The Malta Independent 7 May 2024, Tuesday
View E-Paper

Taxes On cars

Malta Independent Friday, 29 July 2005, 00:00 Last update: about 20 years ago

I read with interest the budget proposals 2006 by the Malta Employers’ Association. Although I agree with some of them, I have to comment on proposal number 11.

As regards the first part, that of unjust parking tickets to delivery men, I agree. And I would add to this that even consumers are staying away from city centre shops, due to the popping up from nowhere of a warden.

But I am totally against the second proposal. They argue that to protect the car importers of new cars, the government should increase even further the tax on second-hand imported cars, thus protecting the jobs of new car dealers’ employees.

How can such a proposal make sense? The proposal should have been to decrease tax on new cars so that they are on par with the prices of our European counterparts. This will entice customers to purchase new cars, and safeguard the jobs of workers.

Malta has the highest priced cars in Europe, both new cars and also second-hand imported cars, without even considering the low wages in Malta compared to our European neighbours.

Incentives should be introduced for exchanging an old car for a new one. Watching TV commercials on foreign TV gives one a better idea of prices abroad.

Unlike most employers who might even have the luxury of a company car, apart from a good income, low wage-earners can only dream of purchasing a new car. Luxury second-hand cars are now better priced, although still expensive because of the tax burden.

Stephen M. Engerer

MOSTA

  • don't miss