The Malta Independent 18 April 2024, Thursday
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MTA budget estimates passed in parliament, Minister sticks to his guns on eco-tax

Tuesday, 31 May 2016, 21:16 Last update: about 9 years ago

The Malta Tourism Authority budget estimates as proposed by Minister for Tourism Edward Zammit Lewis were passed in Parliament earlier this evening. During the winding up speech, the Tourism Minister spoke about the eco-tax controversy sticking to his guns.

In reaction to PN MP Robert Arrigo's intervention during the debate which was largely about the controversial tax, Dr Zammit Lewis accused the MP of a "conflict of interest" for which he should shoulder political responsibility.

The Minister also accused Mr Arrigo of causing damage to the tourism sector by pushing against the new tax behind the scenes. Dr Zammit Lewis then reiterated his defence for the law saying that it will lead to a large amount of revenue which will in turn help generate funds for infrastructural improvements and tourism in general.  

 The Eco Contribution Tax obliging tourism operators to pay €0.50 per night per tourist over 18, with a maximum of €5, has been the cause of much controversy due to a number of reasons brought forward by a number of operators who filed for a warrant of prohibitory injunction.

Among reasons for opposing this eco-tax was a lack of a proper two-month moratorium from announcement to enactment; an unfair administrational burden on smaller operators; and the fact that a number of tourists book well in advance and adding a tax now would either ruin the reputation of the tourism sector in general, or lead to the operators incurring the collectively extortionate costs themselves.

The warrant is currently being contested in court. 


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