Budget 2016 - Discussion thread

[akescpt]

we need to spend money to promote economic growth, more so than we need to reduce the current deficit

But don't we then have to borrow more? If we go 'junk' it becomes more expensive doesn't it?

If someone was trying to convince me they better at budgeting they had better not forecast to spend more than they earning.

Did the government actually commit to spend less? Hard too believe they will spend less with all these *** levies rolling in.

 

[NarrowBandFtw]

We spending more than our income. Isn't that a bit counter productive since we trying to appear like we give a fsuck

True enough, but we're not special at all in that sense, according to the CIA only 32 countries in the world out of 220 spend less than they earn: https://www.cia.gov/library/publications/the-world-factbook/rankorder/2222rank.html

 

[supersunbird]

So Capital Gains Tax is now 40% of the amount, that that taxed at your tax bracket rate?

 

[Adeptus Mechanicus]

If WWIII breaks out it won't matter. We will get partitioned.

If WWIII breaks out we will need offensive capabilities to solidify our position in Africa, which we don't have.

The reality for RSA after WWIII is incredibly bleak.

Calm yourself, take your anti-psychotics and remove your tinfoil hat.

 

[bro-da]

But don't we then have to borrow more? If we go 'junk' it becomes more expensive doesn't it?

If someone was trying to convince me they better at budgeting they had better not forecast to spend more than they earning.

Did the government actually commit to spend less? Hard too believe they will spend less with all these *** levies rolling in.

hmmmnn good point, especially if we get downgraded.

What i said above was traditional economic theory of trying to promote growth. I think that is also the reason there was no tax rate increase, to promote growth.

Perhaps it is a risk they are willing to take?

 

[Diesal]

A sugar tax?

FFS

 

[akescpt]

So Capital Gains Tax is now 40% of the amount, that that taxed at your tax bracket rate?

Does rental income fall under this?

 

[supersunbird]

Does rental income fall under this?

No, rental is income. That's why its important to track and list your expenses, with proof available (receipts) should SARS query.

 

[akescpt]

hmmmnn good point, especially if we get downgraded.

What i said above was traditional economic theory of trying to promote growth. I think that is also the reason there was no tax rate increase, to promote growth.

Perhaps it is a risk they are willing to take?

Ok they have on tax but aren't we poorer because of all the Lenore increasing and the introduction of even more levies? Feels like a bait and switch.

 

[Diesal]

Does rental income fall under this?

No rental income is simply income, CGT is taxed at 33% and is triggered by selling an asset.

 

[akescpt]

No rental income is simply income, CGT is taxed at 33% and is triggered by selling an asset.

That sounds like dividends and shares

 

[Diesal]

That sounds like dividends and shares

Shares yes, dividends no (you already pay 15% withholding tax on dividends)

 

[akescpt]

Shares yes, dividends no (you already pay 15% withholding tax on dividends)

Sometimes it feels like they punishing you for trying to improve Yor situation.

 

[Garson007]

If WWIII breaks out we're likely safer down here in the arse end of the world than most countries, we don't need to waste money on equipment we don't have the expertise to use anyway. We just need to sit back and see who survives the nuke war, maybe learn some Mandarin or Russian in the mean time just in case ...

I disagree that we are safer. We are a strategic location, but not a strategic partner and that's important. This makes us ideal for occupation by a foreign army. This is bad for all South Africans. What do you think will happen after?

That is the case no matter how much they increase defence spending. In a potential world war scenario we would be allied with the likes of Russia and China. So would nearly all the rest of Africa, so who would be in danger from that we would have any hope of stopping?

It's not about stopping, it's about strengthening our position - instead of weakening it.

 

[Arthur]

Gordhan is quite an astute political performer. He knows how to say the right things to various constituencies. He comes across as fair, balanced, reasonable.

 

[itareanlnotani]

I can sum up the budget thusly:

"taxpayers are meaningless in terms of ANC support so **** you."

 

[NarrowBandFtw]

I disagree that we are safer. We are a strategic location, but not a strategic partner and that's important. This makes us ideal for occupation by a foreign army. This is bad for all South Africans. What do you think will happen after?

We're a strategic partner of 2 of the world's 3 biggest military forces if you believe the lip service of the BRICS, I also don't but there it is. The only thing we could be considered a strategic location for is naval forces and even so in a world of ICBMs and stealth bombers the heavy lifting will probably not be done by anyone's navy. Also, the main forces likely to take each other on have a straight line over the pacific ocean to get to each other, they don't need to come across the equator for that at all.

That is all speculation and digression of course. What do I think will happen to South Africa if occupied by a foreign army? Judging by Japan's history and Germany's history being occupied during/after a world war is one of the best kick starts an economy can get, they surely can't do more damage than the ANC. And yes, I am serious.

 

[FrankieK]

The fact that there were no interruptions to his speech, is that because of national assembly rules, general agreement or respect or something?

 

[DreamKing]

rubbish

 

[supersunbird]

Sometimes it feels like they punishing you for trying to improve Yor situation.

Don't want to pay dividends tax?

Safe in a Retirement Fund (up to 27.5% of income) or Tax Free Savings Account that invest in share products (up to R30 000 year limit. so you can do it with a 2500pm debit order).