Meta l-istat jinkoraġixxi l-evażjoni tat-taxxa

F’indirizz li għamlet nhar it-Tnejn liċ-Chicago Council on Global Affairs, Janet Yellen, Segretarju għat-Teżor tal-Istati Uniti, ippreżentat l-argument favur taxxa minima applikabbli għall-korporazzjonijiet multinazzjonali fuq livell globali, irrispettivament minn fejn huma bbażati.  Proposta ta’ din ix-xorta, kif rappurtat min-New York Times, ikollha s-saħħa li żżomm lil dawn il-kumpaniji milli jċaqilqu l-profitti tagħħom minn post għall-ieħor biex jevadu l-ħlas tat-taxxi dovuti minnhom.

Meta jitnaqqsu it-taxxi biex tinġbed l-industrija u n-negozju, emfasizzat  Ms Yellen, hemm is-sogru li mmissu l-qiegħ: fejn ser tieqaf? Ma nistgħux nibqgħu sejrin hekk. Il-kompetittività mhiex biss kif kumpanija tmur fil-konfront ta’ kumpaniji oħra.  Hi ukoll il-mod li bih nassiguraw  li l-gvernijiet ikollhom sistemi ta’ ġbir ta’ taxxa li jkunu stabbli b’mod li jistgħu jiġbru biżżejjed fondi x’jinvestu f’servizzi publiċi u jkunu f’posizzjoni li jirreaġixxu fi żmien ta’ kriżi. Hu meħtieġ li ċ-ċittadini bejniethom jerfgħu b’mod ġust il-piż tal-finanzjament tal-gvern.”

Din il-materja hi diġa fuq l-agenda tal-Unjoni Ewropeja. Hi opposta b’qawwa minn Malta, il-Lussimburgu, l-Irlanda u pajjiżi oħrajn.  L-argument dwar l-armonizzazzjoni tat-tassazzjoni hu parti integrali mill-ġlieda kontra l-evażjoni tat-taxxa u l-ħasil tal-flus.

Hu ta’ sfortuna li Malta (u pajjiżi oħrajn) repetutament abbużat mis-sovranità tagħha fuq materji ta’ taxxa. Huwa riżultat ta’ dan l-abbuż repetut li l-proposta dwar l-armonizzazzjoni tat-taxxa qabdet l-art b’mod li issa hi appoġġata ukoll mill-Istati Uniti tal-Amerka.  Malta rmiet il-vantaġġ kompetittiv tagħha billi abbużat minnu repetutament. Il-ħsara lir-reputazzjoni tal-pajjiż hi għaldaqstant awto-gol mill-kbar.

Malta ma tistax tkun kredibbli fil-ġlieda kontra l-evażjoni tat-taxxa u l-ħasil tal-flus jekk ser tibqa’ tiffaċilita l-evażjoni tat-taxxa fuq skala internazzjonali.  Xi snin ilu il-Grupp tal-Ħodor fil-Parlament Ewropew kien ippubblika studju intitolat Toxic Tax deals: when BASF’s tax structure is more about style than substance. Dan ir-rapport kien svela kif tul is -snin, il-kumpanija Ġermaniża ġgant tal-kimika BASF kien irnexxielha tevita u tiffranka l-ħlas ta’ biljun euro f’taxxi fuq 4 snin billi użat lill-Malta għal dan l-iskop. Dan sar billi kumpanija sussidjarja ġiet reġistrata f’Malta u t-taxxi dovuti, għax l-azzjonisti mhux residenti f’Malta, ħadu lura 6 euros minn kull 7 li kellhom iħallsu f’taxxa!

Il-każ tal-Korporazzjoni Amerikana Apple fl-Irlanda, kif nafu, wassal għall-evażjoni ta’ 13-il biljun euro f’taxxi. L-iskandlu Luxleaks fil-Lussimburgu ukoll wera kif dan il-pajjiż żgħir fost il-fundaturi tal-Unjoni Ewropeja ukoll kien qed jinkoraġixxi l-evażjoni tat-taxxa.

Dawn huma ftit mill-eżempji. Bla dubju hemm bosta oħra li s’issa huma moħbija mill-iskrutinju pubbliku. Bħala riżultat ta’ dan kollu madwarna għaddejja evażjoni ta’ biljuni ta’ euro ta’ taxxi, kontinwament. Malta, l-Irlanda, il-Lussimburgu u xi pajjiżi oħra jiġbru parti żgħira mit-taxxi dovuti bħala ħlas talli jippermettu din l-evażjoni ta’ taxxa fuq skala pjuttost kbira.

F’Malta dan kollu kien possibli bħala riżultant tal-hekk imsejjaħ “kunsens nazzjonali” bejn il-PLPN dwar il-qasam finanzjarju. “Kunsens” li ilu fis-seħħ numru ta’ snin. Il-ħsara lir-reputazzjoni ta’ Malta li seħħet u għad qed isseħħ bħala riżultat ta’ dan kollu, għaldaqstant, ma jġorriex il-Partit Laburista waħdu. Il-Partit Nazzjonalista ukoll għandu resposabbiltà xi jġorr. Għalhekk fuq dawn il-materji in-Nazzjonalisti u l-Labour dejjem iħokku dahar xulxin.  

Sfortunatament l-evażjoni tat-taxxa u l-ħasil tal-flus huma ħafna drabi konnessi. Bosta drabi fejn issib waħda issib l-oħra ukoll.

It-triq il-quddiem m’għandiex ikollha impatt fuq is-sovranità fil-qasam tat-tassazzjoni kif determinat mit-trattati Ewropej permezz tal-ħtieġa tal-unanimità f’materji konnessi mat-taxxa. Imma hemm bżonn urġenti li l-qasam tal-politika fiskali ukoll jinbena fuq prinċipji etiċi b’saħħithom. U mhux dan biss. Għandu jkun assigurat darba għal dejjem li Malta ma tibqax tiddependi minn dħul ġej mill-evażjoni tat-taxxa.

