South Africa will raise excise duties on alcohol by 6.75% and tobacco by 4.75% for the 2025/26 financial year. Adjustments aim to surpass expected inflation and will include future legislative changes. Public consultations regarding a new alcohol excise framework are planned for 2025.
The South African government has announced adjustments to excise duties on alcohol and tobacco products for the 2025/26 financial year, setting increases above the anticipated inflation rate. Notably, excise duties on alcoholic beverages are set to rise by 6.75%, while tobacco excise duties for cigarettes and related products will see an increase of 4.75%. For pipe tobacco and cigars, the increase will also be 6.75%.
In summary, the South African government is poised to implement significant increases to excise duties on both alcohol and tobacco products in alignment with its fiscal strategy for 2025/26. The adjustments reflect a proactive approach to taxation, with upcoming public consultations on a new alcohol taxation framework anticipated in 2025.
Original Source: www.zawya.com
