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South Africans to start paying 14% tax on digital purchases according to new regulations
Posted by on Feb 3rd, 2014

I’m not too clued up on the technicalities, but as of April 1st this year South Africans will pay 14% tax on digital purchases. So when you buy and download music, an e-book or digital copies of games etc. expect to pay 14% more than you are now. That’s according to new electronic services regulations announced by finance minister Pravin Gordhan.


The digital tax will cover everything from:

“the supply of e-books, e-music, e-films, software, images, games and games of chance, information system services, Internet-based auction services, maintenance services, educational services and the supply of an internet-based auction service facility.” [TechCentral]

HERE‘s a full list of the digital purchases that will be taxed and according to tax experts the new regulations are likely to push up the prices of digital goods as well.


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