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Budget 2024: How It Affects You and Your Business READ THE FULL ARTICLE HERE >>> https://lnkd.in/eU-B3ja2 “Our bigger challenge… is that our pie is not growing fast enough and this limits our ability to generate sufficient revenues to distribute among our priority areas.” (Finance Minister Enoch Godongwana – Budget 2024) Finance Minister Enoch Godongwana’s third Budget Speech in an election year contained few surprises, but also little in the form of good news, especially for South Africa’s personal income tax payers. The Minister quoted dismal local average expected real GDP growth of 0.6% for 2023, which is projected to reach 1.6% between 2024 and 2026. This poor economic performance is ascribed to the persistent constraints in electricity supply and freight, rail and ports, as well as a high sovereign credit risk. And the result? A sharp drop in tax revenue collection for 2023/24 which, at R1.73 trillion, is R56.1 billion lower than estimated! To make up the shortfall, Budget 2024 contains tax measures that will raise an additional R15 billion in 2024/2025, mainly through income tax raised by not adjusting personal tax brackets, rebates and medical tax credits for inflation, as well as above-inflation increases in alcohol and tobacco excise duties. Other main proposals included no increase to the general fuel levy for 2024/25, a global tax on multinational companies in South Africa with an annual revenue exceeding €750 million and the R150 billion withdrawal from SA's Gold and Foreign Exchange Contingency Reserve Account. These announcements are briefly detailed below, along with some of the other announcements that will impact individuals and businesses... https://lnkd.in/eU-B3ja2 #newsletter #budget2024 #business #financeminister #gdpgrowth #taxrevenue #sars #economy #alcohol #cigarettes #vaping #taxes #taxcollection #taxaffairs #fuellevy #petrolprice #levies #roadaccidentfund #mdaccountants

Budget 2024: How It Affects You and Your Business READ THE FULL ARTICLE HERE >>> https://lnkd.in/ehG8rX_9 “Our bigger challenge… is that our pie is not growing fast enough and this limits our ability to generate sufficient revenues to distribute among our priority areas.” (Finance Minister Enoch Godongwana – Budget 2024) Finance Minister Enoch Godongwana’s third Budget Speech in an election year contained few surprises, but also little in the form of good news, especially for South Africa’s personal income tax payers. The Minister quoted dismal local average expected real GDP growth of 0.6% for 2023, which is projected to reach 1.6% between 2024 and 2026. This poor economic performance is ascribed to the persistent constraints in electricity supply and freight, rail and ports, as well as a high sovereign credit risk. And the result? A sharp drop in tax revenue collection for 2023/24 which, at R1.73 trillion, is R56.1 billion lower than estimated! To make up the shortfall, Budget 2024 contains tax measures that will raise an additional R15 billion in 2024/2025, mainly through income tax raised by not adjusting personal tax brackets, rebates and medical tax credits for inflation, as well as above-inflation increases in alcohol and tobacco excise duties. Other main proposals included no increase to the general fuel levy for 2024/25, a global tax on multinational companies in South Africa with an annual revenue exceeding €750 million and the R150 billion withdrawal from SA's Gold and Foreign Exchange Contingency Reserve Account. These announcements are briefly detailed below, along with some of the other announcements that will impact individuals and businesses... https://lnkd.in/ehG8rX_9 #newsletter #budget2024 #business #financeminister #gdpgrowth #taxrevenue #sars #economy #alcohol #cigarettes #vaping #taxes #taxcollection #taxaffairs #fuellevy #petrolprice #levies #roadaccidentfund #mdaccountants

“Broadly, the Finance Bill 2024 continues the trend witnessed last year with new taxes as well as increases in existing taxes as the Government attempts to collect more. However, these measures that increase the tax burden raise significant concerns as they will have the impact of reducing purchasing power and increasing the cost of doing business which will be negative for the mwananchi and the economy at large. The frequent changes in tax policy also create more risks for businesses and make it costlier for taxpayers to comply and does not augur well for our country. Whereas the drive to grow tax revenue as a percentage of GDP is understandable, the means of achieving this should not be through overburdening existing taxpayers and businesses with additional taxes, but rather greater focus on enhancing compliance and growing the economy to improve incomes and thereby generate higher taxes." - Fred Omondi, Deloitte East Africa Tax and Legal Leader. To learn more about the impact that the Finance Bill 2024 will have on you, access the full presentation here: https://deloi.tt/4bj37eV #FinanceBill2024 #NationalBudget2024 #ImpactThatMatters

