EDITORIAL: Two-pot boost for tax revenue
Any boost to tax revenue will help government to deliver essential services
The Treasury is on track to collect the R5bn it estimated would be generated this fiscal year from the two-pot retirement system withdrawals.
The SA Revenue Service (Sars) reported on October 11 — about six weeks after the two-pot system came into effect on September 1 — that R21.4bn had already been paid out to more than 1-million applicants. Tax will be imposed at the marginal tax rate and, assuming at a minimum a marginal tax rate of 18%, a minimum tax revenue of R3.85bn has been generated with more than four months remaining before the end of the tax year. The actual amount is probably higher than this. ..
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