CONTINUEThis site uses cookies. By continuing to browse this site you are agreeing to our use of cookies. Find out more.
  1. Front Page
  2. News By Topic
  3. Mbeki Rejects One-Off Wealth Tax On Business

Mbeki Rejects One-Off Wealth Tax On Business

by Robert Lee, Tax-News.com, London

17 April 2003


The South African government will not be levying a one off wealth tax on business as compensation to victims of apartheid President Thabo Mbeki announced recently.

The decision has allayed the growing fears within the corporate world of South Africa that the tax would hurt business and deter investors. As an alternative to the measure the government is urging business and individuals to donate voluntarily to a reparations fund set up to help those who suffered under the old regime.

The President was speaking at a joint sitting of houses of parliament where the final report of the Truth and Reconciliation Committee is being discussed. Mbeki announced the payment of R30,000 ($3,900) grants to some 22,000 people as a matter of urgency.

According to reports, Trade and Industry minister Alec Irwin voiced support for Mbeki's announcement, saying the decision was taken with the country's longer term economic interest in mind.

A South African Chamber of Commerce spokesman welcomed the government's decision not to follow the TRC recommendation regarding the one-off tax and praised the government's "pragmatic approach".

Mr Mbeki used the platform to condemn moves by foreign lawyers to sue corporations that are reckoned to have gained from apartheid.

"We consider it completely unacceptable that matters that are central to the future of our country should be adjudicated in foreign courts which bear no responsibility for the well-being of our country," said the President.


To see today's news, click here.

 















Tax-News Reviews

Cyprus Review

A review and forecast of Cyprus's international business, legal and investment climate.

Visit Cyprus Review »

Malta Review

A review and forecast of Malta's international business, legal and investment climate.

Visit Malta Review »

Jersey Review

A review and forecast of Jersey's international business, legal and investment climate.

Visit Jersey Review »

Budget Review

A review of the latest budget news and government financial statements from around the world.

Visit Budget Review »



Stay Updated

Please enter your email address to join the Tax-News.com mailing list. View previous newsletters.

By subscribing to our newsletter service, you agree to our Terms and Conditions and Privacy Policy.


To manage your mailing list preferences, please click here »