A 32-member delegation representing various states of India is currently studying South Africa's provincial tax system to assess if it can be implemented back home.
Delegation leader A R Rathore said India is introducing reforms in its tax system, for which authorities need to research and consult widely. "The empowered committee of finance ministers from India is tasked to introduce state-level taxes. KwaZulu-Natal (KZN) is one of the three provinces we have visited in South Africa this year," Rathore said.
"We have been to Gauteng, Limpopo, but we have also toured Germany and Canada in search of best practise."
Rathore said KZN was chosen because of the special relationship that existed between this province and India since the time Mahatma Gandhi launched 'Satyagraha' for the first time during his tenure here as a young lawyer. The province is home to about 70 per cent of South Africa's 1.4 million Indians, largely descendents of sugarcane plantation workers.
"We have interacted with South Africa's national minister of finance, Pravin Gordhan and his senior management team and KZN MEC for Finance Ina Cronje and her top management to engage in this country's taxation system," Rathore said.
"We have gathered useful information and we now have rich experience which we take back to India with us to work on our tax reform system," he added. Cronje said the discussion with the Indian delegation has further strengthened ties between KwaZulu-Natal province and India.
"They had come to discuss with us how our systems work, what comes from National Treasury and specifically how our provincial tax system works. It was an exchange of ideas and we hope they have benefited from it," said Cronje.
The delegation also met the head of the KZN Provincial Treasury, Simiso Magagula.