Issue link: https://maltatoday.uberflip.com/i/413175
maltatoday, SUNDAY, 9 NOVEMBER 2014 5 MIRIAM DALLI ALMOST 200 individuals were sent to prison after a fine imposed by the courts was converted into a prison sentence. Information tabled in parliament by Justice Minister Owen Bonnici shows that a total of 180 persons were sent to the Corradino Correc- tional Facility between August 2013 and August 2014 after their fines were converted to imprisonment. The majority of these, 72, were found guilty of contempt of court while 40 had committed traffic-re- lated offences. Twenty-three individuals were found guilty of breaching the VAT law. A fine is converted into a prison term when the offender fails to pay by the due date. In the run-up to Budget 2014, Fi- nance Minister Edward Scicluna had announced that changes in VAT leg- islation would see the interest rate on tax dues decreased from 9% per year to as low as 6%. Scicluna had argued that bona fide taxpayers who regularly paid their VAT returns should not be trapped in a system that makes it impossible for them to pay what they owe, while "parasites" evade taxes without any consequence. The government also enacted legislation capping the fine on late registrations and removing the €15 a day fine for non-payment of fines imposed by the courts. Scicluna had also proposed amend- ments to the laws. Under previous legislation, the law courts had no option but to sentence defaulting taxpayers to three days' prison if they were found guilty of a second offence. "The law will be amended so that the courts, in the case of a second breach, will have the discre- tion to apply a €2,000 fine, apart from retaining imprisonment as punishment," the finance minister announced last year. In 2012, then Opposition leader Joseph Muscat had criticised the high rates of interest rates of tax due and claimed that entrepreneurs were being jailed for not keeping up with the system of "legalised and institu- tionalised usury" employed by the government through the VAT De- partment. At the time, 120 people were in prison because of VAT. 180 fines converted to imprisonment News Always the best Tal-Ballal Road, Iklin t: 2141 1206 m: 7999 0111 e: sales@summit.com.mt SUMMIT I M P O R T E R S www.summit.com.mt find us on facebook summit contact us now for free advice on all our products 180 fines converted to prison term Number Offence of fines 72 Contempt of court 40 Traffic offences 23 Breach of VAT 18 Various offences 7 Drug-related offences 5 Imposed by Rabat district 4 Imposed by Valletta district 4 Imposed by Hamrun district 2 Imposed by Sliema district 1 Imposed by Msida district 1 Imposed by Qormi district 1 Imposed by Bormla district 1 Imposed by Mosta district 1 Breach of DLE law