We know income tax may not be the most exciting subject, and it can seem complex and overwhelming, so we’ve teamed up with NM Group, a professional services firm specialising in finance, tax, and legal, to help us put together a concise, 3-part guide explaining exactly what benefits are available to you as a parent and how you can claim them.
Welcome to part two of our Parent Tax Benefits guide. We’re looking into the tax deductions you can benefit from as a parent in Malta. These can add up, so depending on your circumstances, you could get a real boost!
Claiming tax deductions
In addition to registering on the parent tax band, as discussed in part one of our guide, another area where parents can benefit when it comes to tax is by claiming deductions against their income, in respect of any fees you pay for your child as outlined in the table below. In this way, income chargeable to tax will be reduced by the fees you are paying. Which means that you’ll be reducing your tax burden!
Important note: in order to qualify as a deduction against your income, the private schools, institutions or childcare centres must be approved by the Commissioner for Revenue.[table id=9 /]
Note that the maximum amount allowed as a deduction will vary and may change from one year to another.
As new parents, we might not be able to take a break. But at least we can make sure we’re getting any tax breaks we’re entitled to. It’s important to note that finances should be examined on a case-by-case basis. This 3-part series functions as a general guide. If you’d like further advice on the parent tax benefits, or any other financial guidance specific to your circumstances, NM Group can help.
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