Government proposes additional ‘exit tax’ on emigrating South Africans

krycor

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There were but in the host country.

So no offense but duh SA will want to end that.. heck I can’t believe they left that open for so long, this is like companies paying tax in a tax haven because their ip has moved there despite earning it elsewhere.
 

Swa

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So no offense but duh SA will want to end that.. heck I can’t believe they left that open for so long, this is like companies paying tax in a tax haven because their ip has moved there despite earning it elsewhere.
The only reason they're doing it is because their tax base and pig trough is shrinking. It's wasn't a problem before and it's not a problem for other countries.
 

krycor

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It’s because there isn’t an exodus at other places just yet although the US is pretty good when it comes to this.

Wrt not mattering.. if it didn’t matter ie tax collected by another as a matter of principal then the global cit thing wont get passed.. and yet..

Anyway.. I find the comments in this thread and the title hilarious vs actually reading what they doing and understanding what an RA like scheme actually is.. ie a deferred tax on investment scheme.

Now if they made you pay for education they subsidized the yes.. additional tax(every country subsidized education for future tax in an insanely profitable manner ironically US milks it both ways).. making you pay for tax on interested gain in country earned in a scheme designed to do so.. well now.. how is that unexpected or additional?
 
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Swa

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It’s because there isn’t an exodus at other places just yet although the US is pretty good when it comes to this.
Aha, and there's the issue. Governments always try to plug the holes when the boat has sprung leaks but in actual fact the problem is with government policy.
 

D tj

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Gotta feel sorry for the government, having done their best to chase away their tax base, they are now struggling to find revenue....the struggle continues....not for much longer the cow is becoming an Estina Dairy cow.
 

Milano

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The latest attack, where interest of 7% will be levied on a deferred tax debt, may very well be unconstitutional and open to legal challenges.
Whatever the hurdles today, the hurdles tomorrow will be greater. SA remains the perfect example of the best time to leave was yesterday, the second best time is today. No use waiting until more restrictions and limitations are enacted. The path of government is startlingly clear.

It is clear that the government is doing what it can to mitigate the risk of what seems to be an increasing trend of tax-paying South Africans emigrating from South Africa.

Government: We will lie, steal and obfuscate. If you speak against us we will label you while telling you that you can leave the country. Meanwhile as government we will continue to seek to enact instruments and restrictions to make it more difficult for you to leave even when such restrictions are unconstitutional.

On the other hand if you burn, destroy and terrorise we will negotiate with you to accommodate your needs. Meanwhile we will implement no restrictions on your actions, we will pacify the police and we will endlessly delay any response to such actions.

What a state to live in.
 

Swa

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Well the best course of action would seem to be taking whatever pension you can under Covid when that's allowed.
 

Cius

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This move will essentially be a big middle finger to any and all South African's who wish to be global citizens with roots and links to SA. It will massively increase the odds of graduates leaving directly after they qualify as why earn money here where it will just be taken from you. Start earning elsewhere. As always with the ANC short term gain long term loss. I know I will be advising my kids to get out after they qualify.
 
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