BUDGET 2020
maltatoday | TUESDAY • 15 OCTOBER 2019
4
In and out: the government's income and expenditure in 2020
€1,936,000,000
€1,149,000,000
SURPLUS
€114 million
In
€5.5
billion
Total revenue
Income tax
Despite government forgoing €11.5 million in tax refunds to
all those earning less than €60,000, and around €6 million on
the new overtime arrangement, increased economic growth is
expected to yield €141 million more from income tax in 2020.
€420,253,000
€350,140,000
€497,354,000
€1,099,000,000
Social security
National insurance contributions will yield €85 million more in
2020, as more people join the labour market.
VAT
The general VAT rate remains unchanged
at 18% but VAT on educational services will
be removed. Government is projecting an
increase of €89 million as consumption
maintains its rhythm.
Licenses, taxes and fines
Government revenue from licenses is
expected to increase by €17.7 million next
year.
Customs and excise
For the third budget running, the
government has not increased excise
taxes. However, increased economic
activity is still expected to yield an
additional €21.9 million.
Non-tax revenue
Government is estimating an increase of €18 million
in non-tax revenue next year. The bulk of this revenue
is made up of grants to the tune of €208 million