Għax id-dipendenza tal-ekonomija Maltija fuq l-evażjoni tat-taxxa (u l-bejgħ tal-passaporti) hi ta’ inkwiet kbir għall-pajjiż. L-industrija tal-evażjoni tat-taxxa hi sors ta’ dħul kif ukoll ta’ impiegi li it-tnejn li huma inevitabilment jintilfu fi żmien qasir. Wasal iż-żmien li nippjanaw għal futur nadif, futur li mhux iktar dipendenti fuq l-evażjoni tat-taxxa.

Ippubblikat fuq Illum: il-Ħadd 11 t’April 2021

When the state encourages tax evasion

In a speech delivered on Monday to the Chicago Council on Global Affairs, Janet Yellen, US Treasury Secretary, made the case for a global minimum tax applicable to multinational corporations irrespective of where they locate their headquarters. Such a proposal, reported the New York Times, would prevent companies from shifting profits to evade taxes.

Lowering tax rates to attract business, emphasised Ms Yellen, is a race to the bottom which has to be addressed. Competitiveness is not just how companies fare against other companies. It is also about making sure that governments have stable tax systems that raise sufficient revenue to invest in essential public goods and respond to crisis, and that all citizens fairly share the burden of financing government.

This issue is already on the agenda of the EU facing fierce opposition from Malta, Luxembourg, Ireland as well as others. The issue of tax harmonisation is an integral part of the fight against tax evasion and money laundering.

It is unfortunate that Malta (and others) have been repeatedly abusing its tax sovereignty. It is as a result of such repeated abuse that the proposal for tax harmonisation is gaining ground such that it now has the support of the United States of America too. As a result of greed Malta has squandered a competitive advantage by abusing it repeatedly and continuously. The resulting reputational damage is hence an own goal.

Malta (and the other countries) cannot be credible in the declared fight against tax evasion and money laundering if it keeps facilitating tax avoidance on an international scale. Some years back the Green Group in the European Parliament had published a study entitled Toxic Tax deals: when BASF’s tax structure is more about style than substance. This report reveals that over the years, the German chemical giant BASF used Malta to avoid the payment of one billion euros in taxes. This was done using the “legal” possibility to have tax refunds of up to six sevenths of the tax due in such cases where shareholders are not resident in the Maltese islands. Tax avoidance is tax evasion sanctioned by the state.

The Apple Corporation case in Ireland as a result of which another €13 billion in taxes were avoided is another example of tax evasion sanctioned by the state of Ireland. Luxleaks had also revealed countless of other examples as a result of which Luxembourg too embarked on state encouraged tax-evasion.

These are just some examples of many: the proverbial tip of the iceberg. There are undoubtedly countless of others, currently below the radar of public scrutiny, as a result of which the payment of billions of euros in taxes are being continuously avoided. Malta, Ireland, Luxembourg and other countries receive a small part of the actual tax due as a result of facilitating this state encouraged tax evasion.

Locally this scam is the result of the PNPL “national consensus” on financial institutions and fiscal policy in force for a number of years in Malta. The responsibility for the resulting reputational damage is thus not one to be shouldered by the Labour Party on its own, it has help from the PN which has continuously buttressed this abusive behaviour.

Unfortunately, tax evasion and money-laundering are inseparable twins!

The way forward need not impact the tax sovereignty afforded by the EU treaties through the unanimity rule on taxation issues. However, it necessitates ensuring that policy on all fiscal issues is also founded on sound ethical principles.

In addition to ensuring that fiscal policy is not in any way unethical it is about time that Malta does not any more, in any way, depend on tax avoidance.

The dependence of Malta’s economy on tax avoidance (and the sale of citizenship) is very worrying. The tax avoidance industry is a source of both revenue to the state and employment opportunities, both of which will be lost in the not-so-distant future. It is about time that we start planning for a cleaner future, a future that is, which is not dependent on the tax avoidance industry!

Published in the Malta Independent on Sunday : 11 April 2021

Anke Bendu bil-problemi ma’ tat-taxxa

Il-gazzetti tal-lum qalulna li wara kollox, dwar it-taxxi anke Bendu, jiġifieri Bernard Grech, għandu storja ta’ taxxi b’lura.

Il-Malta Today qaltilna: PN leadership candidate has a history of unpaid taxes. Is-Sunday Times qaltilna: Bernard Grech sorts out his tax dues. L-Illum, min-naħa l-oħra tgħidilna li: Grech ma jgħidx kif ħallas €62,000 f’taxxa u VAT li kellu pendenti fuq medda ta’ snin.

Hemm ħafna x’jiġi spjegat minn Bendu Grech. Fi ftit kliem kif jista’ jitwemmen meta jitkellem dwar il-ġustizzja soċjali meta kellu dawn il-problemi kollha mal-awtoritajiet tat-taxxa? Il-fatt li ftit ilu ftiehm ma jistax inessi li sa dakinhar kien jaħsibha mod ieħor.

It-taxxa hi strument ta’ ġustizzja redistributtiva u min jevadi jew jipprova jevadi t-taxxa jkun qed jaħrab mir-responsabbiltajiet tiegħu. Fuq dan m’hemmx x’tagħżel bejn Bendu u Drinu : it-tnejn pezza waħda.

It-turiżmu wara l-pandemija

It-turiżmu kien wieħed mis-setturi li l-iktar intlaqat bħala riżultat tal-pandemija Covid-19. Tul is-snin in-numri tat-turisti li ġew iżuruna żdied kull meta tjiebet il-konnettività: min-naħa l-oħra hekk kif il-konnettività naqset u eventwalment waqfet kompletament, ġara bil-maqlub.

Iktar kmieni din il-ġimgħa bdew jaslu l-ewwel turisti fil-port u l-ajruport tagħna. Bil-mod qed terġa’ tiġi stabilita l-konnettività li twassal biex it-turiżmu jibda jirpilja bil-mod. Il-Ministru tat-Turiżmu Julia Farrugia-Portelli f’dawn il-ġranet ħabbret il-mira tal-Gvern: 700,000 turist sal-aħħar tas-sena. Iktar kmieni t-tmexxija tal-Ajruport Internazzjonali ta’ Malta kienet emfasizzat li jeħtieġ madwar sentejn biex il-wasla tal-passiġġiera tirkupra u naslu fejn konna qabel ma faqqgħet il-pandemija.

Jista’ t-turiżmu qatt jilħaq il-livelli ta’ qabel il-pandemija?

