MPs heard a stern warning against the introduction of what Business Unity South Africa (Busa) called "stealth taxes".

Giving evidence to a Parliamentary hearing of the finance committees of both houses into the medium term budget policy statement tabled last week by Finance Minister Pravin Gordhan, Raymond Parsons, BUSA's deputy chairman warned against the tendency of government departments to impose special levies to increase revenues.

Busa's submission to the committees noted that in February the organisation had raised concerns about the increase in the general fuel levy, saying that it was a revenue-raising measure.

The business group now raises similar concerns about the Public Broadcasting Bill, which proposes that taxpayers fund the SABC. "Additionally there have been discussions," Busa said, "for a special tax for Eskom."

"In a time of fiscal restraint there is understandably a temptation to find ways to circumvent the overall fiscal framework though so-called stealth taxes," Parsons told the MPs.

"Busa would like to caution against this trend, as it has a very distorting and unpredictable impact on fiscal policy and on those who have to shape their decisions within that fiscal policy."

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