Preliminary data shows South Africa's tax collections were marginally better than expected due to strong contributions from companies, personal income receipts and value-added tax.
The South African Revenue Service (SARS) collected R2.010 trillion on a net basis in the financial year through March, commissioner Edward Kieswetter Told reporters in the capital Pretoria on Wednesday.
The amount collected was 8.4% higher than the previous financial year and slightly better than National Treasury's estimate of R2.007-trillion in last month's budget review.
Exceeding that forecast would help support Treasury estimates that government debt as a share of GDP peaked in the 2025-26 fiscal year.
Tax collections from corporates increased by 9.9% to R355.5-billion, while revenue from household VAT increased by 7.6% to R604-billion. Pay-as-you-earn income tax increased by 8.5% to R767 billion.
“These results were achieved despite the challenges of a sluggish economy, geopolitical tensions, global supply-chain disruptions and the spread of the illicit economy,” SARS said in a statement.
Kieswetter said the revenue agency is working with law-enforcement agencies to shut down illegal trade networks in the country, which he estimates cost the state more than Rs 100 billion in revenue each year.