Jeżistu stimi diversi dwar il-kontribut tat-turiżmu lejn l-ekonomija. Stima minnhom tipponta lejn kontribut dirett ta’ 5 fil-mija tal-ekonomija. Imma, bħala riżultat tal-impatt fuq setturi oħra dan is-sehem jitla għal madwar 12 fil-mija. Barijiet, restoranti, ħwienet li jbiegħu bl-imnut, attivitajiet pubbliċi, l-industrija tad-divertiment u t-trasport (in partikolari l-kiri tal-karozzi) huma dipendenti fuq it-turiżmu. Setturi partikolari bħat-tagħlim tal-Ingliż u ċ-ċentri tal-għaddasa huma meqjusa bħala parti integrali mill-ekonomija turistika.

Intqal ħafna dwar l-impatt tal-pandemija fuq il-lukandi. Imma anke dawk li jipprovdu sodod turistiċi barra mil-lukandi ġarrew fuq spallejhom impatt sostanzjali avolja ftit li xejn issemmew fid-dibattitu konness mal-impatti tal-pandemija. Dan huwa settur li jinvolvi negozjanti żgħar u dawk li nirreferu għalihom bħala micro-businesses li kull wieħed minnhom jimpjega inqas minn għaxar persuni.

UNCTAD, l-Aġenzija tal-Ġnus Magħquda dwar il-Kummerċ u l-Iżvilupp, iktar kmieni din il-ġimgħa ħabbret li l-iġġammjar tat-turiżmu minħabba l-pandemija ser jiswa’ lill-industrija globali tat-turiżmu madwar $1.2 triljun . Din l-istima tista’ tirdoppja skond kif tiżviluppa t-tieni mewġa tal-pandemija.

Il-Ġamajka tista’ titlef madwar 11 fil-mija tal-Prodott Gross Domestiku, t-Tajlandja 9 fil-mija, l-Italja 5 fil-mija. Fl-Unjoni Ewropeja l-agħar impatti huma mal-kosta Mediterranja fejn l-ekonomija hi dipendenti ħafna fuq it-turiżmu. Minbarra Malta hemm l-Italja, l-Kroazja, is-Slovenja, Cipru u l-Greċja li kollha ntlaqtu sew. It-Turkija u t-Tunesija, parteċipanti Mediterranji fl-industrija turistika ukoll iġġammjaw, wara li gawdew minn żidiet sostanzjali fin-numri ta’ turisti tul is-snin.

Jagħmel sens li l-Gvern, f’dan il-waqt, permezz tal-Awtorità Maltija tat-Turiżmu, qiegħed jiffoka fuq li jġib lill-industrija tat-turiżmu lura fuq saqajha. Dan imma, mhux biżżejjed. Jeħtieġ li nibdew naħsbu dwar il-futur tal-industrija u dan billi neżaminaw fid-dettall dak li l-industrja teħtieġ li tiffaċċja fit-tul.

Fi tmiem is-sena li għaddiet, l-2019, ilħaqna in-numru ta’ 2.8 miljun turista iżuruna. Il-punt hu jekk dawn in-numri humiex sostenibbli. Dan hu argument ta’ dejjem li ilu għaddej sa minnmeta n-numri kienu ferm iżgħar. Id-dibattitu kien, u għandu jibqa’ jkun dwar jekk għandniex niffukaw iktar fuq il-kwalità milli fuq il-kwantità.

Il-miġja fostna tal-linji tal-ajru low-cost bħala parti essenzjali mill-politika tat-turiżmu illum tpoġġi emfasi ikbar fuq in-numri. Din hi għażla politika li saret u li teħtieġ li tkun eżaminata u analizzata fil-fond. L-impatti ekonomiċi għandhom jitqiesu fl-istess ħin mal-impatti ambjentali. Irridu niftakru kontinwament li t-turiżmu jiġġenera bosta impatti ambjentali.

Wasal iż-żmien li nirrealizzaw li d-dibattitu meħtieġ dwar il-futur tat-turiżmu jeħtieġ li jsir fl-isfond tal-Patt l-Aħdar: The Green Deal.

L-emissjonijiet tal-ajruplani ser ikollhom ikunu indirizzati fil-futur qarib. Hu inevitabbli li jiddaħħlu taxxi dwar dawn l-emissjonijiet (carbon taxes) fi żmien mhux il-bogħod. Jekk mhux ser jittieħdu passi immedjati dwar dawn l-emissjonijiet ser ikun ħafna iktar diffiċli, biex ma ngħidx impossibli, biex ikunu ndirizzati l-konklużjonijiet tas-Summit Klimatiku ta’ Pariġi tal-2015. Summit li Malta ħarġet tiftaħar li kienet wieħed mill-ewwel pajjiżi li rratifikatu. F’dak il-mument (jekk nibqgħu ma nieħdux passi) mhux biss it-turiżmu jaqla’ daqqa kbira oħra imma tkun il-kwalità tal-ħajja tagħna lkoll li tieħu daqqa l-isfel.

Il-gżejjer Maltin, bħall-parti l-kbira tal-gżejjer imxerrda mal-ibħra, ikunu minn tal-ewwel biex jaqilgħu ġo fihom l-impatti tat-tibdil fil-klima. Il-kosta tkun effettwat bl-għoli tal-livell tal-baħar. Tajjeb li niftakru li l-infrastruttura tat-turiżmu qegħda kważi kollha mal-kosta! Iktar ma ninjoraw dan il-fatt bażiku ikbar tkun id-daqqa li naqilgħu.

S’issa naħseb li kulħadd irrealizza kemm l-industrija tat-turiżmu hi waħda fraġli. Kull xokk li l-industrija issofri jista’ jwassal għal tnaqqis kbir fl-impiegi f’din l-industrija. It-turiżmu għadu staġjonali wisq u dan minnu innifsu jwassal għal kundizzjonijiet tax-xogħol ta’ natura prekarja.

Jeħtieġ li nippjanaw iżjed billi nħarsu il-bogħod u fuq medda twila ta’ żmien: naħsbu u nippjanaw sewwa dwar l-impatti soċjali, ambjentali u ekonomiċi ta’ kull deċiżjoni. Dan wara kollox hu l-proċess li jwassal għal żvilupp sostenibbli. Hu l-unika mod kif nistgħu nassiguraw li l-impatti negattivi tal-industrija tat-turiżmu nistgħu nindirizzawhom illum qabel għada.

