Additional tax to fund NHI
The director-general at the Department of Health Anban Pillay has reiterated that the government will secure funding for the National Health Insurance (NHI) through tax revenue
Pillay was speaking at a media briefing in Johannesburg on Thursday on the day the NHI Bill is officially introduced to Parliament.
The NHI is meant to provide health services for free at private and public health facilities as part of the government’s bid to provide more equitable access to healthcare.
National Treasury estimates that the NHI will cost around R256bn.
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“The chief sources of the appropriation are general tax revenue, funds that may be shifted from the provincial equitable share,” said Pillay.
He said the introduction of an added payroll tax and a surcharge on income tax will be considered.
“The fund must be audited by the auditor-general and must produce annual reports on their performance.”