Latest news with #BudgetReview
The Citizen
3 days ago
- Business
- The Citizen
Collect your June SASSA grants from tomorrow
SASSA has confirmed that Pretoria grant recipients can collect their payments from tomorrow, with June payout dates now officially announced. Below are the payment dates for Older Person's, Disability, and Children's grants in June: Older Person's Grant 3 June 2025 Disability Grant 4 June 2025 Children's Grant 5 June 2025 All social grants, barring the Social Relief of Distress (SRD) grant, increased in April this year. Delivering the 2025 Budget Speech in Parliament earlier this year, Finance Minister Enoch Godongwana stated that the number of social grant beneficiaries – excluding those receiving the SRD grant – was expected to rise to around 19 million in 2025/26 and 19.3 million in 2027/28 due to a growing population of older persons. Godongwana said that for 2025/26, social grants were allocated approximately R284.7 billion. 'As announced by the President in the State of the Nation Address, the SRD was to be used as a basis for the introduction of a sustainable form of income support for unemployed people. 'The future form and nature of the SRD would be informed by the outcome of the review of active labour market programmes, which was expected to be completed by September 2025. 'The truth was that ours was one of the most comprehensive social safety nets among emerging economies. This reflected our commitment to addressing poverty and inequality, while keeping our spending sustainable,' he said. The grant increases that took effect in April were: Old age grant: increased from R2185 to R2315 War veterans grant: increased from R2205 to R2335 Disability grant: increased from R2185 to R2315 Foster care grant: increased from R1180 to R1250 Care dependency grant: increased from R2185 to R2315 Child support grant: increased from R530 to R560 Grant-in-aid: increased from R530 to R560 In the Budget Review, National Treasury stated that the budget for social grants was increased by R8.2 billion over the medium term to account for higher living costs. 'An amount of R35.2 billion was allocated to extend the payment at the current SRD rate of R370 per month per beneficiary, including administration costs,' the department said. Also read: Is there an outbreak of Staphylococcus in Pretoria? Do you have more information about the story? Please send us an email to bennittb@ or phone us on 083 625 4114. For free breaking and community news, visit Rekord's websites: Rekord East For more news and interesting articles, like Rekord on Facebook, follow us on Twitter or Instagram or TikTok. At Caxton, we employ humans to generate daily fresh news, not AI intervention. Happy reading!
IOL News
3 days ago
- Business
- IOL News
EFF rejects fuel levy as an attack on the poor
EFF treasurer-general Omphile Maotwe has written to Finance Minister Enoch Godogwana rejecting the fuel levy. Image: Nhlanhla Phillips / Independent Newspapers By: Omphile Maotwe On 21 May 2025, the Minister of Finance tabled the third version of the 2025/26 national budget. Instead of solutions to South Africa's deepening fiscal and social crisis, the Minister delivered a cold and calculated betrayal. He proposed an increase to the general fuel levy by 16 cents per litre for petrol and 15 cents for diesel. True to what the Economic Freedom Fighters (EFF) and the country has come to expect from the GNU led administration, the proposal was dishonestly framed as a 'regulatory adjustment' instead of a tax increase. This levy aims to recover R1.3 billion in revenue after the courts struck down the unlawful VAT increase that featured in the initial budget proposal. The EFF is clear that the fuel levy is not a regulatory tweak but rather a tax hike that is being unlawfully imposed through the Customs and Excise Act, instead of through the Money Bill Act, as mandated by section 77 of the Constitution. We reject this proposal precisely because it is illegal and anti-poor. Our Constitution empowers only parliament to impose a national tax through the money bill. The Minister should therefore not be using administrative regulation to introduce a tax increase. The levy is a tax, even the government's own Budget Review refers to this fuel levy increase as part of 'fuel taxes on petrol and diesel.' Proceeding with it in this manner will only serve to defy the constitution, undermine Parliament's authority, and rob South Africans of their right to participate in fiscal decisions that directly affect their lives. The judiciary was clear in its handling of the initially proposed VAT increase by the Minister. A 2% VAT increase was proposed which was brought down to 0.5% but ultimately through the work of the EFF, it was recognised as a tax measure implemented outside of the law by the judiciary and subsequently suspended. Yet here we are again with a Minister who is determined to continue to undermine parliament and the courts. As the EFF we recognise this as arrogance, contempt and a blatant disregard of the law. The economic consequences of this illegal fuel levy will be devastating. While R1.3 billion may seem insignificant to Treasury, its impact on the working class and ordinary people of this country will be economically challenging. Fuel costs are a direct driver of inflation in transport, food, and essential services. For a worker commuting daily, a student relying on taxis, or a small trader transporting goods, this increase is not abstract. It is an attack on their survival. Our country is facing an economic crisis. That much is clear but as the EFF we will always be the voice that shields the poor from carrying an economic burden that results