Ippubblikat fuq Illum : il-Ħadd 5 ta’ Lulju 2020

Post-Covid Tourism

Tourism is understandably one of the hardest hit sectors as a result of the Covid-19 pandemic. Over the years, tourism numbers increased substantially as a result of an increased connectivity: the reverse happened the moment that connectivity was restricted or became practically inexistent.

Earlier this week saw the first arrivals at our air and seaports. Slowly, connectivity is being restored. It is expected that tourism will now start a slow recovery. Tourism Minister Julia Farrugia-Portelli is on record with a 700,000-tourist target for year end. Malta International Airport CEO had earlier opined that it will take at least two years to recover to pre-pandemic level airport movements.

Will tourism ever recover to the pre-pandemic levels?

There are various estimates of the contribution of tourism to the economy. One such estimate points at a direct contribution of around 5 percent of our economy. However, as a result of its impacts on other sectors the overall contribution rises to around 12 percent. Bars, restaurants, retail trade, events, entertainment and transport (in particular car hire), are heavily dependent on tourism. Specific sectors such as the English language school sector as well as diving are important sectors in the tourism economy.

Much has been stated on the impact of the pandemic on the hotel industry. The providers of non-hotel beds, however, have also been heavily impacted by the pandemic, but they have not featured much in the post-Covid-19 debate. This is a sector which involves a number of small-scale investors and micro-businesses each employing less than ten employees.

UNCTAD, the UN Trade and Development Agency, earlier this week stated that the four-month standstill of the tourism industry due to the pandemic Covid-19 could cost the industry around $1.2 trillion. This estimated cost could more than double, depending on the severity and spread of a second wave of the pandemic.

Jamaica could lose as much as 11 percent of its GDP, Thailand 9 percent, Italy 5 percent. In the EU, the worst impacts are along the Mediterranean coast where the economy is heavily dependent on tourism. In addition to Malta, Italy, Croatia, Slovenia, Cyprus and Greece are also heavily impacted. Turkey and Tunisia, Mediterranean players in the tourism industry have also been almost at a standstill, after experiencing a substantial expansion of their tourism industry throughout the years.

It is understandable that government through the Malta Tourism Authority is currently focused on getting tourism back on its feet. This is however not enough. We must start discussing a long-term view of the tourism industry.

At the end of 2019 the 2.8 million mark of tourists visiting the Maltese islands had been attained. The point at issue is whether this is sustainable in the long-term. This has been a perennial issue in tourism politics since the days when the numbers were much lower. The debate was and should be whether we should focus more on quality than on quantity.

The advent of low-cost carriers as an essential part of the tourism equation places more emphasis on numbers than on quality. It is a choice which may need to be analysed and revisited. Economic impacts have to be viewed concurrently with environmental impacts. We must remember that tourism has a considerable environmental impact. It is about time that the tourism debate is carried out within the parameters of the Green Deal.

Aeroplane emissions will at some point in time in the near future have to be addressed. Carbon taxes will sooner or later come into play. Unless they are addressed immediately it will be more difficult, if not practically impossible, to address the Paris Climate Change conclusions to which Malta has adhered. At that point it will not be just the tourism industry but our whole lifestyle which will be in for the chop.

The Maltese archipelago, like all islands, will bear the brunt of climate change impacts. The coastline will be severely hit by a sea level rise. It may be pertinent to remember that the coast houses practically all of the tourism infrastructure. The longer we ignore this basic fact, the more severe will the impacts be.

By now all of us are aware that Tourism is a very volatile industry: any shock will result in mass redundancies. Tourism is currently way too seasonal, and consequently it only serves to create precarious working conditions.

It is the time to plan ahead: thinking carefully of the social, environmental and economic impacts of all decisions. This is what sustainable development is, after all, about. It is the only way to ensure that the negative impacts of the tourism industry are addressed by us sooner rather than later.

 

published in The Malta Independent on Sunday : 5 July 2020

Edward Scicluna u l-bajtar tax-xewk

Iktar kmieni din il-ġimgħa, l-President tal-Kummissjoni tal-Unjoni Ewropea, Ursula von der Leyen, ippreżentat lill-Parlament Ewropew pjan ta’ €750 biljun biex inqumu fuq saqajna. Pjan li jista’ jiġġenera investiment stmat €3.1 triljun fl-ekonomija Ewropea. Permezz ta’ għotjiet flimkien ma’ self, il-Kummissjoni Ewropea qed tfittex li tegħleb l-impatti ekonomiċi negattivi tal-Covid-19 kif ukoll li tagħti bidu għall-azzjoni meħtieġa biex ikun implimentat il-Ftehim l-Aħdar (the Green Deal).

It-triq biex nirkupraw mhiex faċli. Mhux il-każ li mmorru lura għal kif konna. Dak spiċċa. Irridu nimxu l-quddiem lejn normal ġdid. Li nintegraw flimkien il-ħidma biex nirkupraw mill-impatti tal-pandemija flimkien mal-azzjoni meħtieġa dwar it-tibdil fil-klima mhux ser tkun faċli imma hi essenzjali u mhux possibli li tkun posposta. Kif ġie emfasizzat fuq Euroactive nhar l-Erbgħa, it-triq biex nirkupraw tiddependi minn ħafna kundizzjonijiet konnessi mal-ambjent. 25 fil-mija tal-finanzjament propost mill-Kummissjoni Ewropeja hu fil-fatt marbut ma’ ħidma klimatika.

Edward Scicluna, il-Ministru tal-Finanzi, fl-ewwel reazzjoni tiegħu għall-pjan tal-Kummissjoni ikkummenta mħasseb dwar miżuri prattiċi konnessi mal-klima. Bħala gżira ser inweġġgħu ħafna qal, jekk jindirizzaw l-emissjonijiet tal-ajruplani u l-vapuri. Il-pjan, qal Edward Scicluna, jixbah lill-bajtar tax-xewk. Scicluna jippreferi li ma jsir xejn ħlief paroli. L-anqas m’hu jieħu pjaċir b’dak li qed jingħad dwar it-tassazzjoni tal-kumpaniji, avolja konxju li m’għadx baqa’ żmien biex fl-Unjoni Ewropea tħajjar kumpaniji jibqgħu jħarbu l-obbligi tagħhom tal-ħlas tat-taxxi.

