The tax system in South Africa makes provision for every South African citizen to
contribute to a greater or lesser extent to funding the National Health Insurance
(NHI), either through VAT or PAYE. However, as a result of the high unemployment
rate, a large gap exists between tax and non-tax contributors. The question can now
be asked whether it is fair that just a small percentage of taxpayers are responsible
for the total funding of the NHI. Furthermore, it could be asked whether the taxpayer
is aware of the additional tax burden the NHI will impose on him/her.
The purpose of this research was to investigate three countries, namely, Brazil,
Spain and Germany, where some form of NHI is in operation, in order to find a
possible appropriate funding model for South Africa's NHI and, ultimately, to make
conclusions and recommendations based on the outcomes.
It was subsequently found that, although the taxpayer should be more heavily taxed
in order to fund the NHI, there are a few other possibilities for distributing the tax
burden more evenly. However, the impact of the proposed adjustment to increase
VAT could have a negative impact on the non-taxpayer and might contribute to
greater poverty in South Africa. / MCom (South African and International Taxation), North-West University, Potchefstroom Campus, 2014
| Identifer | oai:union.ndltd.org:NWUBOLOKA1/oai:dspace.nwu.ac.za:10394/11535 |
| Date | January 2014 |
| Creators | Dahms, Joani |
| Source Sets | North-West University |
| Language | English |
| Detected Language | English |
| Type | Thesis |
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