Budget Speech 2012:

Excise duties on tobacco and alcohol products

Dhiveshan Naicker has offered the following tip, Mister Speaker: “Raise the tax on alcohol and cigarettes so that people will stop drinking and smoking too much”. This is good advice. The increases in duties on tobacco products will be between 5 and 8 per cent this year.

In respect of beer and spirits, an increased benchmark tax burden is proposed, to be phased in over two years. The excise on spirits will increase by 20 per cent to R36 for a 750 ml bottle this year, the tax on beer goes up by 10 per cent to R1.01 for a 340 ml can and wine will contribute 8 per cent more to the fiscus.