Government makes R17.2 billion by punishing South Africans for saving and investing

• The government collected R17.2 billion in revenue from Capital Gains Tax (CGT) in the 2025 financial year, making up 1.5% of total tax collection.
• CGT was implemented in South Africa in 2001 to crack down on tax avoidance and make the tax system more progressive, but data shows it has not generated significant revenue for the government.
• The tax has damaging consequences for the economy by discouraging saving and investment, limiting the pool of capital available for infrastructure development and business startups.