SA to take tax hit in February budget - while SARS clampdown intensifies

South Africa will be hit by a R15 billion tax hike in February as Treasury scrambles to deal with government overspending and rocketing borrowing costs.

On Wednesday, the Medium-Term Budget Policy Statement was released, which makes provision for R15 billion in "tax measures" to increase government revenue next year. This is part of a crisis plan to tackle a fiscal blowout, with government debt now expected to reach almost 80% of GDP in the next two years.

Treasury officials did not want to comment on which tax or taxes could be affected, but stressed to News24 that government spending cuts will be prioritised – while taxpayers will face the "lowest burden".