When: Wednesday, 6 August 2014
12h00 for 12h15 Registration & sandwich lunch
12h15 to 13h30 Presentation
Where: FMF | Prime Meridian House | Bryanston Gate Office Park | 170 Curzon Road | Bryanston (Opposite Sandton Medi-Clinic)
RSVP, if you are attending, please click here via http://www.fmfevents.co.za/Event.aspx?ID=74 (If you have already responded or cannot join us, no need to RSVP)
Guests welcome: Please register by clicking the link for each person.
Content
- South Africa can benefit as Mauritius has done from adopting a low flat rate Income Tax System
- Simple, Flat and Low (Mauritius 15% - possible 19% flat rate for SA)
- Same tax rate for business and individuals
- Income taxed only once
- Two postcard size tax returns – one for individuals and another for businesses
- Business - buildings, machinery, and other “capital” assets are deductible expenses
- Massive reduction in compliance costs
- No other comparable incentive for investment and business growth
- Generous allowances totally exclude low income individuals from tax net
US economists Robert E Hall and Alvin Rabushka of the Hoover Institution and Stanford University have developed a flat tax system that provides all these listed benefits and also produces sufficient revenue for government purposes. The tax system eliminates many disincentives to investment and slashes compliance costs for taxpayers and collection costs for government. Eastern European countries, Mauritius and others are being accused of creating an unfair advantage through their “tax haven” low tax strategies. South Africa could also join that club. This is what the FMF has proposed to the Davis Tax Review Committee.
Note to the editor
The FMF is an independent, non-profit, public benefit organisation, created in 1975 by pro-free market business and civil society national bodies to work for a non-racial, free and prosperous South Africa. As a policy organisation it promotes sound economic policies and the principles of good law. As a think tank it seeks and puts forward solutions to some of the country’s most pressing problems: unemployment, poverty, growth, education, health care, electricity supply, and more. The FMF was instrumental in the post-apartheid negotiations and directly influenced the Constitutional Commission to include the property rights clause: a critical cornerstone of economic freedom.
The FMF has a wealth of information in papers, articles and opinion pieces available on the website which can influence the public debate and present alternative policies to the people of South Africa. Please look at www.freemarketfoundation.com.
Media Enquiries
Jayne Boccaleone
011 884 0270
082 904 3616
jayneb@mweb.co.za
Other Enquiries
joanevans@fmfsa.org
Website www.freemarketfoundation.com
Johannesburg
PO Box 4056 | Cramerview 2060
Tel 011 884 0270 | Fax 011 884 5672
Email fmf@mweb.co.za