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Do not call it ‘sin tax’, asks supplier

28 January 2013   (0 Comments)
Posted by: SAIT Technical
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Executive summary

Brandhouse, an alcohol distributor, has asked the finance minister to stop using the term 'sin tax' and use the correct term 'excise tax'. The distributor is of the opinion that using the term 'sin-tax'causes harm to the trademark of law obedient companies and undermines their tax contribution.

Full article

A distributor of alcohol products has called on Finance Minister Pravin Gordhan and the National Treasury to stop using the term "sin tax”, according to a report on Saturday.

Beeld newspaper reported that Joe Heshu, from Brandhouse, said they already met with the Treasury to discuss rather using excise-tax instead of sin tax.

"We asked that the minister does not refer to sin tax anymore, but to call the tax on its correct name, excise-tax,” Heshu told the newspaper.

"The word sin-tax causes harm to the trademark of law obedient companies. It also undermines the (tax) contribution that these companies make to the state.”

He told Beeld that although there is an abuse of alcohol in the country, that it is irresponsible to refer to all use of alcohol as a sin.

Sin tax is mostly linked to alcohol and tobacco products.

Gordhan is expected to deliver his budget speech in February.



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