Provincial taxes

(1) A provincial legislature may impose— (a) taxes, levies and duties other than income tax, value-added tax, general sales tax, rates on property or customs duties; and (b) flat-rate surcharges on any tax, levy or duty that is imposed by national legislation, other than on corporate income tax, value-added tax, rates on property or customs duties. [Para. (b) substituted by s. 9 of the Constitution Seventh Amendment Act of 2001.] (2) The power of a provincial legislature to impose taxes, levies, duties and surcharges— (a) may not be exercised in a way that materially and unreasonably prejudices national economic policies, economic activities across provincial boundaries, or the national mobility of goods, services, capital or labour; and (b) must be regulated in terms of an Act of Parliament, which may be enacted only after any recommendations of the Financial and Fiscal Commission have been considered. [Date of commencement of s. 228: 1 January 1998]