Brian Sokutu
Senior Print Journalist
1 minute read
17 Sep 2021
6:20 am

‘Brace yourselves for possible VAT increase,’ says analyst

Brian Sokutu

The government aims to raise the mooted R32.8 billion to cover damage caused by the July unrest and fund the social relief grant.

Against a background of a sluggish economy and a shrinking tax base, South Africans should brace themselves for further taxation – which could include an increase in value-added tax (VAT) – in raising the government mooted R32.8 billion to cover damage caused by the July unrest and fund the social relief grant, a political analyst warned on Thursday. The proposed budget – discussed this week during the parliamentary select committee on appropriation’s Second Special Appropriation Bill – will also be allocated to the SA Special Risks Insurance Association (Sasria), departments of social development, police, defence and trade, industry and competition....