SA Politics Thread Part 10 : The GNU Has Crashed

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Sultan Mustafa said:
www.news24.com

Consequence of not reversing VAT hike 'too severe for ANC to contemplate', says ActionSA | News24

As political parties in the National Assembly scramble to reverse the 0.5 percentage-point VAT hike, Herman Mashaba's ActionSA has requested a second meeting with the ANC to gain "clarity" on legal pathways to do so.
www.news24.com www.news24.com


Spiralling because they're starting to figure out they got played by ANC.
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Lol at Mmusi trying to figure out what can be done. He should have figured it out before voting...
 
Sultan Mustafa said:
www.news24.com

Consequence of not reversing VAT hike 'too severe for ANC to contemplate', says ActionSA | News24

As political parties in the National Assembly scramble to reverse the 0.5 percentage-point VAT hike, Herman Mashaba's ActionSA has requested a second meeting with the ANC to gain "clarity" on legal pathways to do so.
www.news24.com www.news24.com


Spiralling because they're starting to figure out they got played by ANC.
Click to expand...
waiting for the DA bad from Sherman for getting played,.

ASA had one shot.. and the fcked it up
 
  • The DA's argument to suspend the VAT increase and have the VAT Act declared unconstitutional is incorrect in law and will fail, says Finance Minister Enoch Godongwana.
  • Godongwana says there is no better alternative to raising VAT.
  • Without tax increases, government would have to cut spending on public services or take on more debt.
  • For more financial news, go to the News24 Business front page.
Finance Minister Enoch Godongwana says that VAT will increase on 1 May, as the announcement in his budget speech remains in force, retailers have adjusted their pricing, and the DA's court bid to stop the hike has no legal basis.
Godongwana was replying in court papers to the DA and EFF's bid to stop the VAT increase and have the VAT Act declared unconstitutional.
Says the affidavit:
Since its announcement, the decision has been widely communicated across the country, and businesses alike have relied on it to plan for the year ahead. The VAT rate is therefore set to rise on 1 May to 15.5%.
Godongwana also argues that there is no better alternative other than to hike VAT.
He says alternative taxes "represented potentially more detrimental outcomes in terms of economic growth and employment than the VAT proposals" and that the options of cutting spending or increasing debt were economically damaging.
Says Godongwana:
Suspending the VAT increase required either introducing a different tax measure or reducing government spending (or possibly seeking more debt). All choices have wide-ranging consequences, including impacts on employment, economic activity, and the distribution of public goods.
Godongwana's assertion that VAT will increase comes as economic stakeholders appeal to him to clarify his intentions on VAT as the ANC, in negotiations with other parties, has indicated it no longer supports the hike.
The release of the affidavit to the media also follows an interview by Godongwana on eNCA on Wednesday, in which he said he saw no alternative to the VAT increase.
Increasing personal income tax (PIT) was likely inefficient as taxpayers adjusted to reduce their tax liabilities. Corporate income tax (CIT) increases would impede competitiveness while generating less revenue. While SA's PIT and CIT rates were high compared to its peers, its VAT rates were lower, according to Godongwana's affidavit.
The Budget anticipates R13.5 billion will be raised from the 0.5-percentage-point VAT increase. Foregoing this revenue or suspending the increase would damage the state's ability to deliver public services, he says.
In Part 1 of its application, which is to be heard on 22 April, the DA asks the court to:
  • review and set aside the reports of Parliament's finance committees to adopt the fiscal framework;
  • suspend the VAT increase; and
  • interdict SARS from implementing the increase.
In Part 2, it asks the court to:
  • declare the VAT Act unconstitutional; and
  • set aside the 0.5 ppt increase.
Godongwana argues that the DA's contention that the VAT Act is unconstitutional is mistaken and incorrect in law.
The VAT Act allows the finance minister to announce an increase in VAT in his Budget speech and the implementation date, provided that Parliament passes legislation to this effect within 12 months.
The DA argues that this is unconstitutional as the act confers the power to amend the VAT Act on the minister of finance when this is solely a Parliamentary power.
Godongwana says this is a misreading of the act.
The Constitutional Court has held that under certain circumstances, "plenary powers" can be assigned to the executive depending on the context, the scope and degree of delegation and the "sufficiency of the constraints" to the delegation of such a power.
Godongwana also takes a swipe at the DA for claiming in its founding affidavit that it has always opposed the VAT hike, telling the court that in government of national unity negotiations, the DA had conceded to the 0.5ppt hike. (The DA's support was conditional on a range of other demands being met.)
Turning to the EFF, which has requested to intervene in the DA's application, Godongwana says that it, too, is not entitled to any relief from the court.
The EFF's application asks the court to review and set aside the reports on the fiscal framework from Parliament's two finance committees, which led to their adoption by Parliament. But these are not legislation, says Godongwana, and even if set aside by the court, it would have no impact on the VAT increase, which was set in motion under the VAT Act by the Budget announcement.
It asks that the court interdict (rather than suspend) the VAT hike, which, says Godongwana, is impossible as the announcement is already in force.
The case will be heard in the Western Cape High Court on 22 April. DA spokesperson Willie Aucamp said there was no GNU discussion about the DA dropping its application.
"The case is going ahead," he said.
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MK supporters celebrating as if they won a national election, lol. Enjoy the next 18 months because you will be voted out during the municipal election.
 
ShaunSA said:
Trump's a bit of a crap dictator. A decent one would have removed their heads. He put them in his cabinet :ROFL:
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He's still learning the ropes. They don't start by removing heads. He's already using his office to go after people who criticised his presidency.
 
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