South Africa: Born Free, Taxed to Death


Tax rates have become a hot topic recently because of scandals surrounding former Head of South African Revenue Services Tom Moyane and suggestions of an imminent tax revolt by Western Cape premier Helen Zille. International comparisons show South Africa is highly taxed compared to other countries in the world – but how bad is it?

The issue of tax has been pushed to the forefront in South Africa by the scandals surrounding former taxman Tom Moyane, comprehensively reported by Daily Maverick’s Scorpio unit. Also making tax more controversial than usual has been the suggestion of a tax revolt by outgoing Western Cape premier Helen Zille and the corruption sagas involving allegations of tax fraud involving illegal cigarettes, not to mention citizen resentment of syphoning off of billions in citizens’ money in State Capture criminality.

The OECD global tax database for 2016 shows, for a number of countries, rich and poor, tax as a percentage of Gross Domestic Product, a measure of total economic output.

In taxes on income and profits, South Africa comes out ninth out of 95 countries evaluated, ahead of many developed countries. We’re 37th, both in total tax revenue and in taxing goods and services, not quite…


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Author: skvaller

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