Oxfam suggests super-rich be taxed more

Oxfam SA Fellow on Research and Policy Basani Baloyi.
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Oxfam launched its Inequality report in Braamfontein, Johannesburg on Monday. The report which focuses on Private Wealth versus Public Good is launched ahead of this year’s annual meeting of the World Economic Forum (WEF) to take place in Davos, Switzerland.

The global report is not localised to South Africa, but does include stats from the Southern African Development Community (SADC) region including South Africa.

The number of billionaires has doubled since the financial crisis and their fortunes grow by $2.5 billion a day, yet the super-rich and corporations are paying lower rates of tax than they have in decades according to the report.

Also, the rich hide their monies to evade tax. In Africa alone, as much as 30% of private wealth may be held offshore, denying governments $15 billion in tax revenues.

Oxfam SA Fellow on Research and Policy Basani Baloyi explains that government is fuelling the crisis of inequality.

“We have public services that are just not functioning and what we find in our report is that if we get the money that is required to pump into our public services it will create the equal opportunities for everyone to contribute into the society as they should. Basically, that is one of many key measures that need to be taken to reduce the state of inequality and poverty in this country; however what we are finding is that government is fuelling this crisis by under taxing the wealthy of their fair share of taxes.”

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