South Africa’s National Treasury has asked lawmakers to extend tax-relief measures for businesses.
This includes a deferral on excise duties and payroll levies, to ease the devastating effects of the impact of the Covid-19 pandemic.
The treasury said this in a statement which was published on its website
They also said a payment period for excise duties on alcohol and tobacco products by tax-compliant companies should be extended.
The days should be increased from 90 days to 150 days.
This is because the sale of tobacco products has been prohibited since the nationwide lockdown began in March 27 and alcohol ban was reinstated in July 13.
Deferral of a 35% payroll levy for tax-compliant small and medium-sized businesses for a further month was also proposed.
The treasury also suggested a two-month extension on tax exemption for virus-relief funds.
The relief measures, which are valid for four months, was part of the government’s 500 billion rand ($29 billion) stimulus package and were set to expire on July 31 or August 31.
The proposed extensions need to be approved by lawmakers on the Standing Committee on Finance before it can be implemented.