New wage subsidy scheme announced

Government has announced a new wage subsidy scheme based on the level of losses incurred by businesses as a result of COVID-19. The new scheme will come into effect as of January 2021.

The following are the parameters for this scheme:

• Businesses that have had to close following the issuance of Legal Notices will receive the wage supplement at the full rate
• Assistance will be based on VAT returns as compared to the same period in 2019
• The new scheme will also be applicable in the case of workers who have been replaced, where the wage supplement will be back-dated to October 2020. In such instances, the number of workers cannot exceed what was on the company books as of last May
• VAT exempt and new VAT numbers: The level of support will be paid according to the current scheme (Annexes A, B, & C) – which have determined according to NACE code regulations

For more information, visit the malta enterprise website on https://covid19.maltaenterprise.com/current-scheme-2021/ 

Publication date: 06/01/2020