Carbon Tax has been saved
Carbon tax effective from 1 June 2019 following Presidential assent
The President has signed the Carbon Tax Act into law, which will be effective from 1 June 2019.
Taxpayers are liable for carbon tax should they conduct one of the activities in Schedule 2 of the Carbon Tax Act (Act No. 15 of 2019), above the threshold for that activity. Carbon tax will be levied on the sum of greenhouse gas emissions from fuel combustion, industrial processes, and fugitive emissions, determined in accordance with a reporting methodology approved by the Department of Environmental Affairs.
Emitters will be required to license their activities liable for carbon tax, and payment of this environmental levy will be due in July of each year. A separate tax on emissions from petrol and diesel has been incorporated into the fuel levy system from 5 June 2019.
Very few emitters will not be affected by carbon tax in some way, and now is the time to make sure you have taken the necessary steps to prepare.