Booze industry lobbies Sars for big tax break as ban hammers revenue

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As SA's booze ban enters its second week, the industry's biggest association is pleading with revenue service Sars to give it a tax holiday.

After the ban on alcohol sales announced by President Cyril Ramaphosa on June 27, the SA Liquor Brandowners Association said it was left with no choice but to beg Sars for extended payment terms on the excise duties that are due for collection.

“The industry estimates that it will lose retail sales revenue of R6.1bn as a direct result of the current two-week ban”, said Mngadi. The body estimated that the government would lose R3.6bn in direct tax revenue, excluding excise tax, during the two-week ban while the potential direct excise tax income lost was an estimated R1.5bn.

 

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