Hu korrett li jingħad li ser nintlaqtu bil-miżuri dwar il-klima. Hekk għandu jkun, għax il-ħidma tagħna għandha impatt fuq il-klima. Nistgħu imma ninnegozjaw biex dawn l-impatti fuqna jonqsu mingħajr ma nnaqqsu l-impenn (reali) tagħna biex ikunu indirizzati l-impatti klimatiċi tal-industrija tal-avjazzjoni u tal-vapuri. Bla ebda dubju dan ser ikun ifisser impatti sostanzjali kemm fuq it-turiżmu kif ukoll fuq il-kummerċ.

Dan ma jistax ikun evitat għax dawn l-industriji għandhom l-obbligu li huma ukoll jġorru fuq spallejhom l-impatti li qed jikkawżaw. Dak hu li wegħdna bħala pajjiż fis-Summit ta’ Pariġi dwar il-klima. Wasal il-waqt li nwettqu dak li ġie imwiegħed. Biex niġu fuq saqajna irridu nfasslu l-futur mill-ġdid. Il-ħsara li teħtieg li tissewwa mhiex biss dik ekonomika u ambjentali. Jinħtieġ li tul l-Unjoni Ewropea kollha nibnu s-solidarjetà fuq pedamenti sodi. Dak li Edward Scicluna jqis bħala l-bajtar tax-xewk huma fil-fatt l-għodda bażiċi tas-solidarjetà.

Għax is-solidarjetà hi meħtieġa mhux biss meta aħna bir-raġun kollu nokorbu ma’ kull mewġa ta’ immigranti fl-ibħra Maltin. Is-solidarjetà hi dak li Malta tinjora meta tfittex li tkun attraenti għal min irid jevadi t-taxxi f’pajjiżu: dawk li jħallsu ftit lill-kaxxa ta’ Malta biex jevitaw milli jħallsu l-biljuni band’oħra. Il-politika dwar l-armonizzazzjoni tat-tassazzjoni fl-Unjoni Ewropea hi r-risposta bis-sens għall-politika li tinkoraġixxi l-evażjoni tat-taxxa f’Malta, l-Olanda, il-Lussimburgu u l-Irlanda.

L-Oxfam f’rapport ippubblikat fl-2019 u ntitolat “Off the Hook. How the EU is about to whitewash the world’s worst tax havens” temfasizza li “l-Irlanda, il-Lussimburgu, Malta u l-Olanda huma fost il-pajjiżi li l-iktar jinkoraġixxu l-evażjoni tat-taxxa fid-dinja, b’mod li jagħmluha possibli li kumpaniji kbar jirnexxielhom iħallsu ammont żgħir ta’ taxxa. Per eżempju, ir-regoli internazzjonali tat-taxxa jippermettu lill-Vodafone Group Plc biex jallokkaw kważi 40 fil-mija tal-profitti taxxabbli tagħhom f’Malta u l-Lussimburgu.”

Rajna ukoll rapporti dwar il-BASF, ġgant fl-industrija kimika fil-Ġermanja, li jispjegaw kif din tevadi t-taxxa. Fir-rapport tal-Ħodor Ewropej ippubblikat fl-2016, intitolat “Toxic Tax Deals. When BASF’s Tax Structure is more about style than substance” kien spjegat kif il-BASF irnexxiela tevadi madwar biljun euro f’taxxa, u minflok ħallset ammonti żgħar bil-kompliċità ta’ Gvernijiet Maltin: ħomor u blu.

Jeħtieġ li l-ewwel u qabel kollox nirkupraw l-imġieba etika tagħna, anke qabel ma nirkupraw ekonomikament u ambjentalment. Ir-riġenerazzjoni tal-valuri tagħna għandha tkun prijorità qabel ma nippruvaw insewwu l-kaxxa ta’ Malta li minnha, bħalissa ħerġin il-flus maħmuġin akkumulati mill-bejgħ tal-passaporti. Flejjes miġburin minn persuni bħall-biljunarju Russu Boris Mints, l-Eġizzjan Mustafa Abdel Wadood, il-biljunarju Ċiniż Liu Zhongtian, in-negozjant Russu Pavel Melenikov u l-Iżraeli Anatoly Hurgin, li irnexxielhom jiżgiċċaw minn eżami suppost rigoruż u ngħataw iċ-ċittadinanza Maltija: però xorta spiċċaw għaddejjin proċeduri kriminali f’diversi pajjiżi oħra primarjament dwar frodi u ħasil tal-flus!

F’dan iż-żmien ta’ ħtieġa l-Ministru tal-Finanzi Edward Scicluna spiċċa dipendenti fuq flejjes li oriġinaw minn dawn is-sorsi maħmuġin. Ma tkunx esaġerazzjoni li ngħid li spiċċa dipendenti minn flus li oriġinaw mill-kriminalità.

Fir-reazzjonijiet tagħha għall-proposti tal-Kummissjoni tal-Unjoni Ewropea Evelyne Huytebroech, waħda miż-żewġ mexxejja tal-Partit tal-Ħodor Ewropej, emfasizzat li din il-proposta flimkien ma dik tal-Parlament Ewropew u l-proposta Franco-Tedeska ilkoll qed jaraw proċess ta’ self komuni. Dan hu pass il-quddiem għas-solidarjetà Ewropea. Għax is-solidarjetà tinbena bil-mod u bit-tbatija. Imma għal Edward Scicluna dan kollu bajtar tax-xewk!

ippubblikat fuq Illum :il-Ħadd 31 ta’ Mejju 2020

The recovery plan and Edward Scicluna’s prickly pears

Earlier this week, EU Commission President Ursula von der Leyen, presented for the consideration of the European Parliament a recovery plan worth €750 billion but which can unleash an investment estimated at €3.1 trillion in the EU economy. Through a combination of loans and grants the EU Commission seeks to integrate the reversal of the economic downturn resulting from the Covid-19 pandemic together with the action required to implement the Green Deal.