from poor governance and mismanagement. The crisis was not created by our unemployed youth in Tembisa or the grandmother in Giyani. It was not created by the street vendor in Umlazi or the taxi driver in Mthatha. The crisis was created by the ANC government through corruption, mismanagement, and a neoliberal austerity agenda that punishes the poor and protects the rich. The EFF has taken decisive action regarding the fuel levy and on 26 May 2025, we wrote to the Speaker of the National Assembly and the Chairperson of the Standing Committee on Finance, demanding immediate parliamentary intervention. We called for the Minister of Finance to withdraw the proposed levy because it must be introduced through the Money Bill Act. We further urged the Finance Committee to place this matter on its agenda, summon the Minister to account, and reaffirm Parliament's constitutional authority over all revenue measures. This matter deserves urgent attention because if the levy is allowed to proceed in its illegal state, we run the risk of further legal challenges and collapsing the fiscal framework. No legitimate parliament would endorse a budget that is tainted by unlawful taxation. What is most alarming is that if the 2025/26 Budget is not adopted by 31 July as required by the Constitution, the government could face an administrative shutdown under section 21. The EFF however is not opposed to raising revenue legitimately. We support progressive taxation that will fund development, create much-needed jobs, and render services to our people. But taxation must be lawful, fair, and aimed at those with the most. The government needs to urgently impose a wealth tax, close corporate tax loopholes, and end illicit financial flows. Revenue can also be raised by scrapping the bailouts to failing state-owned entities but the EFF is against putting further strain on the poor and working class. Imposing a fuel levy is a political decision and must be recognised as such. The EFF will not be silenced or intimidated by political bullies who continue to disregard the law, due process and undermine parliament and our constitution. We stand ready to fight against the injustices that will emanate from this tax increase that is disguised as an adjustment. We will fight against it in the corridors of parliament, in the confines of the courtrooms, and ultimately on the streets and on the picket lines. We will challenge this decision because we recognise it for exactly what it is, a bid to squeeze the poor and continue to cushion the rich and politically connected. Parliament should not allow the fuel levy to proceed as it threatens to render our institutions irrelevant. The people of South Africa did not vote for a government that will govern without notice, and parliament should be at the forefront of protecting the people who have entrusted us to lead and represent them. We call on all progressive forces to demand accountability, consultation, and for parliament to reclaim its power. The time has come for parliament to decide if it will stand with the people of South Africa or bow down to an unaccountable executive. The EFF stands with the people. * Omphile Maotwe is the Treasurer General of the Economic Freedom Fighters and a Member of Parliament ** The views expressed do not necessarily reflect the views of IOL or Independent Media
6 days ago
- Business
Legality of 2025 fuel levy increases challenged
The legality of Budget 3.0's 2025 fuel levy increases will be challenged in the National Assembly. Finance Minister Enoch Godongwana announced his third fiscal framework this month, but this one won't be accepted without a fight either. According to a post on Economic Freedom Fighters' (EFF) social media, proposed fuel levy increases are unlawful. Essentially the opposition party argues that 2025 fuel levy increases – much like overturned VAT increases – are a 'tax.' And like the High Court ruling last month, such a tax cannot go ahead without support in the National Assembly. Image: EFF on X This looks set to be another impasse to stifle the fiscal framework, like Minister Godongwana's first failed budget back in February. Therefore, it's difficult to know how this will impact fuel prices, and the economy as a whole, beyond June 2025. In general, the latest available indicators show positive signs for South African motorists in the coming months. This is mainly due to a lower brent crude oil price and a stronger rand. However, the threat of 2025 fuel levy increases paint a worsening picture as each day passes. Moreover, the EFF contends that the proposed 2025 fuel levy increases cannot go ahead with support in parliament. The standing committee on finance sits on Wednesday 4 June 2025 and it is only then that such an increase can be approved. Not before, as 2025 fuel levy increases have been slated to go into effect the same day. Minister of Finance Enoch Godongwana has had to officially re-table the 2025 Budget Review three times. Image: Flickr EFF leader Julius Malema has been calling for Finance Minister Godongwana's resignation since February 2025. He says the minister's fiscal frameworks are out of touch with the average South African. And do not take into account the cost-of-living crisis that the vast majority are experiencing. As before with overturned VAT increases, we wait to see how the 2025 fuel levy increases play out in the National Assembly next week. And possibly in the High Court, should wholesale adoption not be reached … Let us know by leaving a comment below, or send a WhatsApp to 060 011 021 1. Subscribe to The South African website's newsletters and follow us on WhatsApp, Facebook, X and Bluesky for the latest news.
