6 - 12 July 2000

Tax evaders will be weeded out

by a staff reporter

Reforms at the Inland Revenue Department and the setting up of the tax compliance unit will identify and weed out Maltese gross tax evaders for good, the President of the Malta Institute of Accounts said earlier this week.

In what can be described as a hard-hitting policy speech, Steve K. Cachia, urged accountants not to associate themselves with those who grossly under-declare their income. When the tax evaders are weeded out "our profession must not be found or seen to be an accomplice", Mr Cachia said.

Referring to statistics on declared income recently published by the Ministry of Finance, Mr Cachia said the MIA would take a very dim view of any cases of its members being found to have grossly under-declared their own income.

"... They are on their own as far as the MIA is concerned and we will not hesitate to sanction them for bringing disrepute to our profession. I would like to think that most accountants advise their clients to declare their income in full. They should also be drawing the attention of businessmen, professionals and traders, who may not be clients, to the fact that it makes sense to declare at least an income figure that justifies their lifestyle," he said.

All serious accountants, he added, welcomed the setting up of the tax compliance unit and "an efficient and effective Inland Revenue is good news for our profession".

Mr Cachia said that the MIA will soon be starting a publicity campaign to promote accountancy as an exciting and rewarding career. The campaign would be aimed at sixth formers and other students. "What our profession needs most of all is for us to get serious and attract Malta's best brains into our fold. We must attract the best of breed," he said.