IssuEd By: National Treasury: Tel, (012) 315 5757 | www ... budget/2013/guides...Final 2013 Budget...

• R5.2billionforlocalgovernmentequitablesharetohelpsmallermunicipalitiesmeetdevelopmentalcommitments.

• R4.2billiontoprovincialequitablesharetophaseinadjustmentsresultingfromCensus2011.

• R3.2billiontoPassengerRailAssociationofSouthAfricaforrailsignallinginfrastructure.

• R2.6billionforregionalbulkwaterinfrastructure.• R1.9billionforthemunicipalwaterinfrastructuregrant.• R1.5billionforDeHoopdam.

• R1.4billiontoSouthAfricanNationalRoadsAgencyLimitedforroadconstructionandmaintenance.

• R1.1billionforSquareKilometreArrayandR0.6billionforscienceandtechnologyinfrastructure.

• R1billiontoprovincestoincreasenumberofteachersandR0.8billionforgradeRteachers.

• R1billiontohumansettlementsgrant.• R0.9billiontointegratednationalelectrificationprogramme.

• Economicgrowthprojectedat2.7percent in2013,3.5percentin2014and3.8percent in2015.• Consumerpriceinflationtoremainwithintargetbandovermediumterm.

• Currentaccountdeficittoaverage6.2percentovernextthreeyears.

• Moderateemploymentgrowthexpectedovermediumterm.Paceofjobcreationdependsonfasterprivate-sectorgrowth.

Economic rEcovEry and EmploymEnt

• Taxrevenuefor2012/13expectedtobeR16.3billionbelow 2012Budgetestimate.• SpendingcutsofR10.4billionovernextthreeyearsinresponsetotightfiscalconditions.

• ContingencyreservereducedbyR23.5billionovermediumterm.• Realgrowthinspendingtoaverage2.3percentovermedium-termexpenditureframeworkperiod.

• Budgetdeficitof5.2percentofGDPexpectedfor2012/13,narrowingto3.1percentin2015/16.

• DebtstockaspercentageofGDPtostabiliseatabout40per centin2015/16.

BudgEt framEwork• Personalincometaxreliefof R7billion.• Employmentincentivestosupportyoungworkseekersandspecialeconomiczones.

• Taxreliefforsmallbusinesses.• Taxtreatmentofcontributions topension,retirementannuityandprovidentfundstobeharmonised.

• Phasedimplementationofcarbon taxproposed.

• Increaseingeneralfuellevyof15c/l.• Maltbeerincreasesby7.5ctoR1.08per340mlcan.

• Unfortifiedwineincreasesby15cper 750mlbottle.• Cidersandalcoholicfruitbeveragesincreaseby7.3cper330mlbottle.

• SpiritsincreasebyR3.60toR39.60per750mlbottle.

• Cigarettesincreaseby60ctoR10.92 perpacketof20.

tax proposals

BudgEt at a glancE

tax rEvEnuE 2013/14

macroEconomic outlook – summary. 2012 – 2015

Real growth 2012 2013 2014 2015Percentage Estimate % Forecast %Householdconsumption 3.4 3.1 3.7 3.9Capitalformation 6.4 5.7 5.9 6.5Exports 1.1 3.9 6.7 7.2Imports 7.2 5.9 7.2 7.3Gross domestic product 2.5 2.7 3.5 3.8 Consumerpriceinflation(CPI) 5.7 5.6 5.5 5.4Balanceofpaymentscurrentaccount(percentageofGDP) -6.1 -6.2 -6.3 -6.0

consolidatEd govErnmEnt ExpEnditurE By function. 2012/13 – 2015/16

2012/13 2013/14 2014/15 2015/16R billion Revised estimate Medium-term estimatesRevenue 887.8 985.7 1 091.1 1 199.8 PercentageofGDP 27.7% 28.0% 28.1% 28.1%Expenditure 1 055.9 1 149.4 1 244.3 1 334.1 PercentageofGDP 32.9% 32.7% 32.1% 31.2%Budget balance -168.0 -163.7 -153.2 -134.4 PercentageofGDP -5.2% -4.6% -3.9% -3.1%Grossdomesticproduct 3209.1 3520.3 3880.4 4270.8

consolidatEd govErnmEnt ExpEnditurE By function. 2012/13 – 2015/16

2012/13 2013/14 2014/15 2015/16 Average annual growth

2012/13– 2015/16

R million Revised estimate Medium-term estimates

Generalpublicservices 53787 56717 61565 64910 6.5%Defence.publicorderandsafety 142533 153694 162889 171745 6.4%

Economicinfrastructure 79184 88623 96972 105890 10.2%Economicservicesandenvironmentalprotection 44060 47997 50238 53489 6.7%

Localgovernment.housingandcommunityamenities 119022 132084 146976 158743 10.1%

Healthandsocialprotection 251291 268477 288598 306332 6.8%Education.sportandculture 220916 232530 247250 264899 6.2%Employmentandsocialsecurity 41677 49232 57239 61015 13.5%

Scienceandtechnology 15096 16294 17394 18926 7.8%Allocated expenditure 967 566 1 045 648 1 129 121 1 205 949 7.6% Debt-servicecosts 88325 99741 108718 118163 10.2%Contingencyreserve – 4000 6500 10000Consolidated expenditure 1 055 891 1 149 390 1 244 340 1 334 111 8.1%

IssuEd By: National Treasury: Tel, (012) 315 5757 | www.treasury.gov.za

additions to spEnding plans ovEr thE nExt thrEE yEars

National TreasuryDepartment:

REPUBLIC OF SOUTH AFRICA

national treasury

1

Personalincometax34%

Other7%

VAT27%

Fuellevies5%

Exciseduties3%

Corporateincometax19%

Customsduties5%

Final 2013 Budget Highlights.indd 1 2013/02/25 12:01 PM

IssuEd By: National Treasury: Tel, (012) 315 5757 | www.treasury.gov.za

National TreasuryDepartment:

REPUBLIC OF SOUTH AFRICA

national treasury

2

Final 2013 Budget Highlights.indd 2 2013/02/25 12:01 PM