South Africans to pay more for their sins… effective immediately
South Africans will have to fork out more for life’s little pleasures and for driving to and from work.
The increase in the price of alcohol and tobacco will be effective immediately.
Finance Minister Tito Mboweni tabled his 2021 budget against the backdrop of the struggling economy on Wednesday.
Mboweni said a further 8c increase in excise duties will be implemented on alcohol and tobacco products.
ALSO READ: Mboweni’s latest budget: Ten things you need to know
As of Wednesday, a 340ml can of beer or cider will cost an extra 14c
* a 750ml bottle of wine will cost an extra 26c
*a 750ml bottle of sparkling wine an extra 86c
* a bottle of 750 ml spirits, including whisky, gin or vodka, will increase by R5.50
* a packet of 20 cigarettes will be an extra R1.39c
* 25 grams of piped tobacco will cost an extra 47c
* And a 23 gram cigar will be R7.71 more expensive.
Fuel levies will also increase by 27 cents per litre, comprising 15 cents per litre for the general fuel levy, 11 cents per litre for the Road Accident Fund levy and 1 cent per litre for the carbon fuel levy.
It was not all bad news.
Personal income tax brackets will also increase by 5%.
Mboweni says this will provide R2.2 billion in tax relief.
"Most of that relief will reduce the tax burden on the lower and middle-income households.
"This means that if you are earning above the new tax-free threshold of R87 300, you will have at least an extra R756 in your pocket after 1 March 2021."
