PN Leadership Bernard Grech allegedly rushed to get his tax affairs for a crucial due diligence test, new reports claim amid concerns over long-standing bills of tax and VAT.

Times of Malta reported that on 12th August, Grech entered an agreement with Malta’s tax officials to pay off the sum. They said Grech was charged €2,000 in penalties and €1,300 in interest. 

Grech’s total bill is still unknown. However, documents published by Malta Today reveal that between 2014 and 2019, Grech, who works as a family lawyer, failed to pay over €29,000 in VAT between 2014 and 2019. Grech allegedly was called in to settle similar issues in the past, once in 2006 and another in 2012. 

Grech reportedly earns an average of €32,600. Lovin Malta recently spoke a person claiming Grech had never issued a VAT receipt. However, the claim was later withdrawn.

The non-payment of VAT is widespread in Malta, with a 2016 EU estimate reporting that 35% of all expected VAT revenue went uncollected in 2014– a figure that adds up to around €351 million.

Delia has repeatedly faced questions about his financial situation during his tenure as PN leader, with court evidence showing he received a €100,000 bailout from his in-laws to help pay his tax arrears in March and April 2018.

Times of Malta has reported that Delia has only recently to file his 2018 income tax to the tax authorities.

Both Grech and Delia have presented statements on their financial affairs to a PN commission entrusted with conducting a due diligence process on the leadership candidates.

Although Grech has no political experience, he has struck a chord among several PN supporters and two surveys among PN members have placed him as the clear favourite in this race.

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