Issue link: https://maltatoday.uberflip.com/i/1418522
AN increase in in-work benefit thresholds was announced by Fi- nance Minister Clyde Caruana. The in-work benefit scheme applies to parents who work, and whose children are 23 or young- er. For working couples, the annu- al threshold will be increasing to €55,000 from €35,000. For cou- ples where only one parent is working, the threshold will rise to €26,000 from €35,000. The threshold for single par- ents who work will increase to €35,000 from €23,000. Caruana said around 7,000 will be benefitting from the scheme, with a minimum amount of €200 being received by those who are eligible. A new in-work benefit scheme was also announced by Caruana for workers who work "atypical hours". These workers will be receiving €150 yearly through the new in-work benefit scheme. This measure will apply to work- ers who work weekends and late hours. It will also apply to workers in the private sector who work in the accommodation and service sector, administrative and sup- port services, manufacturing, transport and the wholesale and retail sector. Workers who are eligible for the new scheme need to have been working in their respective sector for more than six months. Caruana said around 40,000 workers will be benefitting from the scheme, with the amount re- ceived equivalent to around 10% of their yearly income tax. THE tax-rate for part-time in- come will be reduced to 10% from 15%. The measure was one of the Labour Party's electoral pro- posals for the 2017 general election. Finance minister Clyde Caru- ana said that around 23,000 workers will be benefitting from the measure, which will cost government €5 million. Workers earning a basic sala- ry of up to €20,000 and who are not in a managerial position, will benefit from a flat 15% tax rate on the first €10,000 they receive from overtime work. Over 30,000 workers will be benefitting from the measure, which is expected to cost €6 million. THE Msida St Joseph football club will be getting a new football ground. An Olympic sized swimming pool in Bormla will also be con- structed, while works on the waterpolo pitch in Marsaskala, Valletta and Marsaxlokk will be conducted. Sport Malta will invest into a national rowing tank for the training of the rowers. For the 2023 hosting of the Small Nation Games that Mal- ta will be hosting, a €7 million fund is being distributed between sports associations and the Mal- tese Olympic Committee. The Marsa Sports Complex will be extending the facilities offered, including in order to accommo- date a centre for gymnastics. IN-WORK BENEFIT ENVIRONMENT SPORT OVERTIME & PART-TIME WORK Higher threshold for in-work benefit First-time buyers who buy a home in village core will get €15,000 grant Lower tax on overtime and part-time work Msida St Joseph to get a new football ground 12 maltatoday | TUESDAY • 12 OCTOBER 2021 BUDGET2022 Part-time income to be taxed at 10% JAMES DEBONO FIRST-TIME buyers will be eligible for a €15,000 grant when buying any property in the urban con- servation area (UCA). UCAs are designated areas in village cores which are given additional protection from development in terms of building heights and are generally pro- tected from demolition works. The benefit is aimed at redirecting the construc- tion industry towards the rehabilitation of vacant and dilapidated buildings and will also apply to buy- ers of any property which has been vacant for more than seven years and which was built over 20 years ago, irrespective of where the property is located. The incentive will also apply to those buying new properties built in traditional Maltese architecture. It is not clear whether this will also apply to proper- ties build on undeveloped land. The grant for first time buyers will be raised to €30,000 when the property is located in Gozo. The measure also contemplates the complete re- moval of capital gains tax and stamp duties on the first €750,000 in the price of these three types of properties. To ensure that these measures will not fuel speculation, new rules will come in place to forbid the division of these properties in different units. The measures contemplated in this budget repre- sent a more robust and ambitious package over sim- ilar but less comprehensive measures introduced in different budgets over the past decade, which so far have yielded limited results. The budget singles out the construction sector for its impact on the environment and commits the government to introduce a licensing system for building contractors through which the state can "strong-arm" those who abuse, not only in the way they build but also in the way they treat workers on their sites. The licensing system will also include quality certification, which rewards those who en- gage in good and sustainable practices. The budget also recognises the shortcomings of this government in regulating the sector but also extends the blame on the opposition, singling out the extension of building boundaries in 2006. But no commitment is given on a reform of plan- ning regulations and local plans to restrain over de- velopment except for a proposed new policy on aes- thetics through which government will "encourage more uniform and comprehensive development". The government is also committed to draft a building code to regulate demolition and excava- tion works and protect third party rights. The reform foresees the appointment of a Con- struction Project Manager who will be responsible for works on these building sites. The government is also committed on a €20 mil- lion investment over five years in the afforestation of the Inwadar Park in Żonqor point; but no refer- ence is made to the 18,000sq.m of ODZ land allo- cated to the American University of Malta in 2015. The budget also refers to investment number of urban green spaces in various localities like Zabbar, Qormi, Hamrun and Mosta. The government will also continue its studies on the pedestrianisation of St Anne Street in Floriana. The Ta' Qali park will also be including a €4 mil- lion drainage and potable water treatment plant to cater for the park's irrigation needs. As regards air quality the budget restates the com- mitment to implement the ship to shore project in both the Grand Harbour and the Free Port. To encourage more sustainable behaviour, the government will also be distributing starter kits of sustainable products for newborns. Grant also applies to older properties which have been vacant for seven years and to new buildings designed with Maltese characteristics