Times of Malta.
Utilities billing company ARMS Ltd is some 10 days away from facing a class action lawsuit on behalf of a group of furious EU citizens living in Malta.
Several landlords don't pay any tax on their rental properties and don't want their cover blown
About 80 citizens have added their names to the lawsuit so far, alleging that ARMS is discriminating against non-Maltese by making it inordinately difficult for them to benefit from residential tariff rates.
The ARMS Class Action Group will continue to accept additional claimants until November 22. The legal process will then begin in earnest.
According to ACAG spokeswoman Patricia Graham, many people are holding back from joining the lawsuit for fear of angering their tax-evading landlords.
Several landlords don't pay any tax on their rental properties and don't want their cover blown. And if people are happy with the property, they don't want to upset their landlords, Ms Graham said.
Tenants can be listed on utility bills as registered consumers but doing so exposes property owners to the taxman. Instead, Ms Graham said, many landlords kept utility bills in their own name and charged tenants directly.
Most have no idea of how the system works when they first move to Malta and so just go along with it. It doesn't help that estate agents seem entirely clueless about the system, either, Ms Graham noted.
As a result, many such EU citizens receive utility bills charged at the so-called domestic rate, paying about 30 per cent more than those on the cheaper residential tariff.
To benefit from standard residential tariff rates, non-Maltese EU citizens must prove they are Maltese residents. But although such citizens must declare they reside here when applying for a local ID card, ARMS does not recognise this and insists on further proof.
Full article here: timesofmalta.com/articles/view/20121115/local/ARMS-Ltd-faces-class-action-suit-by-citizens.445385