Total tax revenue last year went up by €175.1 million over the previous year, to €2,484.4 million, implying a tax burden of 33.1 per cent., the National Statistics Office said today.

Tax revenue may be broadly classified under three main headings: indirect taxes, direct taxes and social contributions.

All three categories of tax revenue registered an increase. The largest rise, €105.0 million, was recorded in direct taxes, defined as current taxes on income and wealth plus capital taxes and other current taxes.

In the year under review, these taxes amounted to €1,056.0 million, or 42.5 per cent of total tax revenues. The rise in direct taxes was mainly the result of additional revenues from corporate and personal income tax of €55.6 million and €50.5 million respectively. Conversely, capital taxes registered a decline of €3.4 million.

Indirect taxes are taxes linked to production and imports. During 2013, these went up by €47.0 million to €990.9 million, making up 39.9 per cent of total tax revenue. Higher returns from VAT of €50.0 million were partially offset by lower proceeds from import duties of €4.0 million. The other taxes in this category increased marginally.

Social contributions are compulsory actual payments by the employees, employers, as well as self-employed and non-employed persons. This category represents 17.6 per cent of total tax revenue, or €437.5 million, up by €23.1 million rise over 2012.

The overall tax burden denotes the total amount of taxes and actual social contributions expressed as a percentage of GDP. During 2013, the tax burden for Malta was 33.1 per cent compared to 32.2 per cent recorded in 2012.

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