BNC#6: GG Alcock - 'Kasinomics' 101, the multi-bn Rand sector that no one talks about

[@rexona1178]

This man is a good man. How i wish we can have many of such voices in other African countries.

[@davidkotze4140]

Lovely and positive speech Mr Alcock...thank you for you and the beautiful real South African people that are the essence of our beautiful country !! 🙏💕

[@SchalkBoltman]

Wow, you really opened up my eyes and inspired me to get involved!

[@daylight5500]

Thank you BizNews. keep up the good work.

[@deniscoyne5671]

Brilliant, thank you GG Alcock.

[@jasonseekoei5392]

Great stories i think if more people had the tenacity of these entrepreneurs SA would be a in better place , and well done to those who playing aupportive roles to these people , i can see the gap in low income urban areas too that need these kinds of business to localize spending and encourage mico economies in communities instead of money contantly flowing out of low income areas and gettingn injected in to high income areas

[@lauriejacobs6858]

Amazing success stories of hope for the future.

[@eugenio1542]

Fantastic 😊 I've admired this family from my youth. Thanks ☝️♥️🌄

[@kabelomatthews6608]

How much tax is paid to the fiscus from all these businesses?

[@BrainWashed-ww]

Why should they

[@BrainWashed-ww]

"Blacks are lazy" goes out the window huh?... Now it's why small businesses don't pay tax? Jeez😢

[@kabelomatthews6608]

😁😁

[@sean.butterworth]

Very illuminating, thanks

[@agrid2074]

The informal biz people's expenditure carries the country. Almost all of SA direct company tax comes from a *tiny* handful of listed huge corporations. With every purchase these informal business owners & families make from tax-registered businesses with their income, they create the income/profit from which the tax-paying businesses pay tax from in the first place. Both in terms of Vat, as well as the income/corporate tax made by the tax-paying businesses they buy from. If your formal business sells some service or good for R 1000, odds are without the informal biz owners & families buying it from having aggregated that currency from their informal business, most purchases (i.e. taxable income) from the tax-registered businesses wouldn't even exist. The only way to grow an economy is to not burden the truly small (not comfortable middle class who think they are small & struggling, but truly small) informal businesses and let them gain capital & assets to eventually formalise when they have more.

[@bevanschwartz1875]

Back rooms no vat and no taxi but me as a legit business i carry the country

[@agrid2608]

Actually the informal biz people's expenditure carries the country. Almost all of SA direct company tax comes from a *tiny* handful of listed huge corporations. With every purchase these informal business owners & families make from tax-registered businesses with their income, they create the income/profit from which the tax-paying businesses pay tax from in the first place. Both in terms of Vat, as well as the income/corporate tax made by the tax-paying businesses they buy from. If your formal business sells some service or good for R 1000, odds are without the informal biz owners & families buying it from having aggregated that currency from their informal business, most purchases (i.e. taxable income) from the tax-registered businesses wouldn't even exist. The only way to grow an economy is to not burden the truly small (not comfortable middle class who think they are small & struggling, but truly small) informal businesses and let them gain capital & assets to eventually formalise when they have more.

[@BrainWashed-ww]

​@@agrid2608beautiful said❤.

[@5801160052086]

Tly, all this "economy" outside the taxation system is what is drowning the cuntry

[@rgee]

@@agrid2608 "Almost all of SA tax comes from a tiny handful of listed huge corporations." And this is a huge problem. As far as I'm concerned, it doesn't matter how big or small your business is, you must comply with our tax laws. Don't get why formal business that earn a certain amount must pay while informal businesses with the same value don't.

[@agrid2608]

@@rgee because then over 90% of the small ones go out of business, eliminating their aggregated spending power and economic consumption as a whole. "Feelings" don't come into it.

[@thulanigawie9077]

You are not getting income tax from any business making less than R1mil in revenue a year. Trying to collect it, is not worth it.

[@stefniehatzimichael209]

Interesting Well done to people and yess we must all contribute to taxes❤

[@kobusvanstaden3747]

Sounds like SARS is a bit behind the times here...

[@MoreThanRuan]

Government likes the soft targets. Can you imagine SARS going into township trying to force people to pay for infrastructure and services that doesn’t exist. 😂

[@kobusvanstaden3747]

@@MoreThanRuan don't confuse local taxes and services with business tax or income tax. We have only 7 million registered tax payers in the country with 20 million on social grants. This guy is talking about revenues in the hundreds of billions that are in all probability not taxed at all because they're simply not registered. Let's not loose sight of the fact that dodging tax is a crime, making these activities not successful enterprises, but criminal enterprises in the sense that they're breaking tax laws. I do hear you on the soft targets though

[@rgee]

Interestingly as we shift away from physical cash to digital cash, SARS will be able to better find noncompliant individuals. Won't be able to stash your digital money under your bed (or in your couch).

