Shisana: NHI tax deductions to start soon

2010-10-08 13:07

Johannesburg - Tax deductions for the National Health Insurance (NHI) may start in 2012, even if rural areas only were going to benefit initially, a senior government official said on Friday.

"Every single South African is going to be making a contribution," said Olive Shisana, chairperson of the ministerial advisory committee dealing with implementing the NHI.

The government needed at least another R11bn to start implementing the NHI by 2012, she said. But it has said the NHI would be phased in over 14 years, with rollout starting in 2012 in underserved rural areas.

Asked when the NHI taxation would start, Shisana replied: "There is a shortfall of R11bn in order for us to be able to start... it becomes obvious... (that taxation) will start in 2012.

"I'm saying we're expecting to fill the gap in 2012, but if the economy grows very well, you never know. I'm sure it (when taxation will start) will be in the legislation," she said.

Shisana was addressing the media at a press conference in Johannesburg, where the SA Medical Association (Sama) was hosting a health conference.

Earlier, health department director general Malebona Matsoso said the public would not yet see a dramatic difference in the health system in 2012.

"We don't have a big bang approach," she said.

The NHI would start in 2012, with health teams visiting people in rural areas to assess their health needs and provide transport to health facilities if necessary.

Also by 2012, government planned to have all vacant posts in the public health system filled, Matsoso said.

  • Mike - 2010-10-08 13:19

    "Every single South African is going to be making a contribution". This is government-speak for "Every single taxpayer"

  • ratfink - 2010-10-08 13:19

    "Every single South African is going to be making a contribution," chairwoman of the ministerial advisory committee dealing with implementing the NHI, Olive Shisana said. Every single South African? - I think not The question that needs to be asked is "by what percentage or amount is our tax going to be raised?"

  • Anon - 2010-10-08 13:21

    "Every single South African is going to be making a contribution" You mean "taxpayer", surely?

  • Michael - 2010-10-08 13:23

    Yes, and all of the extra money stolen from already overburdened tax-payers will of course be used responsibly, for the welfare and healthcare of South Africans. I'm sure none of it will go to caucus after-parties, BMW's, or find it's way into politicians pockets or those of their well-connected black diamond buddies.

  • KP - 2010-10-08 13:23

    Every South African is going to contribute?! Yeah right - and pigs will fly. Only those already paying PAYE & tax will land up contributing. So us 5 Million legal taxpayers land up subsidising the 45 Million who don't work or contribute - As usual! Between the Open road tolling, this NHI issue and the car allowance tax ruling this year - it's actually pushing people to either dodge taxes or emigrate. We're working more than 6 months a year already just for taxes. Does government think we'll work only to pay taxes? Not likely - the tax base is soon going to shrink very quickly..

  • JC - 2010-10-08 13:25

    And just how does the Chief Corrupt Cadre plan for this tax collection to take place? Will "everyone" once again be the 5 and half million odd registered taxpayers paying the 45 million freeloaders?

  • Bleeding - 2010-10-08 13:27

    The small tax base is going to be slaughtered... Aint it my constitutional right to pick whether or not I am part of this? I did not vote for your policies!

  • Clive - 2010-10-08 13:28

    Blood out of a stone !!!!!!!!!!!!!!!!!!

  • Angle - 2010-10-08 13:28

    Expalin to me this, what about people who are alreay part of a medial aid this mens that the average person is going to be paying two amounts to medial aid, is this really fair?

  • Juan - 2010-10-08 13:32

    I think all taxpayers should stand up against this!

  • wizdumb - 2010-10-08 13:33

    as per the article it states that "Every single South African is going to be making a contribution" yet only +-4mil south africans pay tax, so how will the other 42-44mil make their contributions

  • k_m - 2010-10-08 13:34

    The working class has been caught in the centre. They will still have to pay for medical aid and also towards NHI

  • Derek - 2010-10-08 13:34

    Problem is not "every single South African" will be making a contribution - only tax-paying South Africans will!

  • Matthew Green - 2010-10-08 13:35

    I love the quote ""Every single South African is going to be making a contribution". I didnt realise that we only had 5.5 million living in SA.......perhaps it should read "every (over)taxpayer is going to be making a contribution'. Honestly do they expect the tiny pool of taxpayers in SA to bear the burden of supplying the rest of the population with funding for healthcare?

