Removal of inheritance tax to be extended to all property

Nationalist deputy leader Simon Busuttil has reiterated three main policy planks the PN unveiled in the last budget and in the past week, in a bid to cultivate a savings culture and leave more money in people's pockets.

The first was the complete removal of what Busuttil dubbed the "old socialist-era" tax on inherited and transferred property, adding that the removal of duty would be extended to second homes and commercial establishments over the next few years if the PN was re-elected to power.

Busuttil did not mention any timeframe for the removal of inheritance tax for secondary residences and commercial outlets.

"The tax would be removed completely on all properties, whatever it is. We do not penalise the persons passing on or recieving property but we will reward everybody's hard work," Busuttil said.

He also reiterated Lawrence Gonzi's proposal this week to invest €1,000 in a children's pension fund for all newborns from 2013 onwards.

"We are still working out whether we should allow this money to be withdrawn upon the children reaching maturity or when they are of pensionable age. We are inclined to have people the right to withdraw this money upon becoming adults."

The PN deputy leader noted that the account would be in the child's name and parents would be encouraged to contribute to the fund. Busuttil said that the government would hold discussions with financial institutions to identify the best way such funds could be invested.

The third proposal Busuttil mentioned was the extension of sick leave to cover parents whose children fall ill, and must avail themselves of time off from work to tend to their children.

"The PN is pro-business," Busuttil stressed, adding that the government would consult with employer organisations to guarantee that the measure is not abused but increases the employees' loyalty to their job.

Busuttil explained that the PN proposals would only be implemented without a solid foundation. "The solid foundations lay in the safe and secure finances which the PN has secured and will continue to secure."

This would be achieved through the set up an independent fiscal council, an economic and financial Parliamentary committee, and an expenditure review and by generating more wealth, Busuttil said.