Ashly Dhani
Emmanuel Kafe
Government has increased the portion of salaries that is not taxable to $10 000 a month from the previous $5 000 with effect from January 1 next year, Finance and Economic Development Minister Professor Mthuli Ncube said on Thursday.
The review of the tax-free threshold is likely to increase disposable incomes, especially at a time when households have been affected by the fallout from the coronavirus pandemic.
“In an effort to cushion employees, I propose to review the tax-free threshold from $5 000 to $10 000,” Minister Ncube in the 2021 Budget.
The bonus tax-free threshold was also reviewed upwards from $5000 to $25 000.
Bongani Ndlovu
Online Reporter