BUDGET 2021: National Youth Policy 2021-2030, law-abiding VOs exempted from tax

• Implementation of National Youth Policy 2021-2030
• Law-abiding voluntary organisations exempted from paying tax on profits
• Transparency on donations

This government has been at the forefront in safeguarding and promoting youths as well as voluntary organisations who it considered to be high contributors of services within society. While Budget 2021 does not say much about youths due to the pending National Youth Policy 2021-2030, voluntary organisations will be benefitting financially while also moving towards being more transparent.

National Politics on Youths

With regard to youths, the budget notes the ongoing public consultation on National Youth Policy 2021-2030, entitled ‘Towards 2030 – Reaching out to, working with, and supporting young people’, which will be focusing on all young people aged 13-30.

The government is promising that all those people, groups and organisations working for and with young people have the opportunity to participate actively and contribute to the development and implementation of this policy.

Voluntary Organisations

From next year, voluntary organisations, which are registered as such and are following what is stipulated in the law governing those same organisations, will be exempted from paying tax on any profit they make during the year, if their annual income does not exceed fifty thousand euros (€50,000).

At the same time, we will be seeing that voluntary organisations are transparent about the donations they receive and how these donations are spent in order to ensure the maintenance of trust that the Maltese and Gozitan public has in these organisations.