Because you don’t pay enough tax already, you’ll soon be paying VAT on all of the the digital things you buy, according to new legislation from the South African Revenue Service. That new tax was meant to com in to effect from tomorrow – but to save everyone from being a fool, the tax has been postponed.
That’s according to Mybroadband, who spotted the later date in the government Gazette. That means you still have a few months to enjoy significantly cheaper digital purchases on your games and media.
The new legislation would add our 14% VAT levy on to digital games, movies, books and all similar purchases form online stores, whether they’re based locally or internationally. Yes, that would mean that the price of your games from services like Steam, PSN, Xbox Live, Google Play and iTunes are set to increase.
“This announcement was made against the backdrop of efforts, both internationally and locally, to bring cross border e-commerce (specifically the digital economy) into the VAT regime,” The Treasury said in a statement on the new taxation when it was first announced.
“The current application of VAT on imports does not lend itself to the effective enforcement on imported services or e-commerce where no border posts (or parcel delivery agents, e.g. the Post Office) can perform the function as collecting agents, as is the case with physical goods.”
“The net result is that the local consumers can buy imported digital products without paying VAT. This outcome not only places local suppliers of digital services at a competitive disadvantage (compared to suppliers from abroad) but also results in a loss of revenue for the fiscus.”
We’ve heard some disquieting rumour that digital game and media prices are set to increase higher than you might expect. If you want to get your games for cheap, take advantage of this two month long reprieve to do so.
Last Updated: March 31, 2014
Mark Treloar
March 31, 2014 at 08:35
So wait does this mean they will enforce import duties as well?
Umar hearts Grandia
March 31, 2014 at 08:35
I’m already struggling to afford games as it is……
Hammersteyn
March 31, 2014 at 08:54
Ditto
Mossel
March 31, 2014 at 08:36
Hopefully just in time for the Steam Winter Sales.
TiMsTeR1033
March 31, 2014 at 09:01
Stay strong! Winter is coming.
Kensei Seraph
March 31, 2014 at 09:10
Can’t wait for the dragons to show up.
TiMsTeR1033
March 31, 2014 at 09:12
Dragons? I dunno what season you watching, I’m only started Se 2 and loving it! I’m guessing they big in Se4.
Rince
March 31, 2014 at 09:14
See them first end of season 2 😉
TiMsTeR1033
March 31, 2014 at 09:16
See them big end of season 2? They still tiny now and never said what meat they eat. Last I saw last night snow was seeing what man in village beyond the wall is doing with boy babies. Flippin getting hectic now. Well for me anyway lol!
Rince
March 31, 2014 at 09:21
Well, not BIG BIG, but a pretty cool ending. Looking forward to season 4. Have you tried Vikings yet?
TiMsTeR1033
March 31, 2014 at 09:24
Nope, any good?
Rince
March 31, 2014 at 09:26
Yeah. Season 2 just started. It’s not like GoT though, no tits, swearing and family incest. It’s done by History, have a look out for it.
Alien Emperor Trevor
March 31, 2014 at 09:49
No tits? Well that’s just pointless.
TiMsTeR1033
March 31, 2014 at 09:50
Nudity in all honesty is kinda thrown in GOT sometimes, like you think “really is this necessary??”
Rince
March 31, 2014 at 10:17
Agreed. That’s why I like Vikings.
Skoobaz
March 31, 2014 at 15:35
What dragon series you guys talking about? full name?
Rince
March 31, 2014 at 15:44
Game of Thrones?
Nitro
March 31, 2014 at 12:37
Well.. done… Slow clap
Alien Emperor Trevor
March 31, 2014 at 08:38
How much is that disquieting rumour in the window? The one with the digital delivery?
Rince
March 31, 2014 at 08:48
You win the internet 😉 Nice one man, coffee number? Doors 1-99 open…
Alien Emperor Trevor
March 31, 2014 at 08:49
2. 3 is on it’s way to be made.
Alien Emperor Trevor
March 31, 2014 at 09:28
No.3!
Kensei Seraph
March 31, 2014 at 08:46
Hopefully it gets delayed even further.
TiMsTeR1033
March 31, 2014 at 08:57
How about indefinitely.
Mossel
March 31, 2014 at 09:02
Definition of indefinitely: When you are balls deep, you are indefinitely.
