Evan Pickworth interviews Charles de Wet, tax executive at ENSafrica, about what may be in store for long-suffering taxpayers
This comes as the devaluation of the rand and rising inflation rates, the aftermath of the Covid-19 pandemic and the continuing war in Ukraine pose huge challenges for SA to restore the health of its public finances to a sustainable position. Load-shedding will also have an effect on the tax base.
At the same time, any increase above 45% would not collect additional revenue as a result of the small number of taxpayers in this category. In 2022/23, only 28% of the total tax collected of about ZAR600bn was paid by individuals earning more than ZAR1.5m. The provision for some form of tax relief in respect of alternative energy for personal use would be welcomed. It is expected that the ambit of the home office deduction for employees would be expanded in view of the increase in remote working.The corporate income tax rate has been reduced to 27% with effect for companies with years of assessments ending on or after March 31 2023 .
A further reduction is unlikely in this budget as the effect of the previous reduction still needs to become effective.The National Treasury has announced reforms for CIT, which includes reviewing capital allowances that benefit specific industries.
An announcement should be made to address the abuse in a more targeted manner with the Practice Note.There has been a trend of jurisdictions implementing a temporary VAT rate decrease to tackle inflation, grow the economy and increase revenue collection. SA has always resisted this trend. While it would give a positive outlook, no reduction is expected.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Akani Simbine launches 2023 season with 60m debutAkani Simbine showed he still possesses the hunger to excel as he signalled his pleasure at winning the men’s 60-metres final in Pretoria yesterday afternoon.
Read more »
Vodacom CEO Shameel Joosub wins 2023 Telecoms CEO of the Year awardVodacom CEO Shameel Joosub has won the 2023 MyBroadband Telecoms CEO of the Year award.
Read more »
Afrihost wins 2023 Broadband ISP of the Year awardAfrihost has won the prestigious 2023 MyBroadband Award for Best Broadband ISP.
Read more »
2023 MyBroadband Awards – All the winnersAfrihost, Vodacom, MTN, Huawei, Takealot, Cool Ideas, and Alviva are the winners of the prestigious 2023 MyBroadband Awards.
Read more »
Vodacom CEO Shameel Joosub wins 2023 Telecoms CEO of the Year awardVodacom CEO Shameel Joosub has won the 2023 MyBroadband Telecoms CEO of the Year award.
Read more »
What’s Next – Shameel Joosub on winning the 2023 Telecoms CEO of the Year awardVodacom CEO Shameel Joosub has won the 2023 MyBroadband Telecoms CEO of the Year award.
Read more »