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.
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.
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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.
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