Budget Speech Preview: Government debt and sin tax in the spotlight

“I do not think the main taxes, personal income tax or value added tax will be increased. It may happen but not now, simply because of the economy which is very weak.”

 

“But other taxes could increase like the so called, sin tax and capital gains tax,” he added

 

Roodt, who’s with the Efficient Group, believes it would also be unfair to tax South Africans more when there are such high levels of corruption within government.

 

He’s hoping the minister will also address the ballooning government debt.

 

“The finances of the state is in very big trouble. State debt levels are at a place which are completely unsustainable. That simply means that the state must spend less and considerably,” Roodt said.

 

Mboweni is expected to deliver the speech at 2pm.