[@conniesmit1635]

I bet there are no approved building plans for those back rooms. Rules for me but not for thee.

[@drikus3328]

Are they paying tax.

[@fridgemagnet9831]

indirectly

[@kobusvanstaden3747]

​@@fridgemagnet9831 while the rest of us pay directly

[@RG-jr8ym]

not a black thing

[@AIRview2]

VAT Yes

[@kobusvanstaden3747]

@@AIRview2 phew.... luckily that means they're only 13% short on what they're supposed to pay. Oh... wait.... they're STILL 27% short because they're supposed to pay VAT AND CORPORATE TAX like the rest of us who bothered to register our businesses because we're law abiding citizens... note they also operate in areas that are notorious for not paying any local taxes either. Thank goodness the rest of us don't mind picking up the tab...

[@lucianogardelli10]

I read his book. Fantastic guy with an interesting story.

[@muziwakhesibeko4022]

Book title please 🙏

[@kenernstzen2407]

Something wrong when we are paying all the taxes especially vat!

[@Seedem_and_Feedem]

Despite the bad loadshedding and water shedding the kasi economy prevails ❤ We all trying to make it in this beautiful country ruined by Cadres💔

[@MoreThanRuan]

If these businesses were paying tax they would most likely receive infrastructure as is the case in the suburbs where most tax residents and businesses paying tax are located.

[@BrainWashed-ww]

ANC as a governing party????😂😂😂😂😂

[@elizefourie7596]

'infrastructure' that has been built are white elephants.... Do the research!

[@nowelaZA]

Suburban infrastructure wasn't provided by the current goverment and in fact is crumbling. These people in the townships and rural areas are going to get zero for their taxes. They're better off paying no taxes and spending the money on their businesses instead.

[@galahadsmum]

Fascinating

[@jennywood7426]

Are these entrepreneurs paying tax?

[@metalcake2288]

The bigger ones, probably.

[@olwethupoto1077]

Do they have the infrastructure

[@thatomadira89]

THANK YOU FOR WISDOM AND ACKNOWLEDGEMENT, TO EMPOWER THE FUTURE TALENT THATS SUFFERING WITH OUT SUPPORT STRUCTURE. 'Now Faith is the substance of things hoped for and the evidence of things not seen, Under the Sun:

[@clintonmorris1622]

Inspiration.

[@m.t.1187]

Love this ❤

[@VID4U-er8wf]

Brilliant thank you

[@annemariecilliers2520]

Amazing figures and facts!

[@elizefourie7596]

My question is this...... Do they get subjected to all the ' municipal rules, regulations, laws and bylaws'.... Do they get visits from 'health and safety officials'...... I KNOW they don't!!!!

[@saxolapotelwa5045]

They also don’t get bank finance and all that so what is your point?

[@ObelixBarbatus]

​@@saxolapotelwa5045The point is that they are not subjected to the same despotic attention of health inspectors. And you are deflecting.

[@imaniraks77]

that's why it's called 'informal sector'

[@Debzan-dx2nk]

Thrilling...

[@jeandesisnards5097]

Incredible stats!

[@AlbertusMBezuidenhout]

Lokasi...economics! The future!? What about inward industrialisation...outward export promotion!? Oh! For that we need a good Govt!?

[@primorantso7128]

People Purposed Governance my good friend is the key. Gayton Mackenzie and Herman Mashaba, according to me, are the only ones poetraying wlwments of this kind of Governance.

[@Mr_Shuku]

Interesting perspective but not sure about the revenue turnover

[@Seedem_and_Feedem]

Weird how biznews has never had even one episode covering the rand manipulation saga😮

[@rgee]

Every single video from Alcock I ask whether these people pay the same tax as formal businesses. No response.

[@geminippe7088]

Good looking guy!

[@robertmclaggan4021]

The political parties ignore these potential voters

[@JWasserman]

28 rooms at R3k monthly each equals R84k monthly. The other person is said to make R148k monthly from backroom rentals. Seems like these people at least are doing well enough to be paying income taxes. My assumption is that no income taxes are paid. My further assumption is that no electricity and/or water is paid for. I stand to be corrected on these assumptions. This certainly does not seem like "small scale" to me.

[@janpretorius9788]

The informal sector is RET

[@johannasethemane7254]

You do'nt pay vat wena. Vat is payed by the consumer you collect it on behalf of government.

[@henriraath763]

Do all these informal entrepeneurs pay Income Tax, VAT, Companies Tax, Municipal Taxes, et cetera? If not, they are merely criminals exploiting the infrastructure that law-abiding citizens actually pay through their taxes. I am not holding my breath for a response from GC Alcock. 👎🏻

[@primorantso7128]

Hair weaves as the most stolen commodity at ports😮😮😮 . Illegal mkhula enter these ports in the vaery same containers that bring kn them weaves.....Gupta benefits shame