Enoch Godongwana budget speech - hubbly bubbly tax
Minister Enoch Godongwana has introduced a tax on non-nicotine products. Image: Wikimedia Commons

Home » Minister Godongwana introduces new hubbly bubbly tax

Minister Godongwana introduces new hubbly bubbly tax

Minister Enoch Godongwana introduces a new tax on non-nicotine products such as hubbly bubbly, vape and e-cigarettes.

By Nokwanda Ncwane
21-02-24 17:42
in Business and Finance
Enoch Godongwana budget speech - hubbly bubbly tax
Minister Enoch Godongwana has introduced a tax on non-nicotine products. Image: Wikimedia Commons

The price of hubbly bubbly is expected to increase as government has introduced a tax on non-nicotine products/ e-cigarettes.

This was confirmed by Finance Minister Enoch Godongwana when he delivered the Budget Speech for the 2024/25 financial year on Wednesday, 21 February.

ALSO READ: Budget Speech 2024: Failing SOE’s out in the cold

GOVERNMENT INTRODUCES TAX ON HUBBLY BUBBLY

During his speech, Godongwana said he received a suggestion from a Soweto resident to introduce a tax on non-nicotine products.

This comes as there has been an increase in the number of young people who smoke hubbly bubbly.

Godongwana said he agrees with the suggestion hence the introduction of tax on non-nicotine products.

“You will be happy to hear then, that we are tabling an increase of the excise duty on electronic nicotine and non-nicotine delivery systems, known as vapes, to R3.04 per millilitre,” he said.

tax hubbly bubbly
Health experts have cautioned against the use of hubbly bubbly users. Image: Pixabay.

HERE’S HOW MUCH YOU WILL NOW PAY FOR A CAN OF BEER

Excise duties increase every year. So, it was no surprise that alcohol, especially wine and spirits, will now cost a few cents or rands higher.

In his 2023 Budget Speech the Finance Minister announced an increase in the excise duties of 4.9% inline with expected inflation. This year, Godongwana announced an above-inflation increases of between 6.7 and 7.2% for 2024/25.

  • A 340ml can of beer will now cost 14c more
  • A bottle of wine will cost 28c more
  • The price of a bottle of sparkling wine increases by 89c.
  • A bottle of 750ml spirits, including whisky, gin, or vodka will now cost R5.53 more
  • A packet of 20 cigarettes will now an extra 97c more
  • A cigar will now cost R9.51 more
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