Big tax hikes coming in South Africa

Bernie

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The more personal and business tax increases, the more "creative" people and businesses get in trying to pay as little as possible. the increase in tax will in all likelihood result in less tax collected. As someone mentioned previously, the only sure way of reliably getting more tax revenue is via VAT increase and or other levies that one cannot avoid. But as things get more expensive so less of the service will be consumed. Its a vicious circle, South African economy is on a downward spiral with no relief in sight, with the current leadership in charge.
 

Jola

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Zero accountability at the top echelons of our government. To do any of the above is admitting failure on their part, which, let's be honest here, is NEVER going to happen.
That ^
 

FlashSA

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4 pages and no mention of the Laffer Curve. We're already at the tipping point, but have probably started going down the other side of the curve.

TL;DR - you can only tax to a certain point. Once you reach that point, if you tax more heavily it will actually result in reduced taxes coming in. We are there.

Imports through the ports were 20% down in December. That is a massive chunk of SARS import tariff's lost. It's only going to get worse...
 

HBee

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Not so easy to increase taxes, as it will definitely kill economic growth. But then again the ANC have never had the prosperity of SA at heart.
 

Scooby_Doo

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Go for the IMF bail out now. Force a change like the SAA business rescue process.
 

Jola

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4 pages and no mention of the Laffer Curve. We're already at the tipping point, but have probably started going down the other side of the curve.
It has been mentioned a few times in other threads.

But we don't want to exceed the mental capabilities of any ANC supporters that may be reading this thread.
 

moosag

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Time to vote the ANC out of power.

I dont think any other measure, plan, etc will fix SA.
The best thing we can do is to get rid of the ANC from the seat of Government.

That would be our best possible solution at trying to save SA.
 

BBSA

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Time to vote the ANC out of power.

I dont think any other measure, plan, etc will fix SA.
The best thing we can do is to get rid of the ANC from the seat of Government.

That would be our best possible solution at trying to save SA.
Out of the frying pan into the EFF fire.
 

garp

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The key underlying issue is lack of economic growth, in fact possibly even a shrinking economy, which is exacerbated by ballooning debt. And for as long as the economy is stagnant or declining, there is no way that increasing taxes will have any effect other than retarding economic growth even more, resulting in a declining curve of revenue.

I think anyone with even half a brain can rattle off the well known reasons why the economy is in the toilet: - Uncertainty on property rights, over-regulation, a prevailing political ideology hostile to business interests, rampant unions, violent crime, abysmal education, ongoing, unbridled and unprosecuted corruption from the highest levels down, not to mention failing power and water infrastructure due to a combination of other reasons.

It is a surreal situation where most sensible people who pay attention to the news and have some modicum of understanding of how the world works, can only stand by and watch the political establishment double down on all this disastrous policy that they must, at some level, know is the cause of the decline.
 

GhostSixFour

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Wait until we get a catastrophe like Corona spreading through the populace.
Things will go completely down the sh1tter within a month.
You say this likely in jest, but to be honest, I'm surprised we haven't had a proper viral scare in this country. I mean, the hygiene in large parts leave much to be desired, people stay right on top of each other, and our public health services is a bit sad.

That being said, something that spreads and cuts down our population drastically, would probably be a benefit to the country.
 

Swa

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Great logic. Shed more tax payers. The feckers don't seem to understand that they've now passed the point of negative returns. They inherited this wonderful thing from the pre-1994 government but are unable to use it. They're unable to comprehend that wealth is something that continually needs to be created.
 
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