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NA Passes 2020 Division of Revenue Bill

March 19, 2020

National Assembly

The national assembly has passed the 2020 Division of Revenue Bill and sent it to the national council of provinces for concurrence.

The bill was tabled in parliament on 26 February 2020.

The bill aims to provide for the:

• equitable division of revenue raised nationally among the national, provincial and local spheres of government for the 2020/21 financial year;
• determination of each province’s equitable share;
• allocations to provinces, local government and municipalities from national government’s equitable share;
• responsibilities of all three spheres pursuant to such division and allocations; and
• provide for matters connected therewith.

Recommendations by the standing committee on appropriations on the bill include that the finance and transport ministers provide a report on the possible impact of the R2.8 billion reductions on the Provincial Roads Maintenance Grant; that the finance and basic education ministers provide a report on the implications of the R1.9 billion reductions in the Education Infrastructure Grant and that the finance, transport and cooperative government and traditional affairs ministers; the South African Local Government Association and the Msunduzi, Buffalo City, and Mbombela municipalities should report on the possible financial and service delivery implications resulting from the R4.3 billion reductions in the Public Transport Network Grant over the MTEF.

The select committee on appropriations will now process the bill.