South Africa is to scrap excise duty on imported PCs, which should result in a five per cent reduction in retail prices.

According to SA reports, the tax was inconsistent and easy to circumvent, as imported PC components were not included in the excise.

Also the tax raised a puny amount of revenue for the government - R572m, compared with a total tax take of R325 billion.

The tax cut, coupled with improved rand performance means that in local currency terms, PCs will be 25 per cent cheaper than a year ago. ®