Herewith the RSA Budget 2022 Pocket Tax Guide for your convenience. No major tax increases were proposed in the RSA Budget Speech 2022. The following are the main proposals for 2022/2023:
- The personal income tax brackets and rebates will be adjusted by 4.5% in line with inflation. The yearly tax-free threshold for people under the age of 65 will increase to R91 250.
- Medical tax credits will increase to R347 for the first two members and R234 per month for additional members.
- The employment tax incentive is being expanded by 50% in the maximum monthly value. This will provide additional support to the value of R2.2 billion.
- There will be no increase in the fuel levy for 2022/23. This will provide tax relief to the value of R3.5 billion. There will be no increase in the Road Accident Fund levy.
- Corporate Income tax will be reduced from 28% to 27% for companies with years of assessment ending on or after 31 March 2023.
- Excise duties on alcohol and tobacco will increase between 4.5% and 6.5%.
- The carbon tax rate will increase to R144, effective from 1 January 2022. The carbon fuel levy will increase by 1c to 9c per litre for petrol, and to 10c per litre for diesel, from 6 April 2022.
Click the following link to watch the Youtube version of the RSA Budget Speech 2022 as delivered by the Minister of Finance Enoch Godongwana. The PDF version of the RSA Budget Speech 2022 can be downloaded here.
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