Newsletter

VAT Hike Scrapped

A note from our President Dagada; 

 Finance Minister Enoch Godongwana has announced that a revised national budget will be presented to Parliament on May 21st. This decision follows the government's recent reversal on the proposed Value Added Tax, or VAT, increase. The initial proposal to raise VAT was met with widespread public outcry. Economists, consumer groups, and opposition parties all voiced strong concerns about the potential impact on the cost of living, especially for the most vulnerable South Africans. The government, after intense deliberation, decided to withdraw the proposal. This reversal has now necessitated a comprehensive revision of the national budget. The initial Vat increase was meant to help the government with a budget shortfall that the country is experiencing. The decision to remove the Vat increase, now means that the government needs to find funds elsewhere. Minister Godongwana's announcement confirms that the government is now working to recalibrate its fiscal strategy. The revised budget, set to be presented on May 21st, will outline alternative revenue streams and spending adjustments. Key areas of focus are expected to include infrastructure development, social welfare programs, and measures to stimulate economic growth. 

                                                 Arise South Africa, Arise.