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South Africa Issues Q&A on Proposed Tax on Sugary Beverage

|Proposed Changes|South Africa
South Africa

On 27 February 2017, the South African Treasury published a Q&A on the proposed tax on sugary beverages. The proposed tax is included as part of 2017 Budget ({News-2017-02-24/P/2- previous coverage}) and would be levied at a rate of 2.1 cents per gram with a tax-free threshold of 4 grams per 100 milliliters. For example, a one-liter bottle of coke has about 106 grams of sugar, less the 40 gram threshold, would be subject to a tax of 138.6 cents.

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