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Proposed SABC tax unconstitutional?
NEWSWATCH: The 1% tax proposed by the Communications minister Siphiwe Nyanda may be unconstitutional, according to the DA, reports Polity Org. Meanwhile, the Treasury apparently knew nothing about the proposed tax, writes Moneyweb, and opposition parties reckon that, while special levies are unlikely, pressure is building, says Business Report.
The minister says the national broadcaster spends about R250 million trying to collect licence fees, and that's why he wants taxpayers to cough up an extra 1% tax, according to IOL, which also reports that the SABC has set up a task team to take a look at the draft bill, of which it says it was unaware.
For more:
- Polity Org: DA issues statement on draft Bill… And the party spokesperson says the draft bill could be unconstitutional.
- Moneyweb and Times Live: Treasury distances itself from SABC tax… It seems the proposed tax was news to the Treasury as much as it was to everyone else. In fact, it was not consulted.
- Business Report: Special levies unlikely, say opposition parties… But pressure seems to be building for ‘ring-fenced' taxes or levies of some sort.
- Business Day and IOL: Bill came as a surprise to us, says top SABC member… Even the SABC itself seems to have been unaware of the Bill, but now the broadcaster is to review draft bill…IOL: Defaulters cost SABC R250m … So instead of improving the collection process so that it become cost-efficient, the minister wants to hand the problem over to the tax-paying public - via an extra tax burden. This means, of course, that taxpayers would subsidise non-taxpayers, who would enjoy free TV and radio entertainment.
