Is this a separate tax? Because that wouldn't make any sense at all. It makes sense to abolish TV licences and replace that income from Treasury because of the huge amount of wasteful admin and red tape it eliminates. The income should come from existing taxes as part of the existing budget. A separate tax would defeat the purpose.
It is a fact that 1% of current income tax revenue would provide more than double what the SABC can raise from TV licenses. And the cost of collection via SARS is far more efficient. What the DoC is proposing is that for every R1 you pay in income tax, 1c will go to into the broadcasting fund. The finance minister will have to offset that extra 1c in his budget.
At present taxpayers are constantly paying up to bail SABC out anyway. By eliminating the inefficient license collection process, taxpayers will pay less for SABC in the long run.
Of course, whether we should be paying for the SABC at all, is another argument entirely.