Eurostat facts published this week confirm at least two reasons why a recent survey places the Maltese as one of the happiest people in Europe. One not very obvious reason that can be gauged from the statistics provided is that the government, despite political views to the contrary, imposes less financial obligations on the populace than in other European countries. A second reason of equal importance is that the government allows a certain measure of laissez faire economic policies to encourage enterprise and growth in the economy.

One notable feature referred to in the Eurostat publication is that there are no property taxes on occupation of one’s residence. Any government that may consider introducing such a tax would suffer massive vote losses.

Some years ago the Labour Party proposed a “door tax” of Lm40 per annum. The electorate was not fooled because they rightly suspected that on each Budget Day that door tax would serve as an instrument of extracting more revenue from residential occupiers.

Such a tax would present problems to any government that tried to create it. This tax is regressive because it makes no allowance for one’s ability to pay. Any other form it may take, such as the Council Tax model in Britain, would involve a large-scale valuation of properties for rating purposes. For instance, a large four- or five-bedroom house would be assessed for more tax than for a single-bedroom flat. The property market would be further depressed, in particular the 60,000 empty properties on the island would probably remain unsold or transacted at a discount and consequent loss to investors.

Another consideration is that such a tax should be collectable at minimum cost and without creating a large bureaucracy. The Inland Revenue Department has enough in its inbox without this additional burden. Such a tax would be greatly resented by all as it would force the individual to pay for the right to live in one’s house ater striving so hard to own it.

People should read the statistics published by Eurostat which should place Malta, with its low crime incidence and affordable living costs with less inelastic financial commitments to the government than in other countries, as one of the most desirable places to live in, warts and all.