Question NW654 to the Minister of Finance
27 March 2023 - NW654
Montwedi, Mr Mk to ask the Minister of Finance
Whether, in light of the disastrous weather conditions that have affected the wine grape subsector for the 2022 harvest, the National Treasury would be willing to review the excise tax burden for wine which is currently standing at 11% significantly above other emerging markets’ duties on wine; if not, why not; if so, what are the relevant details?
Reply:
There are many considerations when determining the rate of any tax. The National Treasury has undertaken an alcohol taxation review process and will soon publish a discussion paper for public consultation. The discussion paper will consider all the developments and relevant issues pertaining to the overall alcohol industry and the taxation of alcoholic beverages since the last review was performed in 2014. The excise duty regime for wine will also be specifically considered in relation to the industry and the excise duty regime for other alcoholic beverages.