It is interesting hon Chairperson how the extreme left, which is the EFF, argue against nonexistent austerity measures versus the right wing friend of theirs arguing for austerity measures. Yet the two extremes always find one another at the end. For the record the budget has grown from R1,67 trillion to R1,95 trillion. The ANC-led government is simply reprioritising.
FF Plus, it is so easy to find faults. Your oppressive governments cared for a few. The ANC-led government is here to deliver for all including you. [Applause.] The budget does not talk about wage reduction. No person's wage is going to be decreased but we are talking about Wage Bill which is very complex for you to understand. [Laughter.] You are talking about the tax relief which our government provides for that.
Hon George from the DA, you said we have run out of options but you have provided none. You have provided none and complained but came with no proposals. In times of our economic challenges the followers criticise; persons throw their hands in the air while leaders continue to give guidance and propose solutions to complex issues. This is what we have today in this debate. Leaders have no choice but to lead and this is what the ANC is doing. We invite all patriots; all hands on deck.
IsiXhosa:
Zintathu iingxam zohlahlo-lwabiwo-mali lwama- 2020. Eyokuqala, sisidingo sokukhula koqoqosho nophuhliso. Okwesibini, olu hlahlo-lwabiwo-mali kufuneka luzame ukuhlawulela oku kukhula nolu phuhliso. Okwesithathu, kufuneka sizibuze umbuzo othi senza njani ukuqubisana netyala? Okubalulekileyo kokokuba iziphakamiso zethu mazibone kwaye ziqinisekise ukuba abantu bayaxhamla. Sonke simqhwabela izandla uMphathiswa, ebuthathakeni bemeko yezemali kodwa wema wathi urhulumente akasayi kuyinyusa irhafu iVat. Kukhule ingeniso yerhafu nge- 4,9 ekhulwini kunyaka- mali wama-2020-21.
English:
The main tax proposals included personal income relief through above inflation adjustments in all brackets along with increases in the fuel and Road Accident Fund, RAF's levies to adjust inflation. What we need to do is to strengthen the progress in the tax system while broadening the tax base and removing exemptions. We welcome the review of tax incentives over the medium term and the repeal or the redesign of those that are inefficient and inequitable. Key to lower than forecasted revenue collection are on the one hand the nature of the 2020-21 proposals but also the problem of low aggregate demand that constrains economic activity; investment and employment creation. This is where we need to say that the limited tax relief and the 0,25% interest cut will support growth in household consumption but given our situation, it is not substantial enough.
IsiXhosa:
Eyona nto ichanekileyo yokwabelana kakuhle ibikunyusa umyinge oya emakhaya. Mhlawumbi isibonelelo sethutyana kumakhaya ahluphekayo.
English:
Globally it has been shown that in times of job losses and increasing poverty, as we experience, short term and immediate stimulus has an immediate effect of stimulating the demand side of the economy, boosting the domestic consumption and growth. Our committee report proposes that Treasury together with the committee go into the entire tax system particularly Value Added Tax, Vat, Corporate Income Tax and Personal Income Tax, specifically to look into the redistributive and just tax changes. That is a progressive tax proposal. Whilst the review of the Corporate Income Tax incentive for efficiency is necessary in itself, it is not enough. A thorough review is required to provide evidence that it cannot be increased. A costs and benefits analysis of increasing Corporate Income Tax should be done. Global research shows that we are the most unequal country on earth with the highest differentials between extreme poverty and wealth.
IsiXhosa:
Ngoko ke kumele ukuba kukhangelwe indlela yokuba ooziswana zibomvana bahlawule ngobutyebi babo ngokuhlawula irhafu ethe xhaxhe.
English:
In addition, work should be carried out on a wealth tax and such a report be tabled before the committee. Whilst we had many in this debate speak to debt levels, their solutions demonstrate a one-eyed-tunnel vision approach to dealing with this question. Such proposals have demonstrated in numerous countries around that there has been social unrest, greater destabilisation but what we actually do not want is to replace one government by the other or if they cannot get that, then coalitions. IsiXhosa:
Iziphakamiso eziza kuphelisa uzinzo azincedisi kuba ekugqibeleni, abantu baphela betsala kanzima kodwa umbutho olawulayo uyabakhathalela...
IsiXhosa:
... unlike some, amongst us.
IsiXhosa:
Umbuzo esizibuza wona njengeANC noMphathiswa wezeMali uwubuzile lo mbuzo wokuba kutheni inzala yethu singuMzantsi Afrika... [Kwaphela ixesha.]