Treasury grants alcohol industry request for excise tax suspension
The National Treasury has proposed a 90-day suspension for the payment of excise tax on alcohol this comes after the alcohol industry a month ago, requested for the deferment of R5.1 billion excise tax due to the South African Revenue Service until the ban on alcohol sale is lifted.
South African Liquor Brandowners Association spokesperson Sibani Mngadi says they are grateful to Treasury for making this decision and that this will make a huge difference in the alcohol industry.
We are grateful to Treasury for responding positively.Sibani Mngadi, Spokesperson at South African Liquor Brandowners Association
Mngadi says in terms of cashflow the decision made by the national treasury will make a huge difference as the retailers were starting to not being able to pay their suppliers which made it hard to pay employees and tax.
It reduces the burden to be able to honour at least some of the liabilities the producers have.Sibani Mngadi, Spokesperson at South African Liquor Brandowners Association
Mngadi says he hopes the alcohol ban will be lifted soon, in a responsible manner as many people have lost their jobs
The proposed deferral will be for August and September.
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