Even when presenting the grimmest of budget statements, successive ministers of finance have all found a moment of light-heartedness when they announce increases in alcohol excise tax, which the National Treasury argued in Business Times last week were intended to curb drinking, not increase revenues.
Last year, the budget statement followed the tradition established by former finance minister Trevor Manuel in announcing what he termed sin taxes. The budget statement presented a muted GDP growth forecast of 1.4 for South Africa and projected inflation of 4.7, but all categories of alcohol received an above-inflation increase of 6.7.
This means a can of beer increases by 14 cents ... A bottle of wine will cost an extra 28 cents ... and a bottle of spirits, including whisky, gin or vodka, increases by R5.53, the statement said to light applause and sometimes laughter from almost all political party benches when it was presented in parliament.
