Warning of second increase in VAT

Visser

Visser

Expert Member
Joined
Apr 13, 2010
Messages
1,981
Reaction score
623
With the new finance minister set to deliver the medium-term budget policy statement later this month, tax experts have warned of a likely increase in VAT in the coming year.
Former SA Reserve Bank governor Tito Mboweni was sworn in as finance minister this week, following the resignation of Nhlanhla Nene.

Bernard Sacks of Mazars, a global organisation specialising in audit, accounting, tax and advisory services, said there was a possibility that an increase in VAT could be introduced to make up for shortfalls in tax revenue. “We are in a technical recession; that means the economy is shrinking, and with that comes a reduction in business activity and possibly a reduction in income tax (revenue),” Sacks said.

While tax rates are announced during the national annual Budget usually delivered in February, Sacks said it was important to hear what the new minister would say in the medium-term budget policy statement planned for October 24.
Click to expand...

https://www.iol.co.za/weekend-argus/news/warning-of-second-increase-in-vat-17463363
 
That would be election suicide for the anc
 
So let the fear mongering begin because some twat decides to claim that there is a "possibility" of another VAT increase. There is also a possibility that aliens will land this year in Africa.
 
Sinbad said:
That would be election suicide for the anc
Click to expand...

The article does elaborate,

“This (policy statement) is an opportunity to take a look at the current situation and make adjustments to the Budget. Tax rates are not usually announced at this time,” said Sacks, adding that, however, come the new year, an increase in VAT was possible.

...

He said with general elections looming, there might be a public outcry if VAT was raised but an announcement of additional zero-rated items could be used by the government “as a sweetener”. Zero-rated items are products for which consumers do not pay VAT, and include basic food such as fresh fruit and vegetables, brown bread, legumes and pilchards.

The current list of 19 zero-rated items could be increased to include items that are yet to be approved by the Treasury. Additional items could include sanitary products, school uniforms and disposable nappies.
Click to expand...

But yah, too soon and the poorest will be hit harder, more so than the previous increase, under the dire economic circumstances. This isn’t good, not good at all.
 
What they not pillaging enough anymore??
 
ISP cash cow said:
So let the fear mongering begin because some twat decides to claim that there is a "possibility" of another VAT increase. There is also a possibility that aliens will land this year in Africa.
Click to expand...

Ja if anything this **** gives the ANC ideas of just how far they can push it.
 
BBSA said:
Point is they will blame something, and their supporters will keep on voting for them.
Click to expand...

Yep, it is their right to support their political party. Hats off to the supporters, they are willing to go unemployed, hungry and even starve to ensure their leaders are living lavish lifestyles. If this is what they want, I think it is fair they get it.

As for the rest of us who are not willing to sacrifice so much for a corrupt political party, many have already left the country and will not be affected by any of this. Many already have permanent residencies or passports in place and ready to leave when everything comes tumbling down. For those who slept and did not prepare, believing it is too expensive to emigrate, well, too bad for them.
 
You must log in or register to reply here.
Back
Top
Sign up to the MyBroadband newsletter
X