  • Paul - 2010-10-08 13:35

    Free healthcare for the many paid for by the few!

  • Jannas - 2010-10-08 13:35

    I cannot help but wonder how much of this NHI taxes will contribute to luxury cars, overseas shopping trips and private bank accounts. Will the NHI replace the National and Provincial budget allocations for the Health Dept? The Department cannot even handle their current budgets properly, will this be another RAF?

  • RAKKA - 2010-10-08 13:38

    Oh yes, and pigs will fly. Has Treasury OK'd this? What will be the impact on economic growth of the country? The Dept Health doesn't know and couldn't care? Oh dear!

  • Russel - 2010-10-08 14:07

    Do away with all personal tax and make VAT 25% so that all residents and legal citizens pay the same when purchasing an item at a supplier/supermarket,etc

  • Dave - 2010-10-08 14:09

    Just you just love the sheer arrogance of this report? We need R11bn in the first year, but dont expect a big bang approach....we need that to bus patients to hospital, oh and of course our health teams will need to buy new mercs to get them there... We will have all vacant posts filled - by whom sweetheart? NO ONE in their right mind would willing work in your filthy hospitals......

  • Kevin - 2010-10-08 14:10

    Be fair guys.This goverment has stuffed up everything else. It was just the medical system and the tax system left for them to destroy and they will not stop till we are another Zim. Another goverment mess.

  • Morne - 2010-10-08 14:12

    NHI - new tax upgrade of fuel refineries - fuel levy new coal power stations - public money CO2 tax on new cars - R75 g/km over 120 g/km + VAT Higher vehicle license structure for old cars for CO2 New tollroads Other green taxes coming Do I need to continue? Here's government policy for you. If you are a tax payer you benefit with electricity, water, roads, sewerage systems, refuse removal, etc. If not, you sort yourself out. Would be interesting to know how many taxpayers are actually ANC voters. To stay in power the ANC must rely on the non-productive and punish the productive with new taxes to do it.

  • WL - 2010-10-08 14:13

    Does anyone have a vague idea of exactly HOW MUCH per month we are talking about? Is there a sliding scale? If everyone pays a fixed amount, it would be unfair to the poor as they pay percentage wise more than the higher income group. If it is based on a sliding scale, it would be unfair to the higher income, since they'll be sponsoring the others while the service delivery (uuu ... service what?) will be equally useless for all of us!

  • NEV - 2010-10-08 14:14

    This what happens if you put clowns in charge. They should have increased VAT rather. The other problem we are going to have is millions of people from all over africa will be moving this way for FREE MEDICAL AID. Where are they going to get more Doctors? They wont send white, indian & coloured students to varsity so just where will they get them? They will force Doctors to work in the rural areas - by by more Doctors.

  • Jean - 2010-10-08 14:16

    Well, now I have both a goal and a deadline. Get out of this country by 31 December 2011. Will the last taxpayer left please remember to switch off the lights...

  • a man in pants - 2010-10-08 14:22

    The only way "every" South African will pay for this is through VAT increases. I doubt this will happen - how does the ANC explain to the poor (the majority of their electorate) that they actually have to pay something for the services they will be getting...

  • Milkman - 2010-10-08 14:23

    Yes - you mean every white man will contribute and the black man will benefit. There is an end to the milk you know Shyster Shisana!

  • Franklyn - 2010-10-08 14:23

    Up the vat rate and do away with all other taxes, including company taxes. Everything will be much simpler then.

  • Empty pot - 2010-10-08 14:24

    Government is going to keep on adding additional taxes until ALL taxpayer income is in their pockets! Who is governing that? We might as well stop working, since government takes everything we make with income tax, VAT, rates and taxes, fuel tax, toll taxes, NHI, to name but a few... Where is it going to end?

  • big show - 2010-10-08 14:26

    what stuns me is, Why dont they just make it that EVERY PERSON pays tax! why only 5.5mil of the population? the rest sits at home, drinks out their grant money! smokes tik! etc etc, and the tax payer must look after them! NO WAY! wake up ANC

  • Carmen - 2010-10-08 14:28

    If 5,5 million people need to come up with another R11 billion rand, thats around R2000 a year that we each need to pay - doesn't seem fair when we as tax payinng South Africans get very little from our tax rands

  • robgunn - 2010-10-08 14:29

    Just the dismissive and blazay attitude judged from the responses given by the health minister to important questions with regard to the costs and the benefits involved are enough to make any competent person worry about how much of the enormous budget required for a NHS would actually be used directly in medical benefits for ALL (not just the poor - I'm sorry but my health as a lower middle class individual in an urban area is just as important as a non tax paying individual from a rural area). Why is deemed more important for rural areas to obtain medical support than those in urban areas? Is your life worth more if you contribute nothing than if you contribute to the national fiscus?