The road to recovery will be tough. It is not the case of going back to normal but of going forward to a new normal. Integrating the recovery from the pandemic impacts with climate change action will not be easy but it is essential and cannot be postponed. As emphasised by Euroactive on Wednesday, the road to recovery has plenty of green strings attached. 25 per cent of the funding proposed by the EU Commission is in fact earmarked for climate action.

Finance Minister Edward Scicluna, in his first reaction to the recovery plan, voiced concern on practical climate action measures. It hurts, he says, to address air traffic emissions or shipping pollution. As an island this would impact us substantially. The proposed recovery plan is comparable to prickly pears, he stated. He prefers the status quo: all talk and little walk. Edward Scicluna is not amused by rumblings heard on corporate taxation even though he is well aware that the days of attracting corporations seeking tax havens within the EU may well be numbered.

It is correct to state that we will be impacted substantially. We can however negotiate to reduce such impacts without diminishing our commitment to addressing climate change impacts of the airline and shipping industry. This would mean significant impacts on tourism and trade. These however cannot be avoided as climate change impacts have to be internalised: that is they have to be shouldered by the industries generating them. This is what we promised in the Paris Climate Summit. Promises that we must now honour.

Operation recovery must re-design the future. It must not be just an economic recovery or an environmental rebirth. It must also be a recovery of practical solidarity all over the Union. What Edward Scicluna views as prickly pears are in fact instruments of solidarity.

Solidarity is not just what we rightly cry for when immigrants crash through our borders. Solidarity is what we ignore when Malta insists on being attractive to tax evaders: those who pay peanuts to the Maltese exchequer in order to avoid paying billions elsewhere. The issue of tax harmonisation on an EU level is the sensible response to the tax haven fiscal policies of Malta, the Netherlands, Luxembourg, and Ireland.

Oxfam in its 2019 report entitled “Off the Hook. How the EU is about to whitewash the world’s worst tax havens” emphasises that “Ireland, Luxembourg, Malta and the Netherlands are among the most significant tax havens in the world, enabling some of the biggest corporations to pay minimal amounts of tax. For example, currently, international tax rules allow Vodafone Group Plc to allocate nearly 40% of its taxable profits to Malta and Luxembourg.” We have also seen reports on BASF clearly explaining how the German chemical giant avoids paying taxes due. The European Greens report “Toxic Tax Deals. When BASF’s Tax Structure is more about style than substance” published in 2016 had outlined how BASF had successfully avoided close to a billion euros in tax, paying just a small amount thanks to Maltese governments blue and red.

The recovery must be primarily ethical before being economic and environmental. Regenerating our values should be a priority higher on the list than the regeneration of our coffers, currently dishing out dirty money originating from the sale of citizenship schemes. Monies collected from the likes of Russian billionaire Boris Mints, Egyptian national Mustafa Abdel Wadood, Chinese billionaire Liu Zhongtian, Russian businessman Pavel Melenikov and Israeli Anatoly Hurgin, who slipped through what is described as a rigorous due diligence process and gain Maltese citizenship only to be prosecuted in different jurisdictions for various crimes primarily fraud and money laundering.

It is indeed telling that in time of need Finance Minister Edward Scicluna is dependent on monies originating from such dubious sources! It would not be an exaggeration to state that he is dependent on the proceeds of crime.

In her reaction to the EU Commission proposals Evelyne Huytebroech co-Chair of the European Greens emphasised that the EU Commission’s proposal together with the proposals of the EU Parliament and the Franco-German initiative all foresee a mutualised debt instrument: a major breakthrough for European solidarity. Solidarity is constructed slowly and painfully, while Edward Scicluna juggles with his prickly pears.

published in The Malta Independent on Sunday : 31 May 2020

Il-governanza tajba tinbena fuq it-transparenza

It-transparenza hi l-pedament essenzjali għal governanza tajba. B’kuntrast ma dan, il-governanza ħażina, ġeneralment, tkun akkumpanjata mis-segretezza u dan billi jinżamm jew ikun ostakolat l-aċċess għal informazzjoni ta’ kull xorta, liema informazzjoni għandha tkun pubblika.

Il-ħmieġ assoċjat mal-Panama Papers sirna nafu bih fil-mument li nkixfet l-informazzjoni dwar dawk li fittxew l-irkejjen tad-dinja fejn hi inkoraġġita s-segretezza: irkejjen fejn jinħbew il-flus ġejjin mill-korruzzjoni u mill-evażjoni tat-taxxi. Bl-istess mod l-iskandlu tal-Vitals dwar l-isptarijiet kif ukoll it-taħwid kollu assoċjat mal-power station ma kienux iseħħu kieku l-Partit Laburista fil-gvern għażel it-trasparenza flok is-segretezza bħala għodda essenzjali għat-tmexxija. Segretezza li kultant twaħħxek.

Il-kontabilità li tant niftaħru biha, wara kollox, hi dwar ir-responsabbiltà. Tfisser l-għarfien tar-responsabbiltà għal dak li nagħmlu. Dan ma jistax iseħħ jekk ma ssaltanx it-trasparenza, dejjem, u mhux biss meta jaqbel.

Il-ġimgħa l-oħra, l-Kamra tal-Kummerċ ippubblikat dokument bil-ħsibijiet tagħha dwar il-ħtieġa li tkun inkoraġġita u msaħħa l-governanza tajba. Kien f’loku li l-Kamra tal-Kummerċ emfasizzat li l-governanza tajba hi msejsa fuq it-trasparenza, l-kontabilità u s-saltna tad-dritt.

Spiss jingħad li l-informazzjoni hi poter. It-transparenza hi dwar dan il-fatt: li jkun assigurat li l-poter jinfirex. Għax hu biss meta jkollna għarfien ta’ dak li qed jiġri li nkunu nistgħu neżerċitaw id-dritt bażiku tagħna bħala ċittadini li neżiġu illi kull min jiddeċiedi, u allura jeżerċita l-poter, jagħti kont ta’ egħmilu, dejjem.

Il-politiċi mhumiex l-uniċi li jieħdu d-deċiżjonijiet. Dawn jinkludu liċ-ċivil u lil dawk li jmexxu l-awtoritajiet u l-istituzzjonijiet imwaqqfa biex jiffaċilitaw l-amministrazzjoni tal-istat fit-twettieq tal-funzjonijiet u d-dmirijiet tiegħu.

