About - Tax Cash

About the Petition

South Africa’s informal economy is a sleeping giant—contributing an estimated R750 billion annually through cash-based businesses like spaza shops, informal rentals, street vendors, and township services. Despite its size, this sector remains largely outside the formal tax system, resulting in a loss of ±R20 billion in potential annual tax revenue that could be used to improve critical public services like healthcare, education, water, and sanitation.

One of the biggest challenges is the sector’s reliance on cash, which makes transactions difficult to trace and tax. By introducing a secure digital currency, such as a state-backed digital rand, and ensuring affordable access to banking, we can empower informal traders to transition into the formal economy. This would not only enhance their financial inclusion and access to credit but also enable the South African Revenue Service (SARS) to effectively expand the tax base—without increasing the tax burden on already compliant citizens.

This petition calls on government and financial institutions to take action now. By supporting four key pillars—digital currency adoption, cheaper banking, incentives for informal businesses, and strong public policy—we can unlock billions for national development and create a fairer economy for all. Sign the petition today to help turn South Africa’s untapped economy into a powerful force for inclusive growth and better service delivery.

The Solutions

South Africa can digitise its economy by combining Estonia’s advanced e-government and digital identity systems with Malaysia’s successful deployment of affordable devices and digital financial services. By rolling out a universal, mobile-friendly digital ID linked to zero-fee e-wallets and social grants, the government can bring millions of informal workers and underserved communities into the formal economy. Subsidising low-cost smartphones and expanding free public Wi-Fi in townships will ensure broad access, while integrating digital skills education and QR-based payment systems will empower small businesses to thrive online. This hybrid approach fosters transparency, financial inclusion, and innovation, unlocking new tax revenues and driving sustainable economic growth.

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Digital Identity for Everyone

(Estonia’s Backbone)

Why it matters

Estonia’s success relies on a universal e-ID that gives access to everything: healthcare, banking, voting, education, etc.
Malaysia also has a biometric ID system (MyKad), linked to banking and government services.

What SA can do

Expand Home Affairs’ digital ID rollout to all citizens (mobile-based version + physical card)
Ensure interoperability with banks, SASSA, healthcare, and schools
Create an “e-Citizen” portal that consolidates all services (like Estonia’s X-Road)

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Universal Digital Bank Accounts

(Inspired by Estonia & Malaysia)

Why it matters

In both Estonia and Malaysia, digital inclusion starts with easy access to financial tools
In Estonia, 95% of people use online banking
Malaysia launched e-wallet initiatives (e.g., Touch ‘n Go eWallet) with incentives

What SA can do

Create a zero-fee digital bank account scheme for low-income individuals (public-private partnership with Capitec, TymeBank, etc.)
Link this account to social grants, mobile payments, and savings tools
Offer government co-sponsored e-wallets with monthly “data or food credits” to stimulate digital use.

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Free / Low-cost Devices + Data

Why it matters:

No digital economy without devices and data
Estonia had strong broadband policies, while Malaysia subsidized devices for students and low-income families

What SA can do:

Launch a “1 Million Smart Devices for Development” program:
- Partner with local refurbishers or Huawei/Samsung to distribute cheap smartphones/tablets
- Funded by SITA + corporate social investment (CSI) funds
Zero-rate key government and education websites (many already are)
Free public Wi-Fi hotspots in townships and rural areas (modeled after Malaysia’s Pusat Internet)

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Digital Skills & Micro-Jobs

Why it matters:

Estonia teaches coding from primary school
Malaysia has thousands of digital training centers

What SA can do:

Integrate digital literacy and coding into all school curricula (using online/offline hybrid models)
Create Digital Skills Centres in townships (based on Estonia’s e-school and Malaysia’s Pusat Internet)
Incentivize companies to create “micro-job platforms” for youth (remote admin, data labeling, tutoring, etc.)

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Digitise the Informal Economy

Why it matters:

Up to 35% of South Africa’s economy is informal, largely unbanked and unrecorded
Mobile payment systems can boost inclusion (like Malaysia’s QR pay or Kenya’s M-Pesa)

What SA can do:

Deploy a QR code mobile payment system for township vendors, hawkers, taxis
Provide digital business ID + tax-free threshold to incentivize registration
Link these micro-entrepreneurs to free bookkeeping, microloans, and UIF/NHI systems via apps