NATIONAL ASSEMBLY
QUESTION FOR WRITTEN REPLY
QUESTION NUMBER: 561 [NW644E]
DATE OF PUBLICATION: 18 JULY 2014
561. Dr M J Figg (DA) to ask the Minister of Finance:
(1) With reference to the recent protracted strike at Lonminâs
mines, what is the total (a) loss in revenue in terms of (i)
Value-Added Tax (VAT) (ii) Pay As You Earn (PAYE) and (iii)
company taxes to the Government and (b) cost of the specified
strike to the South African economy;
(2) did the recent strike at Lonminâs mines have an effect on the
GDP; if so, by how much?
NW644E
REPLY:
1) (a) (i), (ii) and (iii) and (b). It is not possible to provide
the information requested in respect of Lonmin. Chapter 6, more
specifically, section 69 of the Tax Administration Act, 2011,
provides for the confidentiality of taxpayer information held by
SARS and prohibits the disclosure of taxpayer information by
SARS except in narrowly defined cases. These cases include
disclosures to the South African Police Service and National
Prosecuting Authority related to tax offences, by order of a
High Court or with the written consent of the taxpayer
concerned.
2) It is clear that the strike in the platinum industry did have an
effect on GDP given its contribution to the economy, and given
that the economy contracted by 0.6 per cent in the first quarter
according to official figures from Stats SA, and given that
platinum is an important commodity earning export revenue for
the country. Whilst there are various estimates already out in
the public domain, I will refer to the latest estimate by the SA
Reserve Bank as released in the statement of the Monetary Policy
Committee on 17 July 2014, where it forecasts growth in 2014 at
1,7 per cent, compared to forecasts of 2,8 per cent at the
beginning of the year. The actual impact of the strike at Lonmin
mines cannot easily be isolated from the impact on the entire
industry, and the Treasury does not provide estimates of the
impact of each individual mining company on growth.