Lunga Simelane
3 minute read
1 Aug 2022
4:15 am

Taxing the rich to pay for income grant no answer to funding development in SA

Lunga Simelane

An economist says wealth tax to enable people to survive is not a long-term solution.

Picture: iStock

The ANC’s idea of taxing the rich to pay for the Basic Income Grant (BIG) will not solve the fundamental problems in the South African economy or society at large, say experts. The Sunday Times reported yesterday that a proposal to the party’s commission dealing with economic transformation was made. “BIG can be regarded as a mechanism to promote equity and thus a wealth tax can be a mechanism through which revenues can be raised to fund a BIG,” it was mooted. ALSO READ: Basic income grant is a recipe for financial disaster Econometrix chief economist Azar Jammine said “to...