It-trasparenza teħtieġ li tinfirex anke fid-dinja tal-kummerċ. Spiss nisimgħu lil min jemfasizza li l-politika m’għandiex tindaħal fis-settur privat, fid-dinja tan-negozju. Għal uħud għadu mhuwiex ovvju li anke s-settur privat, u in-partikolari id-dinja tan-negozju, għandu joqgħod lura milli “jindaħal” fil-politika. Fost affarijiet oħra dan ifisser il-ħtieġa li jkun regolat il-lobbying. Dan ma jsirx billi il-lobbying ikun ipprojibit imma billi kull attività ta’ lobbying tkun transparenti. Għax jekk il-lobbying isir sewwa jista’ ikollu impatt posittiv fuq it-tfassil tad-deċiżjonijiet. Hi is-segretezza li tagħti fama ħażina lill-lobbying, segretezza intenzjonata biex ixxaqleb id-deċiżjonijiet lejn interessi kummerċjali u fl-istess ħin biex tostor it-taħwid.

Huwa f’dan id-dawl li l-inizjattiva tal- Ministru l-ġdid għall-Ambjent Aaron Farrugia li jżomm lista tal-laqgħat kollha tiegħu ma’ dawk li jfittxu li jiltaqgħu miegħu, inkluż mal-utenti, u li jippubblika din l-informazzjoni fil-forma ta’ reġistru ta’ trasparenza hi pass kbir ‘il quddiem. Din l-inizjattiva hi f’waqtha u hi ta’ eżempju lill-politiċi oħrajn biex huma ukoll jipprattikaw it-transparenza. Dan imma għandu jkun biss l-ewwel pass li jeħtieġ li jkun segwit bil-pubblikazzjoni ta’ proposti u dokumenti li l-Ministru jirċievi waqt dawn il-laqgħat, kif ukoll il-minuti tal-laqgħat li jkunu saru.

Hu magħruf li l-Kummissarju dwar l-Istandards fil-Ħajja Pubblika qed iħejji biex jippubblika abbozz ta’ proposti dwar ir-regolamentazzjoni tal-lobbying biex eventwalment tkun tista’ issir konsultazzjoni pubblika dwarhom. Nittama li dan iwassal għal sitwazzjoni fejn f’dan il-qasam Aaron Farrugia ma jibqax l-eċċezzjoni. Il-bqija tal-membri tal-Kabinett m’għandhomx jibqagħlhom għażla. Għandhom ikunu kostretti li huma wkoll jaġixxu biex it-transparenza fil-ħidma politika tkun ir-regola u mhux l-eċċezzjoni.

Għax huwa biss meta it-transparenza jkollha egħruq fondi u b’saħħithom li nistgħu nibdew intejbu d-demokrazija tagħna billi neliminaw id-difetti li tħallew jakkumulaw tul is-snin.

 

ippubblikat fuq Illum : Il-Ħadd 26 ta’ Jannar 2020

Good governance is founded on transparency

Transparency is the indispensable foundation of good governance. In contrast, bad governance is generally wrapped in secrecy through the withholding of information which should be in the public domain.

The Panama Papers saga saw the light of day when information on those seeking secretive jurisdictions was made public. These locations are sought to hide  the fruits of corruption or tax evasion from public scrutiny. Similarly, the Vitals hospital scandal, as well as the power station scandal, with all their ramifications, would undoubtedly not have occurred if the Labour Party in government had embraced transparency instead of entrenching secrecy as its basic operational rule.

Transparency is a basic characteristic of good governance whereas secrecy is the distinguishing mark of bad governance, inevitably leading to unethical behaviour and corruption.

Without transparency, accountability is a dead letter; devoid of any meaning. A lack of transparency transforms our democracy into a defective process, as basic and essential information required to form an opinion on what’s going on is missing. After all, accountability is about responsibility: it signifies the acknowledgement and assumption of responsibility for our actions. This cannot be achieved unless and until transparency reigns supreme.

Last week, the Chamber of Commerce published its views on the need to reinforce good governance. Pertinently it emphasised that good governance is founded on transparency, accountability and the rule of law.

It is said that knowledge (and information) is power. This is what transparency is all about: ensuring that power is shared by all as it is only when we are aware as to what is going on that we can exercise our basic right as citizens: holding decision-takers to account. Being in possession of information gives each and every one of us the power to act and exercise our civic rights.

Holders of political office are not the only decision-takers. Decision-takers include the civil service as well as those running authorities and institutions established to facilitate the administration of the state in carrying out its functions and duties.

Even business leaders should be transparent in their actions and decision-taking. Many a time we have heard the expression “we should take politics out of business”, signifying that politics should not interfere in the private sector.

To some it is less obvious that the reverse of that is just as important, meaning that we should also “take business out of politics”. Among other things, this signifies that we should regulate lobbying. This is not done by prohibiting lobbying but by focusing the spotlight of transparency on all lobbying activity. If lobbying is done properly, it could have a beneficial impact on policy making. It is secrecy that gives lobbying a bad reputation: a secrecy intended to derail decisions in a manner beneficial to the different lobby groups as well as to facilitate and shroud underhand deals.

In this respect the initiative of the newly appointed Environment Minister Aaron Farrugia to log all of his meetings with lobbyists and stakeholders and to publish a Transparency Register is a welcome step in laying solid foundations for the practice of transparency by holders of political office. It is, however, only a first step and must be eventually followed by the publication in real time of proposals received as well as the minutes of meetings held.

It is known that the Commissioner for Standards in Public Life will shortly be publishing proposals for the regulating of lobbying. Hopefully, this should lead to a situation where Aaron Farrugia would not be an exception. Others will be compelled to not only follow in his footsteps but to proceed much further in entrenching transparency in the working methods of holders of political office.

A deep-rooted commitment to transparency is the only way by which we can start repairing our defective democracy.

 

published in The Malta Independent on Sunday : 26 January 2020

Patt Ġdid Aħdar

Patt Ġdid Aħdar (Green New Deal) hi tweġiba għall-kriżijiet li qed tiffaċċja s-soċjetà tagħna. Għandu jkollu l-mira li jirrikonċila l-istil ta’ ħajjitna – kif ngħixu, kif nipproduċu u x’nikkunsmaw – mal-limiti prattiċi u fiżiċi tad-dinja madwarna.

