On 15 December 2021, the National Treasury published a Media Statement of three discussion documents on tax policy for public comment. The National Treasury and the Department of Mineral Resources and Energy invited comments from interested parties. The final date for submitting public comments is 25 January 2022. The discussion documents are:
(i) What is the Most Appropriate Tax Regime for the Oil and Gas Industry –Tax Policy Discussion Paper for Public Comment. This includes a number of different tax regime options; key tax principles and considering other countries’ fiscal regimes alongside their geology and proven reserves; and a key proposal of moving to a flat-rate royalty for oil and gas companies.
(ii) Reviewing the design, implementation, and impact of South Africa’s Research and Development Tax Incentive. The online survey deals with the key design characteristics of the incentive and responses will assist the government to determine appropriate changes to the incentive should it continue beyond the sunset date of 30 September 2022. Further announcements on this incentive will be made in the 2022 Budget.
(iii) Taxation of electronic nicotine and non-nicotine delivery systems (Vaping). This discussion paper outlines the policy rationale and excise design options for the proposed taxation of ENDS/ENNDS and its publication is intended to ask for public comments. This process is important in assisting the government to develop a sensible excise policy framework for these new-generation products.
