For Creamer Media in Johannesburg, I’m Halima Frost.

Making headlines: Treasury withdraws planned R20bn tax increase from 2026 Budget; Tau signals strategic reset to strengthen economic transformation; And, Sassa officials arrested in social grants fraud case

Treasury withdraws planned R20bn tax increase from 2026 Budget

Finance Minister Enoch Godongwana announced during his 2026 Budget speech today that a R20-billion tax increase that was previously earmarked for the 2026 Budget has been withdrawn and personal income taxbrackets, as well as medical tax credits, will be fully adjusted for inflation after two years of no inflationary relief.

Tax thresholds and limits will also be adjusted for the impact of inflation to assist small businesses and provide overall relief to taxpayers.

Last year’s Budget announced that R20-billion in tax increases would be proposed in the 2026 Budget to fund new and persistent spending pressures, however, revenue collection has been stronger than expected owing to steady economic growth and commodity price increases.

Government’s gross tax revenue for 2025/26 has been revised upwards by R21.3-billion compared with estimates in the 2025 Budget. The tax-to-GDP ratio increase by 25.9% in 2025/26 from 25.1% in 2024/25.

Specific excise duties on alcoholic beverages and tobacco products will increase by 3.4% at the end of February. Excise tax on malt beer and ciders both will increase by 8c per 340 ml can, while unfortified wine excise duties will increase by 15c per 750 ml bottle. Excise tax for fortified wine will increase by 26c per 750 ml bottle and cigarettes will have an excise duty increase of 77c per packet of 20.

The general fuel levy will increase to R4.10 per litre for petrol and R3.93 for diesel from April 1, while the Road Accident Fund levy will increase by 7c per litre to R2.25 per litre – both increases are in line with or less than inflation.

Tau signals strategic reset to strengthen economic transformation

During an engagement session between the Department of Trade, Industry and Competition and all 11 broad-based black economic empowerment Sector Charter Councils, held in Pretoria, on Tuesday, Trade, Industry and Competition Minister Parks Tau expressed that transformation would not succeed unless all key stakeholders embrace it, defend it and implement it with conviction.

In a media release, the dtic noted that the session marked the first time that all Sector Charter Councils convened collectively with the custodian of the BBBEE Act to assess progress, confront weaknesses and chart a strengthened, outcomes-focused path for economic transformation in South Africa.

Opening the session, Tau described the engagement as a landmark moment for BBBEE, noting that while progress had been recorded, the next phase of transformation must place sharper emphasis on impact, accountability and scale.

Recent data presented during the session showed black ownership at about 29%, JSE-listed companies at 31% black ownership, black women ownership at about 12%, black management control at between 39% and 51% and transaction values reaching about R600-billion.

“These numbers reflect a policy that has made a significant impact in undoing the injustice of the apartheid economy. But transformation works when it is implemented. It fails when it is ignored or circumvented,” said Tau.

He underscored that South Africa was at a decisive moment.

And, Sassa officials arrested in social grants fraud case

Four suspects, including two current South African Social Security Agency officials and one former official were arrested in connection with alleged fraud amounting to about R4.9-million and are scheduled to appear in the Soshanguve Magistrate's Court today.

Three suspects were apprehended in Soshanguve, while the fourth was arrested at a workshop in Heidelberg.

The arrests followed a coordinated investigation involving Sassa’s Fraud and Compliance Unit, working with law enforcement authorities.

The suspects are accused of the unlawful processing and approval of social grants, violating Section 21 of the Social Assistance Act and Regulation 10 of the Social Assistance Act 13 of 2004.

Sassa acting regional executive manager in Gauteng Godfrey Mohlamonyane welcomed the arrests and reaffirmed the agency’s “unwavering stance” against fraud and corruption.

That’s a roundup of news making headlines today

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