TiMsTeR1033
March 31, 2014 at 09:04
Definition of Fart: Slight explosion between the legs.
Rince
March 31, 2014 at 08:50
So the executioners hand is stayed a short while longer, oh well… Good for us… http://quicklol.com/wp-content/uploads/2012/12/dog-jumping-over-a-camp-fire.gif
Hammersteyn
March 31, 2014 at 08:53
Hot dog!
Alien Emperor Trevor
March 31, 2014 at 09:04
It’ll take forever to cook him that way.
Rince
March 31, 2014 at 09:07
Not if it’s how I like my steak…
Alien Emperor Trevor
March 31, 2014 at 09:08
That’s exactly how you like it. Rare 😛
Hammersteyn
March 31, 2014 at 08:53
Everything gets postponed in this country, even taxes.
TiMsTeR1033
March 31, 2014 at 08:56
South Africa, the country with the gift of “giving” you more!
Umar hearts Grandia
March 31, 2014 at 08:59
I didn’t ask for this, why should I pay #zuma #myhero
Admiral Chief of Auraxis
March 31, 2014 at 09:10
The week is off to a good start
TiMsTeR1033
March 31, 2014 at 09:12
not for 5fm listeners though..
Alien Emperor Trevor
March 31, 2014 at 09:13
Sure it is. Why do you think I stopped listening to 5fm ages ago?
TiMsTeR1033
March 31, 2014 at 09:14
I enjoyed listening to Gareth Cliff in the morning, that’s about it though.
Rince
March 31, 2014 at 09:23
At least Cliff pissed off people by being a dick. Even in his negative he has more personality then the rest of the cretins on radio.
TiMsTeR1033
March 31, 2014 at 09:26
Thank you for saying that man! Flippin bullshit how he is going, 10 flipping years and now just POOF gone. Zuma and his meddling ways perhaps the real reason. Unless he and most of team really did get “better” opportunities.
Rince
March 31, 2014 at 09:28
I think 7 years but yeah, he may have been very controversial but he was entertaining and he isn’t stupid. I listen to the other fucks on radio who laugh at their own pathetic jokes and wonder where they find them.
Mossel
March 31, 2014 at 09:33
Wait…did I miss something? Cliff is gone?! Although I didn’t like 5fm, he was quite cool though, if he wanted to be.
Rince
March 31, 2014 at 09:36
His last day is today. Also quite shocked!
Mossel
March 31, 2014 at 09:48
I call bullshit. Tomorrow is April 1. He’s gonna be back be all like “Yeah April fool! lol”
TiMsTeR1033
March 31, 2014 at 09:49
I hope you right! I flippin hope!
Rince
March 31, 2014 at 10:19
Hahaha, I wouldn’t be surprised.
TiMsTeR1033
March 31, 2014 at 09:47
Whack head, is okay but gets kinda dull. I enjoyed 94.7 when Jeremy Mansfield was on, but then again you live in CT so I doubt you listened to 94.7 highveld lol
Alien Emperor Trevor
March 31, 2014 at 09:32
I’ll agree there. I just found most of his attempts to be dull. I used to get a good laugh out of the people complaining about him though.
Rince
March 31, 2014 at 09:32
Yeah. I remember this one old granny calling in saying ‘stop laughing, god can see you’ and all he could reply with was ‘really? What am I doing now’ I was late to work that day.
Mossel
March 31, 2014 at 09:32
I switched to 567 CapeTalk a year ago. Haven’t looked back since. They actually talk about interesting things/facts. Compared to the rest that make stupid fart jokes and play “music.”
Rince
March 31, 2014 at 09:34
Ya, I like 567, but it can also be a bit heavy and depressing. I listen to Tuks FM as they have decent music. It’s a pity the people they have practising their skills on it are all retarded though. When you have a news anchor who is unable to pronounce her own name without stuttering you know it’s time to call it quits and pic up another hobby…
Mossel
March 31, 2014 at 09:47
LOL! Yeah, that’s quite true. It can be depressing some times. But on the other hand they have cool debates, and people actually participate. They aren’t just cut off if the presenter doesn’t agree with them.
Rags
March 31, 2014 at 11:23
I agree. I have switched to small American radio and have never looked back. Channels dedicated to classic rock. None of this pop chart bullshit. :D/
Kromas
March 31, 2014 at 11:31
Yeah he will most likely move to MiX FM 93.8. Switched to them and loving it.
