxes, the Nationalist Party said yesterday.
They will either raise taxes or cut expenditure
Labour had always resorted to raising taxes when it was in power, Tourism Minister Mario de Marco said.
He pointed out that the highest tax rate prior to 1987 was 65 per cent before the Nationalist Government reduced it to 35 per cent.
“And Alfred Sant’s Government, between 1996 and 1998, introduced 33 new taxes in 22 months,” he added.
Justice Minister Chris Said listed a number of promises made by Labour leader Joseph Muscat, namely to reduce the water and electricity rates.
Labour, he said, was refusing to say how it would go about such a reduction.
“This leaves little doubt... They will either raise taxes or cut expenditure in education, health, investment and social benefits.”
Dr Said also recalled Labour’s “track record” of making promises it could only keep by making the taxpayer fork out more money, as it had done when it pledged to remove the VAT system.
Dr de Marco and Dr Said were speaking at the PN headquarters where they unveiled the party’s latest billboard which states: ‘Muscat’s promises = new taxes’.
Asked about a number of PN’s unkept promises, Dr Said said that the Dubai-owned IT village SmartCity was a “work in progress” and the tax band had not been reduced to 25 per cent as promised due to the global economic crisis, though other taxes were cut.
Asked why the PN was not adding any humour to its billboards, contrary to Labour, Dr de Marco admitted that humour was important and politicians had a tendency of taking themselves too seriously.
However, he said Labour’s latest billboard, which made fun of the departure of a Brazilian company from Malta, seemed to him to be in “bad taste”.
Meanwhile, Labour reacted with its own billboard saying: “More money in your pocket.”
In a statement, Labour said this would be attained through economic growth, primarily through a sustainable reduction in water and electricity bills and better financial management.