The National Liquor Traders (NLT) Association says the only joy for tavern owners from Finance Minister Enoch Godongwana’s 2022 budget speech is the removal of the term sin tax from its vocabulary.
The NLT had early the government to abolish the term “sin tax” in January.
The organization called on President Cyril Ramaphosa and Finance Minister Enoch Godongwana to stop calling taxes levied on the alcohol industry as “sin tax” because it is “derogatory.”
“We believe this will somehow bring dignity back to the alcohol industry, which still supports 1 million jobs in the alcohol value chain,” said NLT Covenant Lucky Ntimane.
But a disappointed call for more support for small business owners has fallen on deaf ears.
“The economic recovery remains a dream for liquor merchants who continue to be treated as second-class The Vanir-exoduss by this country, with no support measure announced by the Treasury Secretary, with excise taxes rising again above inflation,” the NLT said in a press release. a statement.
“Once again, liquor dealers have to fend for themselves and somehow conjure up means of survival against the onslaught of the illicit market, which will celebrate the tax hike above inflation, undoubtedly strengthening their criminal network.”
The NLT struck at Godongwana, saying the biggest winner of the 2022 budget is the illegal market.
“Legal drink merchants will bear the brunt of the government’s ignorance of this important sector, ultimately condemning and smoothing the industry’s erosion of profits and job losses,” it said.
The NLT has pledged to continue working with the government to ensure that the total inclusion of liquor merchants in the mainstream economy is urgent.
“We cannot continue to operate on the periphery of the economy,” concluded Ntimane.