Sanitary pads, white bread flour to be added to VAT free items
Northglen News - Oct 29th 2018, 08:15
FINANCE Minister Tito Mboweni says government proposes that come April 2019, three items, including sanitary pads, will be added to the zero-rated list.
Earlier this year, government increased value-added tax (VAT) from 14 per cent to 15 per cent. An independent panel of experts to review the list of 19 zero-rated food products was set up to consider how best government could mitigate the impact of the VAT increase on poor and indigent households.
The panel of experts has since released the report and recommended that six items be added onto the list of zero-rated items.
“An independent panel of experts investigated options to mitigate the impact of the VAT increase on lower income households. My thanks to the panel for their excellent work. I would also like to thank the 30 000 individuals and NGOs who provided comments on the panel’s recommendations,” Mboweni said.
Mboweni said from 1 April 2019, sanitary pads, bread flour and cake flour will be zero-rated.
“The revenue loss associated with zero-rating these items is estimated at R1.2 billion. However, zero-rating these products targets low-income households and restores the dignity of our people,” he said.
The announcement will come as good news to several women’s advocacy groups, who have for months taken their calls for removing VAT from sanitary products, with some saying it was unfair to impose a tax on a product that women need for biological reasons.Northglen News
Black Friday boosts November’s retail sales
16/01/2019 - 14:12
Consumers came under pressure in 2018, with the first VAT hike in two decades and steep fuel price increases.
Another boost for the manufacturing sector in November
14/01/2019 - 11:09
Production from SA’s factories continued to improve in the last quarter of 2018, data from Statistics SA (Stats SA) showed.
Factory owners end 2018 in upbeat mood
09/01/2019 - 14:03
Activity in the manufacturing sector reached its best level in 2018 in December, ending the year on a strong note.
SA records trade surplus in November
07/01/2019 - 08:43
SA recorded a trade surplus of R3.49bn in November, statistics released by Sars reveal. However, for the 11 months to end-November, there was a trade deficit amounting to R4.16bn, a deterioration on the surplus for the comparable period in 2017, of R62.3bn.
SA preparing for all Brexit outcomes
19/12/2018 - 08:05
South Africa's Department of Trade and Industry (dti) is preparing for all eventualities regarding Brexit, says Minister of Trade and Industry Rob Davies.