#Budget2018

[LISTEN] Sin taxes don't provide much revenue: #Budget2018

We're being told to brace ourselves for the toughest budget yet.

Finance minister Malusi Gigaba will deliver his maiden, full-term budget speech on Wednesday afternoon.

With investors and stakeholders waiting to see how Gigaba will close the budget deficit, tax expert Khanyisa Cingo says he should focus on strengthening revenue collection within Sars.

A 1% increase in VAT would fund or provide additional revenue of about R20 billion to the fiscal.

Khanyisa Cingo, Tax director at Sizwe Ntsaluba Gobodo

READ: 'Gigaba must comfort investors'

There isn't much room to increase revenue or to increase tax within the personal income tax rate.

Khanyisa Cingo, Tax director at Sizwe Ntsaluba Gobodo

Cingo says an increase in sin taxes, which includes things like alcohol and tobacco, plays a major role but is not enough to cover the current shortfall on its own.

She also expects the finance minister to follow in the footsteps of former president Jacob Zuma and current president Cyril Ramaphosa, both of whom touched on land expropriation during their Sona addresses.

Listen to which taxes the minister can raise to fund free education


Recommended

by NEWSROOM AI

702 welcomes all comments that are constructive, contribute to discussions in a meaningful manner and take stories forward.

However, we will NOT condone the following:

  • Racism (including offensive comments based on ethnicity and nationality)
  • Sexism
  • Homophobia
  • Religious intolerance
  • Cyber bullying
  • Hate speech
  • Derogatory language
  • Comments inciting violence.

We ask that your comments remain relevant to the articles they appear on and do not include general banter or conversation as this dilutes the effectiveness of the comments section.

We strive to make the 702 community a safe and welcoming space for all.

702 reserves the right to: 1) remove any comments that do not follow the above guidelines; and, 2) ban users who repeatedly infringe the rules.

Should you find any comments upsetting or offensive you can also flag them and we will assess it against our guidelines.

702 is constantly reviewing its comments policy in order to create an environment conducive to constructive conversations.

Read More
[LISTEN] 'Gigaba must comfort investors'

[LISTEN] 'Gigaba must comfort investors'

Ahead of today's budget, one economic strategist says Finance Minister Malusi Gigaba has his work cut out for him

#BudgetSpeech2018:  'A 1% increase in VAT can probably cover about R 22 billion'

#BudgetSpeech2018: 'A 1% increase in VAT can probably cover about R 22 billion'

Economists explain how tax hikes,higher value-added tax (VAT), could help plug a R50.8 billion revenue gap in 2017/18 fiscal year.

'Treasury may introduce VAT on fuel, a big money-spinner'

'Treasury may introduce VAT on fuel, a big money-spinner'

The Money Show’s Bruce Whitfield interviews Old Mutual Multi-Managers Chief Investment Strategist Dave Mohr.

Samwu says municipalities need bigger cut of national budget

Samwu says municipalities need bigger cut of national budget

Samwu's Simon Mathe says municipalities can't deliver effective and efficient services with less than 9% of government spend.

‘A tough Budget is a good Budget. We need a VAT increase’

‘A tough Budget is a good Budget. We need a VAT increase’

The Money Show’s Bruce Whitfield interviews Old Mutual Asset Management Economist Johann Els.

Why R150 million meant for Gauteng RDP houses went unused

Why R150 million meant for Gauteng RDP houses went unused

Esther Msindo, Human Settlement Researcher says not understanding the budget is one of the reasons why the money was spent.

'Deputy ministers roles are not well defined'

'Deputy ministers roles are not well defined'

Political analyst Dumisani Hlophe questions roles and suggests departments to be merged in order to downsize cabinet.

Political desk: Who will be South Africa's deputy president?

Political desk: Who will be South Africa's deputy president?

With Cyril Ramaphosa ascending to the Presidency, speculations are rife on who will be appointed deputy president.

What can we expect from this week's budget?

What can we expect from this week's budget?

Finance experts give their predictions on what we can expect from Wednesday's budget.

#SONA2018 Red Carpet: ‘Malusi Gigaba was here & of course he always looks great’

#SONA2018 Red Carpet: ‘Malusi Gigaba was here & of course he always looks great’

EWN reporter Clement Manyathela about the #SONA2018 red carpet, and some of the impressive fashion statements.

Popular articles
[LISTEN] IRR believes list of targeted farms is genuine

[LISTEN] IRR believes list of targeted farms is genuine

Institute for Race Relations researches Terence Corrigan explains why they believe the list Afriforum has released is genuine.

The UAE is pumping billions into the Horn of Africa

The UAE is pumping billions into the Horn of Africa

The Money Show's Bruce Whitfield interviews Africa correspondent Lee Kasumba

'Minnie understood he might become a target'

'Minnie understood he might become a target'

Marianne Thamm wrote the forward to 'The Lost Boys of Bird Island' and worked with Mark Minnie in editing the controversial book.

[WATCH] Dad dresses up as a mom so his sons don't feel left out on Mother's Day

[WATCH] Dad dresses up as a mom so his sons don't feel left out on Mother's Day

Khabazela shares Facebook posts, YouTube videos that have gone viral including one with the smartest dogs.

JHB CBD muggings - Where are the police ?

JHB CBD muggings - Where are the police ?

City of Joburg mayor Herman Mashaba says undocumented people living in the city make it difficult to combat crime.

'Black Tax'... working hard, earning well, but struggling financially

'Black Tax'... working hard, earning well, but struggling financially

Young(ish) South Africans tell stories of the mixed emotions they feel when supporting family members, and tips from an advisor.

Castro bodyguard shares tales of dictator’s double life and breath-taking wealth

Castro bodyguard shares tales of dictator’s double life and breath-taking wealth

Juan Sanchez shares stories of Fidel Castro that’ll make you re-examine everything you thought you knew about the Cuban dictator.