Virus and junk status to slash tax revenues

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Virus and junk status to slash tax revenues
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Preliminary tax outcomes for 2019/2020, confirmed a steeper revenue shortfall than during the global financial crisis

02 April 2020 - 05:10SA’s recent downgrade to junk status combined with the effect of the coronavirus will have a"profound" effect on economic activity and ultimately future tax revenues, says commissioner for the SA Revenue Service Edward Kieswetter.

Kieswetter was speaking at the release of the preliminary tax outcomes for the 2019/2020 year, which confirmed a revenue shortfall larger than that experienced during the global financial crisis, underscoring the pressure on tax collections, even before Covid-19 or Friday’s downgrade by Moody’s Investors Service.

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