NATIONAL ASSEMBLY
QUESTION FOR WRITTEN REPLY
QUESTION NUMBER 2243
DATE OF PUBLICATION: 13 NOVEMBER 2009
Dr D T George (DA) to ask the Minister of Finance:
(1) Whether the National Treasury has considered any proposals regarding
the increase in taxation to fund the SA Broadcasting Corporation; if
not, why not; if so, what are the relevant details;
(2) whether he intends introducing measures to ensure efficient taxation
administration of such a tax; if not, why not; if so, what measures?
NW2952E
REPLY:
(1) No. The current policy is to keep earmarked taxes to an
absolute minimum as taxes not only limit the fiscal space available to
government, but also tend to be inefficient from both revenue and
expenditure perspective. There is generally more accountability in
spending when an entity is reliant on a user charge rather than an
earmarked tax. It is not prudent to encourage a proliferation of
earmarked taxes.
(2) No. Such a tax is not under consideration at this stage by the
National Treasury.