Hu vjaġġ li jista’ jittrasforma l-ħajja f’kull settur b’riformi radikali li jorbtu katina flimkien. Bħala riżultat nistgħu ngħixu f’iktar armonija man-natura.

Matul is-sena d-dieħla għandna nisimgħu dwar in-nisġa ta’ strateġija għal Patt Ġdid Aħdar fl-Unjoni Ewropea. Ursula von der Leyen, għandha mira ambizzjuża: trid li jkollha pjan dwar dan il-Patt Ġdid Aħdar lest għad-diskussjoni fi żmien mitt jum minn meta l-Kummissjoni Ewropea l-Ġdida tibda tiffunzjona. Dan bla dubju jkollu effett fuq kull pajjiż membru tal-Unjoni. Nistennew għaldaqstant li matul is-sena jkollna l-proposti tal-Gvern Malti ukoll f’dan is-sens.

Din hi triq li l-Ħodor Ewropej ilhom imexxu l-quddiem għal bosta snin u mhix koinċidenza li din il-viżjoni tal-Kummissjoni Ewropea l-Ġdida qed tieħu sura hekk kif il-Grupp tal-Ħodor fil-Parlament Ewropew kiber sostanzjalment fid-daqs.

Il-Patt Ġdid Aħdar hu dwar ferm iktar mit-tibdil fil-klima. Huwa ukoll dwar il-mudell ekonomiku li hu l-kawża tad-degradazzjoni ambjentali madwarna.

Fil-kummenti tiegħu huwa u jagħlaq id-diskussjoni dwar il-Baġit, il-Prim Ministru, pereżempju, spjega li l-qalba għal karozzi tal-elettriku tfisser ferm iktar milli sempliċiment nimpurtaw il-karozzi u li niżviluppaw l-infrastruttura meħtieġa għalihom.

Tfisser ukoll t-tmiem tat-taxxi tar-reġistrazzjoni tal-karozzi kif ukoll it-taxxi li jinġabru mill-bejgħ tal-petrol u d-diżil li dwarhom l-istima għas-sena 2020 hi ta’ €157 miljun, skont l-estimi tal-Baġit li l-Ministru tal-Finanzi ppreżenta reċentement fil-Parlament. Ma’ din is-somma wieħed irid jikkunsidra ukoll it-taxxa li tinġabar mar-reġistrazzjoni tal-karozzi li għas-sena 2020 hi stmata li tlaħħaq €55 miljun kif ukoll il-liċenzji tat-triq li jitħallsu kull sena, huma stmati li jlaħħqu €85 miljun oħra fis-sena finanzjarja 2020. Dan ifisser li fis-sena 2020 €297 miljun mid-dħul tal-Gvern ser ikunu dipendenti fuq il-karozzi, prinċipalment fuq karozzi privati. Sa mill-2018 bħala inċentiv favur l-introduzzjoni ta’ karozzi bl-elettriku kienet introdotta eżenzjoni mit-taxxa tar-registrazzjoni. Dakinnhar ukoll kienet tħabbret esenzjoni ta’ ħames snin fuq il-liċenzja tat-triq għal dawn il-karozzi. L-impatt tal-elettrifikazzjoni, għaldaqstant imur lil hinn mill-klima. Hemm impatt ukoll fuq il-finanzi pubbliċi għax ikun meħtieġ identifikazzjoni ta’ sostitut għal dan in-nuqqas ta’ dħul.

Hu ċar li l-inkarigu li Frans Timmermans ingħata dwar il-Patt Ġdid Aħdar prinċipalment ser ikun iffukat dwar il-politika tal-klima u kif l-Unjoni Ewropea għandha tilħaq il-mira ta’ status carbon neutral sal-2050.

Imma hemm iktar minn hekk ukoll. Ursula von der Leyen fl-ittra tagħha tal-10 Settembru 2019 fejn tfisser l-oġġettivi li jridu jintlaħqu minn Timmermans tgħid li “għandna nħarsu b’mod iktar wiesa’, mill-enerġija li nipproduċu u nużaw, b’inkoraġġiment għal investiment mis-settur privat u appoġġ għat-teknoloġija nadifa, inkluż għat-trasport li nużaw, l-ikel li nikkunsmaw u l-ippakkeġġar li narmu.” Dan ser jinkudi ukoll responsabbiltà kemm għall-ekonomija ċirkulari kif ukoll għal dik assoċjat mal-qasam marittimu, magħrufa ukoll bħala l-ekonomija l-blu.

Ursula von der Leyen temfasizza ukoll il-mira dwar it-tnaqqis tal-emissjonijiet tal-karbonju li tinsisti illi għandhom jiżdiedu ta’ l-inqas sa’ tnaqqis ta’ 50% sas-sena 2030.

Tagħmel emfasi partikolari wkoll fuq l-impatti soċjali ta’ din il-bidla billi tiffoka fuq il-ħtieġa ta’ transizzjoni ġusta prinċipalment f’dawk ir-reġjuni li huma dipendenti fuq l-industrija, fuq il-faħam, inkella fuq l-industrija tal-enerġija. Ma’ dan huwa ppjanat kemm attenzjoni dwar il-ħarsien tal-bijodiversità kif ukoll il-mira li jitrazzan kull xorta ta’ tniġġis.

Punt interessanti fl-inkarigu ta’ von der Leyen lil Timmermans huwa emfasi li l-politika ta’ tassazzjoni hi meqjusa bħala għodda essenzjali li għandha tintuża biex jintlaħqu l-miri tal-politika dwar il-klima. Dan ifisser li ser ikun hemm pressjoni sostanzjali fuq il-Gvern Malti biex jikkura l-allerġija li għandu għat-tassazzjoni, b’mod partikolari t-tassazzjoni ambjentali, għodda effettiva u importanti ħafna fl-implimentazzjoni tal-politika ambjentali.

Bla dubju ser nistennew il-proposti ta’ Timmermans u d-dibattitu imqanqal li ser isegwi!

Ippubblikat fuq Illum : Il-Ħadd 27 ta’ Ottubru 2019