The South African government’s income for the year ended March 31, 2015, increased by R107.1-billion, Statistics South Africa (Stats SA) reported on Thursday.

This increase in the consolidated general government accruement of R1.2-trillion from operating activities in the 2014/15 financial year is largely attributed to an increase in taxes collected, at R1.1-trillion, as well as “other receipts” at R138.5-billion.

Taxes, comprising those paid by individuals and businesses, as well as value-added tax on goods and services, increased year-on-year from R966.9-billion in 2013/14 to R1.1-trillion in 2014/15.

Other receipts for the period under review were around R12.1-billion higher year-on-year, mostly owing to an increase in the sale of goods and services, including rates and general services, by municipalities and universities, as well as an increase in interest received by the national government.

Meanwhile, data provided by Stats SA showed that government’s total cash payments for operating activities increased by R98.4-billion, from R1.2-trillion in 2013/14 to R1.3-trillion in 2014/15.

“The largest contributor to cash payments was compensation of employees, which amounted to R514.6-billion, having increased by R40.6-billion [in 2014/15] from R473.9-billion in 2013/14,” Stats SA commented.

Cash payments for the purchase of goods and services increased from R296.4-billion in 2013/14 to R311.8-billion in 2014/15.

Irregular, fruitless and wasteful, and unauthorised expenditure also increased from an aggregate R28.3-billion in the 2014/15 financial year to R48.65-billion during the year under review.

Irregular expenditure accounted for the bulk of this at R46.36-billion, while fruitless and wasteful expenditure reached R1.36-billion, up from R26-billion and R1-billion respectively.

Unauthorised spending during the year came in at R925-million, down from the R1.2-billion recorded in the prior year.

BUSINESS SECTOR
Meanwhile, Stats SA reported that the yearly turnover of private-sector businesses increased by 5.5% from a revised R7.8-trillion in 2014 to an estimated R8.3-trillion in 2015.

The latest yearly financial statistics show the largest percentage increase in turnover emerging from the forestry and fishing industry at 13.7%, accounting for 0.3% of all turnover, with the community, social and personal services industry following with a 9.6% increase, contributing 2.5% of all turnover in 2015.

The electricity, gas and water supply industry increased its turnover by 8.8% and manufacturing grew 6.2%, accounting for 2.3% and 28.4% of all turnover, respectively, for the period under review.

The turnover of real estate and other business services increased by 5.7%; trade by 5.6%; and construction by 5.3%, respectively accounting for 9.3%, 36.3% and 5.1% of overall turnover.

“Turnover in the mining and quarrying, as well as the transport, storage and communication industries grew the least, by 3% and 2.7% respectively,” Stats SA noted.

Meanwhile, Stats SA data showed total expenditure by private-sector enterprises increasing 5.2% year-on-year in aggregate to R8.2-trillion in 2015, with the largest contributors found to be purchases, at R5-trillion, or 60.5% of the total, and employment costs, which increased 7.3% to R1.1-trillion.

While net profit before tax and dividends decreased slightly by 3.1% to R539.5-billion in 2015, net profit after tax and dividends plunged 12% to R225.4-billion.

Company tax paid during 2015 increased by 3.1% to R143.9-billion, while dividends paid increased by 5.8% to R170.2-billion in 2015.