29 Jul 2020

Minister of Finance and Economic Development, Dr Thapelo Matsheka says the supply of tampons, sanitary pads/napkins, menstrual cups and comparable products by a registered person attracts VAT locally.

Dr Matsheka said his ministry had looked at the application of VAT on such products within the region and had generally observed that countries like Kenya and, Zambia did not charge VAT on the goods.

He added that however, they had observed that this had not been useful as these countries  had to come up with targeted programmes for the provision of free sanitary products for the girlchild.

He reiterated that the interventions were premised on the affordability of the products by vulnerable groups.

Further, Dr Matsheka said the ministry had considered the exemption of VAT on the products however, anecdotal evidence had shown that exemptions of this kind do not necessarily trickle down to the intended beneficiaries.

“In this regard, my ministry’s position is that the government may consider a targeted scheme for ensuring that these products reach the intended beneficiaries, especially the girlchild and other vulnerable groups within the social welfare system,” he highlighted.

Dr Matsheka  urged all representatives to remember that exemptions and zero rates tended to narrow tax base and therefore, eroded the country’s ability to raise enough revenue for developments.

Selebi Phikwe West MP, Mr Dithapelo Keorapetse had asked the minister to update on regional and international trends on duty, income and other tax on tampons, sanitary pads/napkins, menstrual cups and comparable products and to explain whether he would consider abolishing/exempting or reducing tax on these unavoidable necessities for women. ENDS