Budget 2024: How It Affects You and Your Business READ THE FULL ARTICLE HERE >>> https://lnkd.in/ekhKSxKx “Our bigger challenge… is that our pie is not growing fast enough and this limits our ability to generate sufficient revenues to distribute among our priority areas.” (Finance Minister Enoch Godongwana – Budget 2024) Finance Minister Enoch Godongwana’s third Budget Speech in an election year contained few surprises, but also little in the form of good news, especially for South Africa’s personal income tax payers. The Minister quoted dismal local average expected real GDP growth of 0.6% for 2023, which is projected to reach 1.6% between 2024 and 2026. This poor economic performance is ascribed to the persistent constraints in electricity supply and freight, rail and ports, as well as a high sovereign credit risk. And the result? A sharp drop in tax revenue collection for 2023/24 which, at R1.73 trillion, is R56.1 billion lower than estimated! To make up the shortfall, Budget 2024 contains tax measures that will raise an additional R15 billion in 2024/2025, mainly through income tax raised by not adjusting personal tax brackets, rebates and medical tax credits for inflation, as well as above-inflation increases in alcohol and tobacco excise duties. Other main proposals included no increase to the general fuel levy for 2024/25, a global tax on multinational companies in South Africa with an annual revenue exceeding €750 million and the R150 billion withdrawal from SA's Gold and Foreign Exchange Contingency Reserve Account. These announcements are briefly detailed below, along with some of the other announcements that will impact individuals and businesses... https://lnkd.in/ekhKSxKx #newsletter #budget2024 #business #financeminister #gdpgrowth #taxrevenue #sars #economy #alcohol #cigarettes #vaping #taxes #taxcollection #taxaffairs #fuellevy #petrolprice #levies #roadaccidentfund #mdaccountants

R22 billion tax blow for South Africa – ‘difficult trade-offs’ coming Enoch Godongwana, the Finance Minister of South Africa, recently spoke about worries over the South African Revenue Services (SARS). He said that SARS is expected to miss its revenue target for February by R22.3 billion. This shortfall could have serious effects on the country’s finances. It may impact the funding for essential services and development projects. #ZeeliePASA #AccountingFirm #AccountingServices #TaxServices #PayrollServices #SaipaProud #TaxPractitioners #ProfessionalAccountants #TaxAdvisory #TAX

So, the proposed tax policies articulately indicate that the National Board of Revenue (NBR) is desperate to collect taxes or boost revenue by withdrawing or curtailing the tax benefits given earlier for the industries to facilitate their trades and aid to expand them. However, most industries are yet to flourish fully or expand their economic activities at expected level due to Bangladesh’s previous political unrest, mountain corruption in most sectors, and different uncertainties as well as global economic headwinds in the last five years, including Covid-19, Russia-Ukraine War and middle-east crisis. Amidst the ongoing challenges, the proposed contractionary fiscal policy may hurt industries further, which in turn led to a cost or price burden for individuals. Even, amid ongoing elevated inflation, the unchanged tax-free income limit is nothing but a shrinking room for taxpayers. Details in the comment box. #tax #corporate #income #sector #business #industry #budget #economy

"OECD Report Highlights Structural Reforms and Tax System Improvements for Turkey's Economic Stability" OECD REPORT MAY 2024 The report published by the OECD discusses the key to overcoming Turkey's economic challenges, focusing on the tax system. It highlights the insufficient oversight of companies within the tax system and the negative financial burden created by the tax gap. 📉 Growth and Inflation: - Turkey's real GDP growth is expected to slow from 4.5% in 2023 to 3.4% in 2024 and 3.2% in 2025. - Tighter financial conditions and the adverse impact of inflation on purchasing power are expected to suppress household consumption, particularly in luxury goods. - Inflation peaked at the beginning of 2023 but is projected to remain high throughout 2024 and 2025. - The unemployment rate is expected to reach 10% by mid-2025. 🔧 Necessary Structural Reforms for Economic Sustainability: - According to the OECD report, structural reforms to support macroeconomic stability, improve spending efficiency, and broaden the tax base are essential. Monetary policy conditions should remain tight, and fiscal discipline is needed until inflation is firmly on the path to target. - However, tax bases remain narrow, partly due to the relatively small number of taxpayers. Exemptions and discounts result in a large share of total tax revenues being waived. Reducing these concessions would help broaden the tax base and increase revenues. VAT revenues, in particular, are low compared to their potential. Wider structural reforms are necessary to support macroeconomic stabilization and raise long-term growth potential. Notably, comprehensive labor market reforms, including more flexible labor market regulations and well-designed activation policies, would help increase the creation of high-quality formal jobs. Source: https://lnkd.in/dHStnRPb #Economy #Turkey #Finance #Growth #Investment #Inflation #Tax

