ANC folly, SA economy in crisis and Benjamin Franklin.

ANC FOLLY, SA ECONOMY in CRISIS and BENJAMIN FRANKLIN
Benjamin Franklin (January 1706 – April 1790) was a polymath, one of the Founding Fathers of the United States of America, a scientist, inventor, writer, statesman, diplomat, political philosopher and humorist.
Franklin, the fifteenth child of a chandler, espoused thrift, hard work, education of the individual, self governing and devolved institutions. This he combined with an ingrained loathing of authoritarianism.
“Tell me and I forget, teach me and I may remember, involve me and I learn”. ( Ok, he did sometimes go off the boil: “In wine there is wisdom, in beer there is Freedom, in water there is bacteria”).
In South Africa of 2024, the smart way to extract the entire country out of an ANC dug abyss is to maximally involve the savers, thrifty, industrious hard workers, movers and shakers and individual risk takers.
Released from the suffocating yoke of communism, socialism, restrictive labour laws and devouring corruption and set free from punitive taxes and stifling red tape, creative and resilient South Africans will do the country proud, for there is no limit to untrammeled individual ingenuity.
The South African fiscus is beyond empty. Total sovereign debt stands at R 5.2 trillion (R 5 200 000 000 000) or USD 275 billion (USD 275 000 000 000). Annualized GDP is struggling to remain in growth territory. Unemployment is into the many millions, at an all time high.
Eskom debt is approximately R 488 billion (R 488 000 000 000). Add interest and soon it will top R 500 000 000 000, that is half a trillion.
SAA was killed by ANC ignorance, incompetence and graft, yet the ANC communists are hell-bent on resurrecting subsidized flying for those who do not need subsidies, with billions no one wants to lend to them.
Denel and SABC are desperate for yet more bailouts.
Taxi industry demands hefty state subsidies, a joke since they are not exactly renowned for their tax compliance.
Numerous ANC city councils and municipalities have imploded. 
The size of bailout funds required to redeem local authorities is a calculation that no one at Treasury would like to make.
Yet, despite the readily evident unadulterated mess of an economy, manufactured and delivered by the ANC, they persist with socialism /communism and again doing what did not work last year. And the year and decade before.
It is not that they are particularly devout disciples of Marx or Lenin. It is more a matter of convenience and easy to do practicalities. Command and control authoritarianism makes for easier looting and unfettered graft.
Corruption in the Department of Health and other state departments, at the UIF, at State owned Enterprises and hundreds of municipalities remain out of control despite the promises of “New Dawn” Ramaphosa.
Yet, South Africa should never let a serious crisis go to waste.
The economic mess of 2024, delivered with compliments by the bumbling ANC, is a unique opportunity to start again with policies based on free enterprise, personal choice, lower taxes, individual entrepreneurship, home ownership and equity participation.
Lower personal income taxes to 35%. Reduce company tax to 15%, on a sliding scale, depending upon the degree of voluntary equity participation for meritorious employees implemented by their respective companies ( of say 10% of company equity).
Scrap all restrictive labour and race based laws. Sit back and observe how a freed up economy creates quality jobs.
Lower tax revenue means less opportunity for graft.
Lower company taxes, relaxed labour laws, privatization, free enterprise and lower dividend tax will attract foreign capital investment, absolutely essential for economic recovery.
Raise the primary rebate to R 300 000, meaning those who earn less tan R 300 000 per year do not pay personal income tax. Give the middle class and salaried workers a break, for they more and any one else had to fund state capture.
Allow full personal income tax deduction of all home maintenance and repair costs, all paid up utility bills, all costs of energy installations, all salaries and wages paid to domestic workers and all home security costs, thereby boosting home ownership and job creation for low skilled workers.
Raise the tax free amount on interest earned on savings to R 200 000 per year. Reduce dividend tax to 10%. Pensioners and savers are overdue for a break. Encourage saving and thrift.
Go private for quality healthcare for all citizens. Register all adult South Africans for a medical aid, cross referenced with ID number, tax reference number and voters roll. Instantly the tax base is broadened, the voters roll is cleaned up and the deceased cannot vote again.
Every South African should have access to the best diagnostics and therapeutics that medical science can offer.
Charge each and every immigrant, foreign resident (man, woman and child) an annual Visa or Settlement Fee (anything between R 100 000 to R 500 000 per individual) and register all as tax payers on arrival. SA Treasury needs the funds desperately to pay off sovereign debt incurred (over 30 years) to fund ANC graft. Employers funding the Settlement Fee for their productive or skilled workers should receive full tax credit for all amounts paid.
Most immigrants to South Africa come from places not conducive to quality living. While we are not indifferent to their plight, they need to understand that, after 30 years of ANC misrule, we are now an impoverished nation. So pay up or leave.
Privatize each and every individual power station. Create competition in energy provision. Use proceeds to pay off the gargantuan Eskom debt. Competition means lower tariffs for all. Tax incentivize a move towards more clean and renewable energy.
Sell state land and buildings to reduce sovereign debt.
Say bye bye to SAA and SABC.
Elect a Parliament that will spend less and take the state out of the economy.
Most important, allow full personal income tax deduction of all primary, secondary and tertiary education expenses incurred by parents for their growing or grown children. Encourage private education, supplemented, but not replaced, by online training.
As Benjamin Franklin said: “An investment in knowledge pays the best interest”.
More shareholders. More home owners. More free enterprise. Better education. Better healthcare. Less government. Lower taxes. More jobs. A fairer society. More prosperity all round.
Dr Johan Reid
Neurologist
Cape Town
FREE DEMOCRATS of South Africa