IOL News
28-05-2025
- Business
- IOL News
EFF threatens court action over proposed fuel levy increase
EFF treasurer-general Omphile Maotwe has written to Finance Minister Enoch Godogwana rejecting the fuel levy. Image: Nhlanhla Phillips / Independent Newspapers The EFF has written to Finance Minister Enoch Godongwana, with an ultimatum, demanding the withdrawal of the proposed fuel levy increase, citing constitutional and legislative obligations or face more court action. The party argues that the increase, effective June 4, 2025, is a regressive tax that will disproportionately affect the working class and poor. Godongwana was given 48 hours to respond to the Red Berets' demands, or risk further escalation of the Budget crisis. Godongwana's spokesperson, Mfuneko Toyana, declined to comment on the matter; however, confirmed that the department had received the letter. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ The Budget is, however, yet to be passed in the National Assembly. The EFF's letter comes amid the ongoing drama surrounding the 2025 Budget. The party, with the help of the Government of National Unity (GNU) aligned DA, had previously successfully challenged the Value-Added Tax (VAT) increase in court, which was declared invalid and withdrawn. However, the National Treasury has now proposed to increase the general fuel levy by 16 cents per litre on petrol and 15 cents per litre on diesel, as outlined in the May 2025 Budget Review. In a lengthy letter penned by party treasurer-general, Omphile Maotwe, the EFF argues that the fuel levy increase will have a devastating impact on the working class and poor, exacerbating the cost-of-living crisis and placing undue pressure on households already struggling with rising food and transport prices, stagnating incomes, and unemployment. "The proposed fuel levy increases, though seemingly modest in nominal terms, will have disproportionate effects on the working class and poor, as they cascade through transport, food, and essential goods pricing," Maotwe wrote. The EFF also argues that the fuel levy increase is unconstitutional, as it seeks to impose a national tax through executive regulation rather than through a legislative process governed by the Constitution and relevant statutes. "The fuel levy is a national tax, paid by every South African, directly or indirectly. It cannot be increased through a Government Gazette notice or regulation," the party said. The EFF has formally requested that the minister withdraw the proposed increase. The party has also demanded that the minister refrain from issuing any Gazette or regulatory notice under the Customs and Excise Act until this tax measure has been lawfully processed via a Money Bill.
The Citizen
27-05-2025
- Business
- The Citizen
Collect your June SASSA grants from next week
Collect your June SASSA grants from next week SASSA has confirmed that Pretoria grant recipients can collect their payments from next week, with June payout dates now officially announced. Below are the payment dates for Older Person's, Disability, and Children's grants in June: Older Person's Grant 3 June 2025 Disability Grant 4 June 2025 Children's Grant 5 June 2025 All social grants, barring the Social Relief of Distress (SRD) grant, increased in April this year. Delivering the 2025 Budget Speech in Parliament earlier this year, Finance Minister Enoch Godongwana stated that the number of social grant beneficiaries – excluding those receiving the SRD grant – was expected to rise to around 19 million in 2025/26 and 19.3 million in 2027/28 due to a growing population of older persons. Godongwana said that for 2025/26, social grants were allocated approximately R284.7 billion. 'As announced by the President in the State of the Nation Address, the SRD was to be used as a basis for the introduction of a sustainable form of income support for unemployed people. 'The future form and nature of the SRD would be informed by the outcome of the review of active labour market programmes, which was expected to be completed by September 2025. 'The truth was that ours was one of the most comprehensive social safety nets among emerging economies. This reflected our commitment to addressing poverty and inequality, while keeping our spending sustainable,' he said. The grant increases that took effect in April were: Old age grant: increased from R2185 to R2315 War veterans grant: increased from R2205 to R2335 Disability grant: increased from R2185 to R2315 Foster care grant: increased from R1180 to R1250 Care dependency grant: increased from R2185 to R2315 Child support grant: increased from R530 to R560 Grant-in-aid: increased from R530 to R560 In the Budget Review, National Treasury stated that the budget for social grants was increased by R8.2 billion over the medium term to account for higher living costs. 'An amount of R35.2 billion was allocated to extend the payment at the current SRD rate of R370 per month per beneficiary, including administration costs,' the department said. Also read: Is there an outbreak of Staphylococcus in Pretoria? Do you have more information about the story? Please send us an email to bennittb@ or phone us on 083 625 4114. For free breaking and community news, visit Rekord's websites: Rekord East For more news and interesting articles, like Rekord on Facebook, follow us on Twitter or Instagram or TikTok. At Caxton, we employ humans to generate daily fresh news, not AI intervention. Happy reading!
