Nearly 8 in 10 SA retailers selling illicit cigarettes as SARS faces R20bn challenge

Loading player...
GUEST – Johnny Moloto, Area Head of Corporate & Regulatory Affairs for BAT South Africa



New research conducted by independent research house Ipsos shows that illicit cigarette availability in South Africa has reached the highest levels on record. More than three quarters of shops (76.7%) countrywide are now selling cigarettes below the minimum tax threshold applicable on a pack of 20.



This comes after Finance Minister Enoch Godongwana set a target for the South African Revenue Service (SARS) to collect a minimum R20 billion in additional tax revenue in this financial year to avoid the need for new tax measures in the 2026 Budget.



“With the clock ticking for SARS to collect at least an extra R20 billion, these results from Ipsos show the need for immediate steps to plug the leaks in tobacco tax collection,” said Johnny Moloto, Area Head of Corporate & Regulatory Affairs for BAT South Africa
8 Jul 2025 4PM English South Africa Business News · Investing

Other recent episodes

-DELETED- Spain crowned world champions after edging Argentina in dramatic final

Spain are world champions for the second time after defeating defending champions Argentina 1-0 in an enthralling FIFA World Cup final. Substitute Ferran Torres scored the decisive goal in extra time after Argentina goalkeeper Emiliano Martínez produced a series of outstanding saves to keep his side in the contest. The…
20 Jul 3PM 18 min

Commercial Property’s Uneven Comeback: What 2Q26 Tells Us About SA’s Economy

FNB Senior Economist Siphamandla Mkhwanazi unpacks the latest 2Q26 Commercial Property Insights — revealing an uneven recovery across office, retail and industrial segments. He explains why industrial property remains the standout performer, why office continues its long structural adjustment, and how moderating inflation and future rate cuts could reshape investment…
20 Jul 1PM 8 min

JSE gears up to host SheInvests 2026 Conference

The JSE SheInvests platform has become one of South Africa's leading initiatives dedicated to advancing women's financial literacy and investment confidence. SheInvests empowers women through accessible financial education, practical investment insights, and meaningful conversations that inspire long-term wealth creation. As the platform has grown into a nationally recognised movement, it…
20 Jul 1PM 9 min

BofAs’ Tatonga Rusike on SARB’s Next Move

With the July MPC meeting looming, Bank of America economist Tatonga Rusike unpacks South Africa’s inflation trajectory, rising expectations, and the tight call facing the Reserve Bank. He explains why the case for a rate hike and the case for a hold are both compelling — and what the decision…
20 Jul 1PM 12 min

Ford’s Neale Hill: Why 2026 Is a Make‑or‑Break Year for SA Auto

South Africa’s automotive sector is entering a defining six‑month stretch — one that Ford Africa President Neale Hill says will determine whether the industry engineers its growth or manages its decline. From municipal stability and regulatory clarity to global competition and household affordability, Hill outlines the five pressure points that…
20 Jul 12PM 22 min