This is how Budget 2022 puts money back in your pocket

Delivering his inaugural budget speech on Wednesday, finance minister Enoch Godongwana stated that interventions to chart a course towards growth and fiscal sustainability to narrow the budget deficit and stabilise debt, as well as offering income and employment support, tackling service delivery shortcomings and tax relief cannot replace the structural changes our economy needs.

Godongwana had some good news for taxpayers, with a number of interventions meant to ease the burden on their pockets.

This is how the minister is putting money back in consumers’ pockets:

• R3.33 trillion over the next three years to support vulnerable and low-income households
• an additional R32.6 billion for financial support to current bursary holders and first-year students
• R24.6 billion for provincial education departments to address the shortfalls in teacher compensation
• an increase in the old age, war veterans, disability and care dependency grants of R90 in April and a further R10 in October
• a once-off increase of R20 in foster care and child support grants in April
• personal income tax brackets and rebates will be adjusted by 4.5 percent which means that the annual tax-free threshold for a person under the age of 65, will increase from R87 300 to R91 250
• medical tax credits will increase from R332 to R347 per month for the first two members, and from R224 to R234 per month for additional members
• no increases in the general fuel levy on petrol and diesel to provide tax relief of R3.5 billion
• no increase in the Road Accident Fund levy.