The 2020 Budget was presented by Minister Tito Mboweni before parliament on 26 February 2020.
The tax proposals for the 2020 Budget aim to support a recovery in economic growth, with some relief at the level of personal income tax. The key changes announced are:
? An above-inflation increase in the personal income tax brackets and rebates.
? A limitation on corporate interest deduction to combat base erosion and profit shifting as well as restricting the ability of companies to fully offset assessed losses from previous years against taxable income.
? A 16 cents per litre for the general fuel levy and a nine cents per litre increase in the Road Accident Fund Levy with effect from 1 March 2020.
? An increase in the annual contribution limit to tax-free savings accounts by ZAR 3000.00 from 1 March 2020.
? Increases in the alcohol and tobacco excise duties of between 4.4 percent and 7.5 percent.
? The cap on the foreign remuneration earned by South African tax residents will be increased to ZAR 1.25 million.
Please see full Publication below for more information.