Issue link: https://maltatoday.uberflip.com/i/271600
maltatoday, WEDNESDAY, 5 MARCH 2014 3 News PHOTOGRAPHY BY CHRIS MANGION Malta tax means life's good for the rich TAX rates vary dramatically ac- cording to which country you live in, accountancy firm Pricewater- houseCoopers (PWC) found in calculations it made for the G20 nations. For each country, they calculat- ed how much a high earner on a salary of $400,000 (€292,277) in 2013, with a mortgage of $1.2m (€913,000), would have left after all income tax rates and social se- curit y contributions. They assume this person is married with two children, one of them aged under six. Using these numbers, MaltaTo- day made its own calculations: a breadwinner taking him that kind of salary pays €93,643 in an- nual tax on a joint computation for the married parent tax, and also pays the maximum national insurance contribution of some €2,142. That's a total of €95,785, giving 67% of the total salary back to the wage earner before mortgage pay- ments, which in this case could be as high as €2,200 monthly. In that case, the net salary after tax and mortgage is €170,092 (that leaves 42% of the total salary). One important thing to consider when comparing the top rate lev- els of tax is the threshold where the rate kicks in, because the dif- ferences are massive. Malta taxes all earnings above €60,000 at 35% - compared to Denmark, which taxes workers at 60% on all earnings over $60,000. In the UK, the 45% top rate of tax kicks in at an income level of around $250,000 (€182,700 or £151,000) compared to Italy where the top rate of 43% comes in at €91,000. Tax rates in Malta are better for parents, while foreign CEOs with salaries higher than €75,000, or up to €5 million over the course of their employment in Malta, taxed at a 15% f lat rate. There is a zero-rate tax on any additional income above the tax- able €5 million There is a zero- rate tax on any additional income above the taxable €5 million re- ceived over the duration of their contracts. • Italy - 50.59% (takes home €147,885 out of €292,321 salary) • India - 54.90% • United Kingdom - 57.28% • France - 58.10% • Canada - 58.13% • Japan - 58.68% • Australia - 59.30% • United States - 60.45% (based on New York state tax) • Germany - 60.61% • South Africa - 61.78% • China - 62.05% • Argentina - 64.02% • Turkey - 64.64% • South Korea - 65.75% • Indonesia - 69.78% • Mexico - 70.60% • Brazil - 73.32% • Russia - 87% • Saudi Arabia - 96.86% (so you take home €283,113 out of the €292,321 salary Fourth wanted man successfully detained by the police Police hunt five men after Tunisian beaten unconscious JOHN PISANI MEMBERS of the police force managed to successfully arrest a man who had been wanted in re- lation to a criminal investigation into fraud. MaltaToday is informed that a 54-year-old man from Qormi was arrested and taken into custody. This was the fourth wanted man to be apprehended by the police in three days. On Sunday, the Police arrested a 27-year-old man from Mosta near Kennedy Grove after he jumped into the sea in a bid to escape arrest while on Monday two arrests were made in Tal-Pietá. Today's arrest took place at around 11:30am by members of the Rapid Intervention Unit. OFFICERS investigating an assault case that left a 31-year-old Tunisian man, Riadh Mrad, in critical condi- tion are now looking for five men, who were caught on camera as they were beating the man unconscious. Investigators yesterday morning examined footage taken from Bank of Valletta CCTV camera in Pretty Bay, Birzebbugia. A fisherman, Riadh Mrad resides in Marsaxlokk. He is currently recov- ering at Mater Dei's Intensive Care Unit, fighting for his life. The attack happened on Sunday at around 2.20am. Mrad suffered blows to the head, and was left lying on the pavement by his assailants. The group was caught on camera, fleeing the scene. At first the police suspected that Mrad might have tripped and fallen on his face, as most of the injuries sustained were close to his nose and forehead. But doctors, along with forensic ex- pert Mario Scerri, began to suspect that the man's injuries were not in fact accidental. Their suspicion was soon con- firmed, after the police investigated the CCTV footage. Inspector Carol Fabri from the Birzebbuga Police District is investi- gating the case. Revving up in Geneva Captivating high polished vehicles and arresting models yesterday joined major automobile manufacturers, designers and suppliers of the automotive industry for the two-day press preview of the 84th Geneva International Show. The show opens for the public tomorrow, but cameras, MaltaToday's, have been allowed a sneak preview of what the crème-de-la-crème of the motor industry will be exhibiting at the Palexpo convention centre in Switzerland. See interview with Ford Design Director Moray Callum on page 12