Times Of Swaziland: TAX HIKE FOR ALCOHOL, CIGARETTE, FOREIGN VEHICLES PROPOSED

TAX HIKE FOR ALCOHOL, CIGARETTE, FOREIGN VEHICLES PROPOSED
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BY SIBONGILE SUKATI on 01/03/2019 03:48:00


MBABANE – It’s time to pay for your sins. This follows the tabling of the
Alcohol and Tobacco Levy Bill, 2019 where government is seeking an increase of
seven per cent tax for alcoholic beverages and manufactured tobacco that will be
imported into Eswatini.
The Bill was tabled in Parliament by the Minister of Finance, Neal Rijkenberg.
According to the Bill, the alcoholic beverages will include all kinds other than
traditional beer, and tobacco in the form of cigars, cheroots, cigarillos,
cigarettes, pipe tobacco and snuff.
Goods manufactured post production other than for export which are manufactured
in Eswatini, will draw a tax of two per cent which will also be the same rate
which will apply to tobacco products.
Debated
However, the Bill, which is yet to be debated for adoption in Parliament, states
that the minister may make regulations for the better carrying into effect of
the provisions and the minister may make regulations specifying the rates of tax
payable under the Act.
Section 5 of the Bill states that in the case of an import of goods, this shall
be paid by the importer, while in the case of the alcohol and tobacco
manufactured in Eswatini the tax shall be payable to the commissioner general.
According to the Bill, traditional beer means the alcoholic beverage commonly
known as tjwala and solely brewed from sorghum or maize or a mixture or both,
including water.
Buganu and injemane have also been defined as traditional beer or any other
alcoholic beverage of a proprietary nature declared as an African beer in terms
of the law relating to liquor licences. However, it is not yet known what the
exact cost will be for alcohol and tobacco.