  • Crock of Rubbish - 2010-10-08 14:31

    I echo the sentiments of other fellow readers - the NHI will be funded by existing tax payers, the same tax payers funding social grants and fitting the bill for the 45 million others. Its remrkable that so many actually benefit from so few yet conversely the state does the least for those that are responsible for the majority of its income.

  • Anonymous - 2010-10-08 14:35

    @Jean - Don't worry about switching of the light, with load shedding and the mess with power supply, the lights will go off on their own before then.

  • Boston_teaparty - 2010-10-08 14:42

    NO Taxation without REPRESENTATION!

  • Jacob - 2010-10-08 14:44

    This nonsense, what is the point? Are they going to guarantee that strikes action by essential services will be prohibited? I don’t think so.

  • mikeh - 2010-10-08 14:45

    I believe that those who pay for the running of the country should have a say in the running of the country. How about one vote for each R1000 tax paid per year? How can a rocket scientists vote be equal to a vagrant's vote?

  • DeonL@NHIthefttocome - 2010-10-08 14:57

    Vat will also be raised, so every South African that buys products whould contribute. A lot of ANC Fat cats are probably rubbing theire hands together: A large pool of money! Chances are small that NHI will survive corruption and theft?

  • Pinelander - 2010-10-08 15:01

    I have people working with me that earn R5000+ a month, agreed it isn't much, but refuse to belong to a medical aid, don't have any insurance or policies.They get all their medical aid for free at the day clinics and state hospitals. I have belonged to a medical aid scheme my whole life, more than 33 years of contrubutions. I just don't think it's fair that I have to subsidise these people that's so irrisponcible.

  • David - 2010-10-08 15:02

    "Every single South African is going to be making a contribution" Not from overseas as soon as I emigrate.

  • Ifundi - 2010-10-08 15:05

    I am going to pack up work and park at home much earlier than scheduled, why must I work for others. I will have enough cash to survive without having to pay tax. so bye bye , go elewhere for your handouts.

  • Zoooma - 2010-10-08 15:14

    2012, 11 billion, zuma's son should find that in his petty cash box.

  • Oh Boy!! - 2010-10-08 15:23

    Before changing to the new and improved NHI one request: Every single person, and his family members, that are paid a salary by taxpayers MUST only go to PUBLIC HOSPITALS NO PRIVATE hospitals.The same goes for sending their children to schools and universities. NO MORE PRIVATE institutions ONLY Public facilities!!! Do this first and maybe then we the screwed taxpayers will consider this latest folly!!!

  • Ken - 2010-10-08 15:32

    Another money pool to steal money from

  • Johan - 2010-10-08 15:35

    "Every single South African is going to be making a contribution," does this include the unemployed?? Poor Minister, I feel so very sorry for you because you don't know what is going on around you. You should see a doctor quickly...Hope you have medical aid!!

  • alan - 2010-10-08 15:54

    nothing to do with health...they need a million members and the elections are coming up

  • Question - 2010-10-08 15:56

    If the taxpayer is the one who funds the government, then shouldn't it ONLY be the taxpayer who votes the government in? The ANC would lose 90% of its votes!

  • chrischris - 2010-10-08 15:58

    Who's fault is it that this country is so over populated. Send the illegals home and I will help pay. But until then.... I am gonna keep my money under my bed.

  • ALAN - 2010-10-08 15:58

    nothing to do with health....the election are coming up

  • Lardus - 2010-10-08 16:20

    I never considered leaving...but we have been paying taxes for so long yet they pocketed it all. Now they "want to work for the people" and the people need to pay MORE in stead of them having used what we already gave them. Sigh the beloved country. I am finally considering moving abroad :(

  • sarco - 2010-10-08 16:20

    It's not that the government thinks that we're as stupid as they are, it's that they know they can do as they please and there's nothing we can do about it...

  • pages:
  • 1
  • 2