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Archive for January 21st, 2011

People under pressure – South African Taxation and Toll Roads

21 Jan

It seems that the South African ANC Government just does not know any boundaries when it comes to taxation of it’s citizens.

In recent years they have managed to introduce a plethora of new taxes and are introducing new one’s all the time.

Effectively this means that the South African citizen’s tax bill just keeps going up year after year and it’s becoming evident that people are under pressure.

No matter which corner we turn South African’s are faced with some type of new tax and people’s salaries aren’t able to increase fast enough to match this incessant taxation.

A new tax about to be unleashed on South African’s living in Gauteng is the new Gauteng Freeway Improvement Project Electronic Toll Gate System … Isn’t that just a mouth full.

The new toll gate system has cost the South African Taxpayer Billions of Rands and once in operation it will cost the average user an extra R1000 – R2000 a month depending how far a person has to travel to work. Current estimates from the South African National Roads Agency is a cost of 50 cents per kilometre travelled which is quite literally insane but of course the government stands to make some massive amounts of money from this system and in a very short time too.

I wonder how many companies will give their employees an extra R1000-R2000 a month increase just so their employees can get to work? Not too many I guess, so the average citizen who is already stressed to the limit paying taxes must find more money from nowhere so that they can get to work to earn money to pay more taxes.

It’s actually insane and it seems nothing is able to stop this government’s endless creation of new taxes.

What many people don’t realise is that once this project in Gauteng is operational, it will be rolled out to other metropoles like Cape Town, Durban etc so in the next ten years, no matter where you live in SA you will PAY dearly for the priveledge of driving on roads that your taxes have paid for a hundred times over and at the top will sit a few government officials who will be stealing millions off the top and living luxury lifestyles and some of the money might make it’s way to building houses for the nation.

South African’s are in for a whole lot more taxation in the years to come, if this government has their way one day they will take 90% of what you earn and then still tax you on the other 10%. Sound insane? Not really given what’s been going on the last few years.

Going to be interesting to see how people in Gauteng start to sweat when the toll system becomes operational.

 
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