Page 407 - Provincial Treasury Estimates.pdf

Estimates of the Provincial Revenue and Expenditure (EPRE) – Financial Year 2023/24

Table 2 above shows the summary of departmental receipts from 2019/20 to 2025/26. Sources of revenue

for the department is mainly equitable share. The aggregate departmental allocation increased from
R988.820 million in 2019/20 to a revised estimate of R1.018 billion in 2022/23. This increase is mainly due
to funds allocated for Compensation of employees’ cost of living (COLA) adjustment, rescheduled funds

for Drones and Audio visual equipment for Provincial Disaster Management Centre (PDMC), allocations
for tools of trade for traditional leaders in 2022/23 amongst other.

The receipts increase by 3.2 per cent in 2023/24 to R1.050 billion due to adjustment to the baseline due

to carry-through for COLA, allocation for traditional leaders as an attempt to fund the handbook costs for
Traditional Leaders, positive adjustment resulting from the PES formula data as well as rescheduled
allocations for procurement of vehicles and infrastructure projects in the Traditional Councils.

6.2. Departmental receipts collection
Table 3: Summary of departmental receipts and collection

Main Adjusted
Outcome Revised estimate Medium-term estimates % change
appropriation appropriation
from 2022/23
R thousand 2019/20 2020/21 2021/22 2022/23 2023/24 2024/25 2025/26
Tax receipts – – – – – – – – –
Casino taxes – – – – – – – – –
Horse racing taxes – – – – – – – – –
Liquor licences – – – – – – – – –
Motor vehicle licences – – – – – – – – –
Sales of goods and services other than capital assets 1 118 1 120 1 131 1 340 1 340 1 143 1 398 1 460 1 525 22.3
Transfers received – – – – – – – – –
Fines, penalties and forfeits – – – – – – – – –
Interest, dividends and rent on land – – – – – 1 – – – (100.0)
Sales of capital assets – – – – – – – – –
Transactions in financial assets and liabilities 869 425 1 070 494 494 690 519 543 570 (24.8)
Total departmental receipts 1 987 1 545 2 201 1 834 1 834 1 834 1 917 2 003 2 095 4.5

Table 3 depicts a summary of receipts for the department from 2019/20 to 2025/26. The department is not
a major revenue contributor and all collections are attributed to the commissions earned from insurance

deductions from employees for various medical aid schemes on behalf financial institutions for their
contributions to their products. Own revenue decreases from R1.987 million in 2019/20 to R1.834 million
in 2022/23. The decrease is mainly attributable to once-off payment of insurance claim received in the

previous year for a vehicle that got written off. In 2023/24, revenue collection is anticipated to increase by
4.5 per cent to R1.917 million as the revenue estimates continue to increase, post COVID-19. The
department will make endeavours to ensure that target is met for 2023/24.

6.3. Official development assistance (donor funding)

None.

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