THE TAX REVOLT
According to The Times published on 6 November, Judge Dennis Davis, who heads the Davis Tax Committee, told delegates at a recent international economic law seminar that South Africa is possibly headed for a tax revolt. The possibility of this revolt is attributed to the government’s failure to address the on-going corruption and wasteful expenditure.
What does a tax revolt entail? Does it entail failure to comply with registration requirements, failure to submit returns, or just the failure to make payments that are due? The Judge reportedly merely refers to a breakdown in tax integrity.
Judge Davis is not encouraging a tax revolt, he is merely taking the temperature of South African society and making an observation. South Africans are becoming less and less tolerant of an incompetent, wasteful and corrupt government and have already had to endure an increase in personal taxes this year. The on-going e-toll saga and the university fee demonstrations (as mentioned in our blog on Financial (Mis) Management), give an indication of what we, as citizens, are capable of when we have a common goal to work towards.
Financial Management as an antidote
I am not a politician, or a political commentator, for that matter. However, personally, I believe in tax compliance. Taxation has been around for thousands of years, and, in all of its forms it is the most important and effective source of funding for a country. The economic implications of withholding tax payments, or failing to comply with the taxation legislation, are too disastrous to even contemplate. Hopefully, those charged with the responsibility of running this country will take note and furthermore, hopefully, they will recruit some financial competence into their ranks.
Many say that they cannot afford a Financial Manager. I say that they cannot afford not to have one. To this note businesses and other entities are seemingly unaware that a Financial Manager does not have to be a full time employee.
At Leaders Business Solutions we offer Outsourced Financial Management services, in addition, or along-side back end office support services to alleviate your Financial Management and taxation issues. These can be tailored to your needs and resources, and can be constantly adapted to ensure that it remains dynamic as your business grows.