{"id":270469,"date":"2018-09-10T10:49:03","date_gmt":"2018-09-10T08:49:03","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=270469"},"modified":"2018-09-10T10:49:03","modified_gmt":"2018-09-10T08:49:03","slug":"expect-tax-dodging-to-rise-because-of-the-recession-nene","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/finance\/270469\/expect-tax-dodging-to-rise-because-of-the-recession-nene\/","title":{"rendered":"Expect tax dodging to rise because of the recession: Nene"},"content":{"rendered":"<p>South Africa\u2019s tax income could well be lower than forecast this year &#8211; with a downturn in the economy exacerbating problems at the tax revenue service.<\/p>\n<p>This is according to finance\u00a0minister Nhlanhla Nene, who was speaking at a tax conference on Monday (10 September), reports <strong><a href=\"https:\/\/af.reuters.com\/article\/southAfricaNews\/idAFL5N1VW1DW\" target=\"_blank\" rel=\"noopener\">Reuters<\/a><\/strong>.<\/p>\n<p>He added that tax avoidance and evasion would rise in any economy that was growing slowly and where taxes have been increased, and the recession would only make matters worse.<\/p>\n<p>&#8220;There is now additional downside risk to the tax revenue projected at the beginning of the year because of the contraction in the economy,&#8221; Nene said<\/p>\n<p>&#8220;Fixing our economy to ensure that it grows faster and in a more sustainable manner is therefore critical&#8221;.<\/p>\n<p>Poor GDP figures released on Tuesday (4 September) revealed that South Africa has entered a technical recession following two consecutive quarters of negative economic growth, heightening the country\u2019s risk of suffering yet another credit downgrade in the second half of the year.<\/p>\n<p>Numbers show that the economy shrank by 0.7% in the second quarter of this year (quarter-on-quarter annualised), while the first quarter\u2019s figures were revised down even further to -2.6% from -2.2%. This brings the total year-on-year growth to an anaemic 0.4%, well below the population growth rate of 1.7%.<\/p>\n<p>The rand immediately plunged from R14.90\/$ to R15.20\/$ in the wake of the data release, while the 10-year bond yield rose nearly 15 basis points, trading above 9%.<\/p>\n<hr \/>\n<p>Read: <strong><a href=\"https:\/\/businesstech.co.za\/news\/business\/269533\/tax-credits-spectrum-rollout-and-other-interventions-the-anc-is-proposing-to-help-fight-the-recession\/\" target=\"_blank\" rel=\"noopener\">Tax credits, spectrum rollout and other \u2018interventions\u2019 the ANC is proposing to help fight the recession<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>South Africa\u2019s tax income could well be lower than forecast this year &#8211; with a downturn in the economy exacerbating problems at the tax revenue service, says finance minister Nhlanhla Nene.<\/p>\n","protected":false},"author":10,"featured_media":75128,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11121],"tags":[26],"class_list":["post-270469","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-finance","tag-headline"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/270469","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=270469"}],"version-history":[{"count":5,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/270469\/revisions"}],"predecessor-version":[{"id":270495,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/270469\/revisions\/270495"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/75128"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=270469"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=270469"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=270469"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}