Chamber welcomes Gordan announcement on business tax

01 Feb 2016 | Admin Author

Finance Minister Pravin Gordhan has rejected an application for the introduction of a Local Business Tax.

The Nelson Mandela Bay Municipality had applied for the introduction of the tax, a move strenuously opposed by the local business chamber.

Gordhan said during his budget speech this week that new taxes or increases in existing taxes during periods of slow growth would be unwise, as it could bankrupt businesses that are already struggling.

Nelson Mandela Bay Business Chamber CEO Kevin Hustler welcomed Gordhan's announcement.

"The Chamber is delighted to hear that Treasury has rejected the request from the Nelson Mandela Bay Municipality for the implementation of a business tax, any additional tax burden on industry right now will really weigh heavy on a market that is already uncompetitive and some instances businesses being unsustainable" Hustler said.

(Source: Metro Minute to subscribe mail metminutes@iafrica.com)