South Africa and the Draconian Laws of the Revenue Services

South Africa and the Draconian Laws of the Revenue Services

The South African Revenue Services (SARS) have implemented draconian laws in an attempt to recover taxes from companies and individuals. The law gives SARS the right to take money from a bank account without permission from the account holder. It is a harsh code of laws that can have detrimental effects on people who already struggle to cope with the high cost of living.

South Africa has a population of approximately 53 million people, and it is estimated that 11 million people file tax returns annually. A staggering four million of the registered taxpayers are exempt from tax due to the tax threshold, leaving the burden of tax payable on nearly six million people. Of course, the collection tactics are severe considering the low number of taxable people in South Africa.

In South Africa, informal traders, such as street hawkers and taxi drivers evade the tax system. Although evasion is not limited to the informal sector, a moderate number of high-income earners and business owners have options to bypass the taxation. Small business owners claim that business and individual tax are one of a kind does span across both formal and informal taxpayers.

Jacob Zuma, the president of South Africa has mentioned that taxes will increase, and there are indications that high-income earners will bear the highest tax burden. The informal sector growth will continue to find a way of avoiding the rule of tax by neither breaking the law, but rather will use an intelligent attempt to circumvent the tax plan. The strict labor laws and lowering of personal taxes can close the widening gap between the formal and informal taxpayers.

The power of certain SARS officials allows for searches without warrants, collecting information from banks, estate agents, medical funds and lawyers. SARS can exercise an aggressive approach in dealing with tax avoidance or tax evasion. The amount of information SARS can demand are staggering since the new regulations have been passed. The dynamic approach used by SARS is to tighten the net of non taxpayers and tax evasion in South Africa.

New article posted on the Guardian LV - be sure to read the entire article

Read more at http://guardianlv.com/2014/11/south-africa-and-the-draconian-laws-of-the-revenue-services/#Cq04t75XZBpMroUE.99

South Africa: Where Has All the Money Gone

South Africa: Where Has All the Money Gone

The African National congress (ANC) ruling party of South Africa, has financial woes as all the money is gone. The possibility of retrenching staff members is highlighted and can be a reality in the near future. Staff has not received salaries for two months as the party suffers from money problems.

The Secretary General Gwede Mantashe admitted this week that there were problems and the ANC party was in dire need of money to meet all obligations. One of the reasons cited for the decrease in cash, flow was the loss of 16 parliamentary seats in the past May 2014 general elections.

Angry staff working for the ruling party demanded salary increases and Mantashe stated that there was no money for increases or bonuses but the party would consider options when matters improved. Mantashe told staff members to be patient during this terrible time.

Raising funds from private investors had declined, and the ANC party has been threatened with liquidation from angry suppliers. Millions of rands that are owed for services rendered to the ruling party, remain unpaid to service providers.

The revelation of the ANC financial woes came from members who preferred to remain anonymous. During a heated meeting at Luthuli House, Mantashe said the staff members about the financial woes. The staff members were told that if they were not happy with the situation they were welcome to go and find alternative work. Staff members are demoralized and insisted that no increases or bonuses were paid over the past three years. The news of wanting to retrench staff members was received with hostility. Mantashe denied reports that the ANC were planning staff retrenchments.

New article on the Guardian LV -
Read more at http://guardianlv.com/2014/10/south-africa-where-has-all-the-money-gone/#M1ZwW5MRg6jysg1F.99


My thoughts, the thieving, corrupt, criminal elements of the ANC  have taken it all.  Greed is a sin....... 

P.W. Botha Dragged into Nkandla Debacle

P.W. Botha Dragged into Nkandla Debacle

The former president of South Africa, Pieter Willem (P.W.) Botha is being dragged into the Jacob Zuma Nkandla debacle. Zuma has referenced the former president to the ongoing Nkandla upgrades that have been symbolized as waste of taxpayers’ funds. The R246 million spent on upgrades has caused an outrage of comments by both opposition parties and the public.

The vast sums of money spent on Nkandla the private property of Zuma, the president of South Africa has cast a shadow of incompetence in the public eye. The state provides for official accommodation, and transport to ruling presidents, Nkandla remains an individual homestead. The expenditure on security updates at Nkandla vastly exceeds the value of the property and that spent on former presidents of South Africa.

The Frederik Willem (F.W.) De Klerk Foundations said the comparison of Nkandla to the George Airport raised some disturbing questions. It is a question to determine the distinction between appropriate state expenditure on legitimate plans and disbursements spent on Nkandla that will result in Zuma’s inexcusable enrichment

At a media luncheon this week, Zuma said the airport built-in George was not for economic reasons, and built to serve P.W. Botha, who lived close to the airport. Zuma said the criticism over Nkandla was unnecessary and raised the question, “Is Nkandla not meant to produce a president?” Zuma said the state had a responsibility to protect the president.

Botha served as the last Prime Minister of South Africa from 1978 to 1984 and became the first State President of the country from 1984 to 1989. The wilderness situated in the Western Cape was home to the president and close by George Airport, formerly known as P.W. Botha Airport was built in 1977.

A discovery of natural offshore gas was found during 1969 in Mosselbay, and this led to the development of a refinery. Located close to the George area, the airport construction served to enhance the expansion of gas to liquids. The airport was built during P.W. Botha’s tenure as Minister of Defense, and this was built in a strategic position. The state-owned company struck gas during 1980.

