Taxand South Africa discusses the affect of the 2016 Budget on carbon tax implementation.
Finance Minister Pravin Gordhan did not mention the proposed carbon tax (the tax) in his Budget Speech delivered on 24 February 2016.
Curiously, given the emotion that has surrounded the idea of the tax since 2010, when it was first formalised in a Treasury discussion paper, commentary on the implications of the Minister’s apparent omission has been muted or non-existent.
This article seeks to remedy the silence and argue that:
The idea that the carbon tax should be delayed because it is imperfectly formed is less powerful than the combined strength of the various drivers towards implementation that are considered in this article.