- some employees may have been inadvertently pushed into higher tax brackets.
- refunds will be issued where overtaxation is verified.
- SNAT demands the release of Government’s Establishment circular.
BY MBONGENI NDLELA
MBABANE – Minister of Finance Neal Rijkenberg has acknowledged that there may have been miscalculations in the taxation of civil servants’ October salaries, following widespread concern over the reduced amounts received after the long-awaited salary review.
Speaking to Eswatini Positive News this morning in response to public outcry, the Minister confirmed that some employees may have been inadvertently pushed into higher tax brackets due to the structure of the back pay, which was added to the regular October salaries.
“Obviously, when it comes to pay-as-you-earn, there are tax brackets,” explained Rijkenberg. “You might find an employee is in the 25% tax bracket, but with the back pay, all of a sudden, they find themselves in the higher bracket of 33%. Unfortunately, that 33% then applies to that individual.”
He admitted that the process of implementing the salary review was conducted under significant time pressure, which may have led to errors.
“I must be honest, it was all done really rushed,” he stated. “The team did their best to make sure it was applied, but I must admit, there might be mistakes.”
Refunds Possible for Overtaxed Workers
The Minister reassured civil servants that if errors are identified, corrective measures will be taken through Treasury and the Eswatini Revenue Service (ERS). “If there are mistakes, civil servants can definitely come forward and show that. I’m sure between Treasury and ERS they can set up a team. They have different appeals platforms,” he said. “If a lot of people feel they were taxed wrong, it can be looked at. And if anyone was overtaxed, refunds can definitely be done.”
This assurance brings relief to thousands of government employees who have expressed frustration over what appeared to be excessive deductions on their long-awaited pay adjustments. The Minister emphasized that there is now ample time to review cases carefully and ensure fairness in taxation.
Salary Payout Figures
Rijkenberg estimated that government’s total salary payout for October stood at around E800 million, compared to the usual E500 million monthly wage bill, though he noted that the final figures would be confirmed after a review by Treasury officials.
Positive Response Amid Concerns
The Minister’s transparency and openness to review the matter have been widely welcomed as a constructive step. His remarks signal government’s commitment to accountability and fairness in managing public funds, especially amid a sensitive national salary review that was designed to boost morale across the civil service.
The Ministry of Finance, in partnership with ERS, is expected to set up clear communication channels for affected employees to verify or appeal their tax deductions.
As the dust settles, the government’s readiness to address concerns promptly and transparently reflects Eswatini’s continued journey toward improved financial governance and public trust.
WHAT CIVIL SERVANTS CAN DO NEXT
- How to Check for Overtaxation
- Review your payslip for October, focusing on the total tax deduction and the gross back pay amount.
- Compare the tax applied to your usual rate (e.g., 25%)—if it jumped to 33%, you may have been pushed into a higher bracket temporarily.
- How to Appeal or Request a Review
- Employees who suspect overtaxation can report their cases to Treasury or the Eswatini Revenue Service (ERS).
- Treasury and ERS are expected to collaborate on a dedicated review and refund process.
- Civil servants are advised to submit supporting documents, such as payslips and employment details, to speed up verification.
- Refunds Possible
Rijkenberg has confirmed that refunds will be issued where overtaxation is verified.
SNAT AWAITS CIRCULAR ON POSSIBLE OVERTAXATION OF CIVIL SERVANTS
MBABANE – The Swaziland National Association of Teachers (SNAT) has expressed optimism that clarity will soon be provided regarding concerns of possible overtaxation affecting civil servants.
SNAT Secretary General Lot Vilakati said the association is awaiting the release of the government’s establishment circular, which will confirm whether workers’ taxes were correctly calculated following the recent salary backpay.
Vilakati was responding to Finance Minister Neal Rijkenberg’s statement acknowledging that there may have been an inadvertent overtaxation, where some civil servants paying the 25% tax rate might have been charged up to 33% due to the backpay.
According to Rijkenberg, the situation arose because government payroll teams faced limited time and staff capacity during salary processing.
Vilakati emphasized that while the union understands the administrative challenges, it is important for government to ensure that every civil servant’s payment and tax deductions are accurate. He added that releasing the establishment circular will bring transparency and reassurance to the public workforce.
Despite the technical hiccup, both government and SNAT have expressed commitment to resolving the issue fairly and ensuring that affected workers receive the correct adjustments if needed.
EPN QUESTIONNAIRE MINISTER OF FINANCE
Good morning, Honourable Minister.
There has been a public outcry regarding the taxation applied to the newly implemented salary review payouts. Some unions have raised concerns that a 33% tax has been deducted from the 15% backpay, significantly reducing the expected amounts.
- Could you please clarify the formula or basis used to calculate the taxation on these payouts?
- What specific method or taxation framework has been applied in determining the deductions?
- In the event that employees believe they have been overtaxed, is there an established platform or process through which they can claim refunds? If so, when and how can this be done?
- Lastly, could you share how much government spent in total on the October salary payments?
Thank you, Honourable Minister.
Eswatini Positive News
