ARTICLE · 13 OCTOBER 2021

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Budget 2022 (KSi Malta)

Finance Malta

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The government is forecasting a real growth of 6.5% and 8.6% in nominal terms in 2022, while the growth is expected to be 4.7% and 4.5% in 2023 and 2024.

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General Outlook

Fiscal Measures

Income Tax and Duty
VAT

INCOME TAX AND DUTY

During 2021, the first 100 hours of overtime was being taxed at 15% for those who do not hold a managerial level and whose basic pay does not exceed €20,000 annually. As from 2022, the 15% tax will apply on the first €10,000 one makes from overtime pay.
As from 2022 (up to 2026), pensioners who are still actively employed, shall not be taxed on their pension income.
The income tax rate on part time work will reduce from 15% to 10%.
The income tax rate applicable to artists shall be that of 7.5% as from basis year 2022.
For another year, employees earning less than €60,000 shall receive an ex-gratia tax refund of up to €95. The highest income earners below the €60,000 bracket would receive a refund of €45:

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