National Treasury has published details of tax measures aimed at cushioning small and medium enterprises (SMEs) and vulnerable firms from the impact of the coronavirus outbreak.

The measures will be subject to retrospective enactment in Parliament later in 2020. They include a tax subsidy to employers of up to R500 per month for the next four months for private sector employees earning below R6 500.

The South African Revenue Service (SARS) will also accelerate the payment of employment tax incentive reimbursements from twice a year to monthly.

Tax compliant businesses with a turnover of R50 million or less will be allowed to delay 20% of their employees tax liabilities over the next four months and a portion of their provisional corporate income tax payments without penalties or interest over the next six months.

The measures will take effect from 1 April 2020.

In the video below, a discussion on potential impact COVID-19 will have on SA economy:

Relief at the pumps:

The announcement of tax relief measures by the Treasury comes as a relief at the pumps also loom for South Africans.

Petrol prices in the country will go down from midnight on Tuesday.

The price of 93-octane will decrease by R1.76 cents per litre and 95-octane by R1.88 cents.

The price of diesel will go down by R1.33 cents and R1.34 cents a litre for different types of fuel.

The price of illuminating paraffin is set to decline by R1.84 cents a litre.

Minister of Minerals Resources and Energy Gwede Mantashe has attributed the price cuts to the current local and international factors.

The petrol price drops are substantially less than those forecast by the AA and are due to the fuel price levy, among other things.

In the video below, is an interview on reasons behind the looming price drop: