
Fewer taxpayers increasingly carrying the personal income tax load
With no inflation adjustment in 2025, PIT collections rose sharply, increasing the burden on individuals without changes to the headline rates.

With no inflation adjustment in 2025, PIT collections rose sharply, increasing the burden on individuals without changes to the headline rates.

The Minister of Finance cites an average 19% VAT among peers to argue that South Africa’s 15% rate is low, but isolated comparisons miss key factors such as exemptions, corporate rates, and overall business costs.

A phased VAT increase and frozen tax brackets mean South Africans will pay more, while concerns grow over government spending and economic stagnation.

Experts slam the idea of a VAT increase, pointing to a record tax burden and bloated expenditure. From uncollected billions to inefficient governance, the real fix lies in reining in waste, not squeezing taxpayers.