UltimateNinjaPandaDudeGuy
March 31, 2014 at 09:17
I really hope this get postponed for the rest of my life or at least till after the Steam sale coming in June o/
Sir Rants A Lot Llew. Jelly!!!
March 31, 2014 at 09:19
Petrol – Up (many times)
E-Tolls – costly
Food prices – Up
Interest Rates – Up earlier
electricity – Up
Tax on all these?
Petrol – all sorts of Tax Yes
e-tolls – VAT yes
Food – Vat Yes
Interest Rates – duh
Electricity – VAT yeah
Now games as well?
Salary up? – Urm no 🙁
TiMsTeR1033
March 31, 2014 at 09:26
Hows the new car going man?
Sir Rants A Lot Llew. Jelly!!!
March 31, 2014 at 09:34
Like a dream. Had a CD player for the first time in YEARS. Put in some old mix CD’s I made way back…. Needless to say I was a little horrified and a little ashamed at some of my music choices… lol.
That is until the Naruto OST started playing on my way to work this morning. BOOYEAH!!! Crank that up!
TiMsTeR1033
March 31, 2014 at 09:45
Thats awesome man. It’s a nice little car too, should be great for being light on petrol too.
Alien Emperor Trevor
March 31, 2014 at 09:27
Well you do pay tax on games if you buy a hard copy in a shop, and as stated above, local online retailers charge VAT.
Rince
March 31, 2014 at 09:31
Awwwww sheeet http://stream1.gifsoup.com/view1/4702960/the-apocalypse-o.gif
Alien Emperor Trevor
March 31, 2014 at 09:40
For me!
Sir Rants A Lot Llew. Jelly!!!
March 31, 2014 at 09:35
*sniff*
Skyblue
March 31, 2014 at 14:28
Hey look at the bright side… “official” inflation will still be posted at under 5%
To quote Leo ,”This is Africa my friend.”
El Capitan del Blade
March 31, 2014 at 09:29
The net result is that the local consumers can buy imported digital products without paying VAT. This outcome not only places local suppliers of digital services at a competitive disadvantage (compared to suppliers from abroad) but also results in a loss of revenue for the fiscus.”
What Local Suppliers of Digital Services?
No Seriously, do those even exist?
Kromas
March 31, 2014 at 11:29
Evo Points, BT Games online and others.
El Capitan del Blade
March 31, 2014 at 11:38
I don’t see how they’re negatively affected. BT Games online (as shitty as the service is), still provides games CHEAPER at launch than say, Anyone Else. case in point: South Park Stick of truth, Steam/GMG/ Everywhere else, USD60 vs. BT Games: R480. So BT Games online is not at a disadvantage because of lack of VAT, it’s their own infrastructure that Sucks.
EVO points is also cheaper, what with working at a straight USD 1 = R10.
I guess whta I’m saying is. VAT won’t change a thing for these two (arguably the biggest) Online merchants in S.A.
ergo, that quoted reason above, is not even remotely true.
Kromas
March 31, 2014 at 11:40
Never disagreed just answered your question about the existence of local suppliers.
Rock789
March 31, 2014 at 09:35
I would state here what I think of this SARS initiative to line their pockets with some Nkandla cancelling money… But I’m afraid that level of profanity is simply not allowed online!
As if we weren’t taxed enough…
Alien Emperor Trevor
March 31, 2014 at 09:45
Look at what I got on Sat 😀
Rock789
March 31, 2014 at 09:58
Awesome! Now that is shweeeet! 🙂
Rince
March 31, 2014 at 09:58
Only carpet he’ll ever get *runs
Alien Emperor Trevor
March 31, 2014 at 10:02
It’s not a carpet, it’s a mouse rug. Peasant.
Sk3tz0
March 31, 2014 at 10:16
Aah the Goverment: Leo Getz, gets it..
CaptainNemo42
March 31, 2014 at 10:36
I renewed my PS+ yesterday in anticipation for this. I’m good to go until Dec 2015
R1ker
March 31, 2014 at 11:12
Won’t we be able to bypass this by using a vpn or something?
Michael
March 31, 2014 at 15:39
Nope, the card you use for the transaction is linked to SA