The Organisation Undoing Tax Abuse (OUTA) has welcomed the withdrawal of the proposed R20 billion tax increase in the 2026/2027 national budget, saying it provides temporary relief to taxpayers and small businesses.
However, the organisation cautioned that the timing of the move, just ahead of local government elections, raises questions about whether political considerations are being prioritised over long-term economic reform.
OUTA CEO Wayne Duvenage highlighted the ongoing pressures on motorists despite the tax relief, pointing to fuel levy increases and rising Road Accident Fund debt.
“The government should be doing much more, and at a faster pace, to tackle illicit trade and commercial crimes in South Africa. It almost seems that these issues are not a top priority,” Duvenage said.
“While we welcome the relief for municipal infrastructure repairs, there is still no long-term, meaningful plan to ring-fence municipal revenues for maintenance.”
VOC News
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