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    How is the loss in tax revenue calculated? If Company A spends R 100.00 on advertising with Co B, Co A claims an expense of R 100.00, and Co B recognizes an income of R 100.00. But, they set-off some expenses against that so the full income isn’t taxable. So Co A got rid of R 100.00 taxable income and Co B is taxed for an amount less than the R 100.00. If Co A didn’t pay for any advertising the full R 100.00 would have been taxed in their hands. Logically it seems the Goverment will be gaining tax revenue by banning advertising.

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