South Africa’s R3 per litre fuel tax relief may bring short-term breathing room at the pumps, but SARS says the bill will still have to be paid. According to BusinessTech, SARS commissioner-designate Dr Ngobani Johnstone Makhubu said taxpayers will likely carry that cost “one way or another”.
Makhubu made the remarks during an introductory briefing after his appointment as the incoming head of the South African Revenue Service. BusinessTech reported that SARS has been given a collection target of R2.13 trillion for the 2026/27 financial year, following a record R2 trillion collected in 2025/26.
Relief now, pressure later
The tax relief was announced after a sharp fuel shock linked to a global energy crisis, with BusinessTech reporting that petrol prices had been expected to jump by more than R6 a litre in April, while diesel was set for an increase of more than R10 a litre. Finance Minister Enoch Godongwana then announced a R3 per litre cut to fuel taxes.
Outgoing SARS commissioner Edward Kieswetter told the briefing that the relief is only meant to last for one month. He said the temporary cut gives the government time to understand the severity and likely duration of the crisis, while easing immediate pressure on households and businesses. BusinessTech also reported that Kieswetter warned that fuel costs affect the wider cost of living because they feed into production, transport and the flow of goods and services.
SARS says the R6 billion must come from somewhere
Makhubu said fuel levies are expected to bring in R104 billion this financial year, but the temporary relief will cost about R6 billion, according to BusinessTech. He said the measure is expected to be cost-neutral, which means SARS may have to work harder elsewhere to make up the shortfall.
That warning matters for ordinary South Africans. The relief may soften one month of pain, but it does not erase the revenue gap. It simply shifts the pressure into the broader tax system. That is the message coming from SARS.
What happens after 6 May?
BusinessTech reported that Makhubu will formally take over at SARS on 1 May 2026, before the temporary relief is due to end on 6 May. The National Treasury has not yet said exactly how the relief will be phased out.
The report noted that the government used a similar approach in 2022, when a R1.50 fuel levy cut was later added back in stages. Treasury has now said the current tax cut is only “phase one” of a two-phase intervention, with more support measures expected for May and June.
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