Our Associate Director, Adeyemi Oladejo Michael ACA, ACTI, from the Commercial Practice Group, shared key insights on CNBC Africa about the latest tax data and reforms: 📊 Highlights: VAT Growth: 1.78 trillion naira in Q3, a 14.16% quarter-on-quarter increase (National Bureau of Statistics). CIT Decline: Company Income Tax fell 28% quarter-on-quarter, down to 1.77 trillion naira. Oladejo also discussed the impact of tax reform bills and what lies ahead for businesses in Nigeria. Catch the full interview here: https://lnkd.in/dSR_3NjR #AndersenNigeria #CNBCAfrica #TaxReforms #BusinessInsights #NigeriaEconomy

IMF Advocates Property Tax as Key For Nigeria’s Economic Stability The International Monetary Fund (IMF) has stated that high property taxes is an important but underutilised source of revenue for Nigeria. This was stated in a recent post in its blog, titled, “How Property Taxes Can Help Low-Income Countries to Develop.” achieve economic growth and sustainability. What IMF Has to Say About How Property Can Help Nigeria’s Economic Stability Source: @IMF/ Twitter According to the IMF, effective property tax reforms, especially in urban areas like Lagos, could significantly boost local revenues. This will help in funding vital infrastructure and services.   The IMF stated that global governments will need to raise… - https://lnkd.in/djrTWDvR

𝗕𝗼𝗼𝘀𝘁 𝗬𝗼𝘂𝗿 𝗧𝗮𝘅 𝗞𝗻𝗼𝘄𝗹𝗲𝗱𝗴𝗲 𝘄𝗶𝘁𝗵 𝗞𝗥𝗔'𝘀 𝗢𝗻𝗹𝗶𝗻𝗲 𝗧𝗿𝗮𝗶𝗻𝗶𝗻𝗴 𝗦𝗲𝘀𝘀𝗶𝗼𝗻𝘀. The KRA(KENYA REVENUE AUTHORITY) demonstrated its resilience in revenue collection efforts for the 2023/2024 financial year, despite of the multiple economic challenges. As of June 30, 2024, KRA collected Ksh 2.407 trillion in ordinary revenue, which came amidst currency depreciation, rising lending rates, and international conflicts. KRA aims to surpass Ksh 3 Trillion by the Financial Year 2024/2025. To further enhance tax compliance and improve revenue collection, KRA has launched a series of comprehensive tax training sessions and webinars. These online training sessions are tailored to different taxpayer groups, covering various tax acts including Value Added Tax, the electronic Tax Invoice Management System, Excise Tax, Turnover Tax, and Monthly Rental Income Tax. The webinars aim to educate taxpayers on their obligations, simplify tax payment processes, and ensure compliance with new regulations such as the eTIMS mandate. 𝗧𝗮𝘅𝗽𝗮𝘆𝗲𝗿𝘀 𝗮𝗿𝗲 𝘀𝘁𝗿𝗼𝗻𝗴𝗹𝘆 𝗲𝗻𝗰𝗼𝘂𝗿𝗮𝗴𝗲𝗱 𝘁𝗼 𝗽𝗮𝗿𝘁𝗶𝗰𝗶𝗽𝗮𝘁𝗲 𝗶𝗻 𝘁𝗵𝗲𝘀𝗲 𝗶𝗻𝗳𝗼𝗿𝗺𝗮𝘁𝗶𝘃𝗲 𝘀𝗲𝘀𝘀𝗶𝗼𝗻𝘀 𝘁𝗼 𝘀𝘁𝗮𝘆 𝘂𝗽𝗱𝗮𝘁𝗲𝗱 𝗼𝗻 𝘁𝗮𝘅 𝗿𝗲𝗴𝘂𝗹𝗮𝘁𝗶𝗼𝗻𝘀 𝗮𝗻𝗱 𝗰𝗼𝗻𝘁𝗿𝗶𝗯𝘂𝘁𝗲 𝘁𝗼 𝗞𝗲𝗻𝘆𝗮'𝘀 𝗲𝗰𝗼𝗻𝗼𝗺𝗶𝗰 𝘀𝘂𝘀𝘁𝗮𝗶𝗻𝗮𝗯𝗶𝗹𝗶𝘁𝘆. To register, please visit: https://lnkd.in/dswnP6EP #Taxcompliance #Kenya #Africa #Revenue #Taxes