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DA resolution: Doing away with the ANC’s VAT increase

Luvuyo Mdeni

The Democratic Alliance (DA) will this weekend discuss a resolution to reverse the VAT level to the previous 14% level at its upcoming congress.

It says the cost of government corruption, a bloated administration and low economic growth have taken its toll on the national budget.

Narrowing the fiscal deficit is a priority but the DA recognises that poor South Africans suffer most from a VAT increase. It says while government failures have increased, government salaries have grown faster than those employed by the private sector. This is an untenable situation.