Any state action that results in the enrichment of political officers is inherently wrong and not acceptable. The remarks emerged from President Zuma raise the concern of sensitivity to criticism over the wasteful expenditure at Nkandla. It raises the government’s failure to accept the credibility of organizations findings on the Nkandla issue.

Published on the Guardian LV - read more at 
 http://guardianlv.com/2014/10/p-w-botha-dragged-into-nkandla-debacle/#9U4WvM2DyB4tT1YY.99

Winnie Faces Criticism Over Mandela Land Claim

Winnie Faces Criticism Over Mandela Land Claim

Winnie Madikizela-Mandela faces the wrath of the people over a land claim of the Late Nelson Mandela. Whom does the land in the village of Qunu, Eastern Cape belong to, the former president or Winnie? There is a dispute brewing, and it is Winnie  that stated certain land in Qunu does not belong to the Late Nelson.

Firstly, Madikizela, the second wife of the Late Nelson Mandela, is stating that the divorce from the legendary Mandela is a forgery. There are disputes about the authenticity of the divorce certificate. The former president’s attorney who attended to the divorce proceedings during 1992 is not commenting about this claim.

The land is a significant issue for Winnie, it is the Qunu house turned into a museum that is raising aggravation among the royal Mandela tribe. Accordingly it is more important the acquisitions of how Nelson acquired the land. According to Winnie, the area that accommodates the famous Qunu home was unlawfully transferred  by Nelson during his reign as president of South Africa.

A plot of land in Qunu, Eastern Cape, was given to Winnie by the abaThembu king when Nelson was imprisoned for high treason during the apartheid era. After successful negotiations with the former regime of South Africa, Nelson became president of South Africa at the end of white rule. It was supposed during the term of presidency that Mandela transferred the plot of land into a personal name.

Winnie Madikizela claims that Nelson committed fraud by registering Eastern Cape into a personal name, which would mean the late president used the State Land Disposal Act as a means to transfer the property, constituting land fraud.

Qunu is the final resting place of Nelson  and in shocking claims this week; Winnie has approached the courts to settle this dispute of land and divorce. The deed to the property was initially obtained by Winnie and not the late Nelson, thus sighting misrepresentation or fraud over the Qunu plot. Customary rights are cited in court papers.

A royal family member stated that the claims against former president were not recognized. Winnie’s actions are opportunistic according to Dalumumo Mtirara. The royal family member said the determination to tarnish the late president’s legacy was unacceptable and queried why these claims were not raised previously. The royal family has rejected all claims by Madikizela-Mandela.

The Late president left the Qunu home to the Mandela family, Madikizela-Mandela was not mentioned in the Will. Winnie wants the Qunu property set aside from the Will testimony based on the unlawful registration of the property.

Published on the Guardian LV  
Read more at http://guardianlv.com/2014/10/winnie-faces-criticism-over-mandela-land-claim/#h8FiWbmJxY5kjLGE.99

Prison Convicts Rejected by Society in South Africa

Prison Convicts Rejected by Society in South Africa

Almost 3,000 convicts are released from prison each month in South Africa and rejected by society. The past cannot define the future as communities try to support ex-convicts released back into society. In many instances, society rejects convicts forcing ex-convicts to go back to prison.

The conditions of South African prisons are appalling, dirty, unhygienic, overcrowded and ruled by gangs. Criminals placed into the prisons have little or no chance of rehabilitation. Gangs operating within the prison structures affect people who want to rehabilitate. The trauma of spending months and even years in South African prison does not disappear when the inmate is released back into society. The rehabilitation during jail time is not sufficient to escape the harm experienced within the prisons. Gang leaders within the prison walls operate in conjunction with criminals on the outside, thereby ensuring crime continues as forceful as before. Often there is no hope of leading a crime free life upon parole.

There are rehabilitation programs providing support and therapy for prison convicts both within prisons and in society. The change must come from within and choices need to be made. Prisoners are encouraged to have a positive attitude toward life, attend rehabilitation and stay away from crime. The optimistic approach of criminals leaving prison soon dwindles away as rejection by society becomes a reality of a harsh world for most.

Offering support for prison convicts becomes nearly impossible with residents preferring not become involved. The obstinate attitude of society often leads to the prisoners entering the criminal surrounds in an attempt to survive. Drugs are often a cause of repeated crime by ex convicts.

South Africa is a racial stereotype country and goodwill within communities’ lack trust. The rise of crime does not help prison convicts to enter society and live an ordinary life. Prison convicts often meet with rejection from companies when seeking employment and this demoralizing impression forces most to return to crime. The high unemployment levels within South Africa is another factor in convicts’ inability to find work.

The stigma attached to ex-convicts is a major problem causing rejection from society. Prison convicts often believe that the rehabilitation received does not lead to an active role in society. Community organization can assist former prisoners through spiritual guidance and skills development. By doing so, they would be raising hope of leading a life without crime for ex-convicts. Trust is often the cause of failure within communities dealing with former inmates. The tarnished reputation of prison convicts leaves little hope for the future.

The reintegration into society for prison convicts is difficult. In South Africa, many people believe that offenders should not be allowed early parole and struggle with forgiveness. The eye-for-an-eye mentality indeed exists in South African communities. Prison prisoners serve time in prisons and overcoming the public’s judgmental perception is often the most difficult trauma for ex-convicts to bear. Rejected by society after serving a prison sentence in South Africa for crimes committed is often a harsh criticism for prison convicts to understand.

Read more at http://guardianlv.com/2014/10/prison-convicts-rejected-by-society-in-south-africa/#IrODeSHOSEYABvyS.99