‘Revisit corporate tax levels’

A TAX expert has called on government to return the corporate tax rate to 25% from the current 24% that was introduced at the start of COVID-19 pandemic to bring equity in the taxing regime.

At the start of the COVID-19 pandemic, government reduced the value-added tax (VAT) rate to 14,5%, from 15%, while the corporate tax rate was lowered to 24%, from 25%, to allow for economic recovery.

However, last year Finance minister Mthuli Ncube returned the VAT rate back to 15%, a measure that went into effect beginning this year as Treasury’s coffers continue to be on a decline.

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