Stephen Goodson, leader of the Abolition of Income Tax and Usury Party, admits his politics might appear radical to some, but he is convinced his party could alleviate economic hardship by restructuring the economy.
Interviewed this week from his office in Rondebosch, Cape Town, Goodson, a "part-time investment advisor" when not working for a seat in parliament, said running for the national election proved to be a "nip-and-tuck affair" after the Independent Electoral Commission informed him that the party had only seven days to pay R100 000 before registration for the election closed.
Goodson's party claims a paid-up membership of 200 people, and he hopes to gain at least one seat in parliament, which will require winning about 55 000 votes nationally, depending on the percentage poll.
The party's policies are bound to intrigue economists, infuriate bankers, and, if ever implemented, put the tax man out of business.
The party also advocates protectionism for local industry, and its policies generally fly in the face of the concept of globalisation as the industrialised world understands it.
The party bases its core philosophy on the view that South Africa's monetary system is fraudulent, a condition he says which has been brought about by usury, which is the levying of excessive interest, and the charging of interest on money or credit that has been created out of nothing.
This, he says, is made possible by laws that allow banks to hold only 5 percent of reserves in long-term deposits and 20 percent in short-term deposits before they lend money out. This enables banks to lend the remainder of deposits out at a higher rate of interest, creating money where previously there was none.
The party's plans to ban usury are similar to financial systems spelled out in the Muslim Shariah, and adopted by several countries around the world, including some in the Middle East.
The party proposes to abolish income tax - Goodson points out there was no income tax in South Africa prior to 1914 - while other taxes such as excise tax, customs duty, licences, deposits and so forth would continue until investigation proved them redundant. A state bank would be the only entity allowed to mint and print currency and to issue credit.
Other policies include that the state become the buyer of first resort of the output of the mines, and the major, if not the only, marketing agent, so that the country will eventually have some control over its commodity export prices.
Bartering would be encouraged to reduce dependence on foreign exchange. The party claims to be able to provide free electricity from coal sale proceeds, after the state takes a one-third share in the country's coal industry.
State-funded capital projects would be undertaken from credit raised through the state bank, with the private sector as partner. Foreign investors would not be allowed to move profit offshore during the first five years of their investment.
The party believes in the three-tier parliamentary system of government, but, at local government level, it does not believe the mega-city concept in vogue in the ANC government will succeed.
"We need to get the black areas on their own feet, not dependent on others," he says.
Goodson has worked at financial institutions locally and abroad, has travelled extensively, speaks five languages and is an avid student of varied political and economic models around the world.
His proposals to restructure the local economy are sure to raise a few eyebrows in business. - Cape Town